For-Sale-By-Owner Tips

Sell your own home and save thousands in commissions!

Below is a complete list of what to do.  By doing it yourself you save thousands of dollars in commissions.  Currently less than 15% of sellers try to sell on their own.  Maybe it has to do with the lack of expertise.  There is a great level of commitment and knowledge required in selling you own home.  If you feel that the best rule is to sell your own home, then having as much information at hand is crucial.   You will find many helpful tips below.  Good Luck!

Advantages to selling your own home

1. There is no brokerage fee (commission) to be paid.  You receive all the proceeds (less any marketing costs).  This is, of course the biggest part of selling your own home.
2. You are in total control of the selling process.
3. If there any mistakes made, they are your own “mistakes”.  There is no one else to make “mistakes” for you.
4. If your equity is low, you may be able to sell your house without having to write a check.
5. You are always available at the home for showings, answering any questions or inquires that may come up.
6. You did it yourself!  No one helped!

Disadvantages to selling your own home

1. You must rely on your own instincts.  You must be informed about the area and the “right” price.
2. All marketing and advertising costs are your own.  This can be the most expensive part.  All ads and designs must be done by you.  Then you must decide where to place these ads or what websites to use.  You must determine which are best and most effective.
3. Unless you pay to have your home listed on the MLS, your home will not be seen by the more than 20,000 realtors in the South Florida area.  You will be depending on buyers driving by or someone knowing someone who is looking for that size and style home.  This means trying to attract buyers one at a time.
4. Without all the tools in hand, you may under-price or over-price your home.  To try and get a more accurate price, drive around and see if there is anyone else selling and call the sign for pricing.  There are websites as well for some help.  Knowing how much your home is worth, is the first step.
5. You must be skilled in negotiations.  Otherwise, you may leave money on the table.
6. All the paperwork is your responsibility.  The legal forms and sales contracts must be done right to protect yourself.
7. To properly give the maximum effect into selling your own home, you must limit your free time.  You should be available to show it at anytime of day or night.
8. Many buyers think that since you are not paying a commission, they should receive the savings, not you!
9. As you approach the negotiation stage, you must sever emotional ties with your home or you will place yourself at a disadvantage.  Remember, now it is time to do business.  And business decisions should not be emotional decisions.
10. You must be knowledge of the legal and financial issues to be most effective.
11. You must keep track of all dates.  I.E. inspection dates, expiration dates, deposit dates, appraisal dates, dates that all conditions must be met by, and closing dates.

And NOW…..How to Sell your Own Home!

1. Don’t be skimpy on your house preparations.  Remember, you will be in competition with houses listed by Realtors who will coach their sellers on all aspects of preparing their home for maximum exposure and appeal.
2. Be aware of all legal requirements for disclosures in your area.  Not disclosing necessary information or not using the correct forms could leave you open to legal action from a buyer.
3. Be an expert in marketing and advertising.  Make your home standout!  Remember you are relying on people driving-by!
4. Familiarize yourself with offers and contracts now.  DON’T wait until you have one in your hand.
5. Be aware of equal housing laws.  Not only is discrimination dumb (you limit your potential market), it is illegal!
6. Establish the “right” price.  Pulling a price “out of the air” is almost never successful.  Do your homework and find out what they are really selling for.
7. A little paint goes a long way.  Paint anything that looks unappealing.  Limit the amount of clutter.  Open blinds to allow as much light in as possible.  Keep floors clear of any toys, storage, or clothes.  Spend the time making your home ready to sell.  Inside and outside!
8. Design ads for maximum exposure.  Remember you are competing with the Realtor in your area.  Call around to the different real estate magazine dedicated to “For Sale By Owners” for ad prices.  Remember the internet!  More than 60% of all buyers start looking on the web first!
9. Have a home inspection done.  You should be aware of what to expect the inspectors will find wrong.  This will allow you to make any necessary repairs before it becomes an issue.
10. Buy a “For Sale By Owner” sign.  Don’t place a small sign in the front yard.  Anyone not driving at turtle speed, will not see your sign.  Place it at least 6 feet high to ensure maximum visibility.
11. Put a phone number on the sign so that anyone interested can call.  This should be a phone number that you are available at between the hours of 7am-10pm.  Be ready to show it at any hour.
12. Be familiar with financing options and terms.  You should be as knowledge as the buyers at least.
13. When it comes time to negotiate, learn how to deal with contracts and offers.  If you are not sure what to do hire an attorney experienced in real estate law.
14. Once an offer is accepted, keep track of all due dates on the contracts.  If dates expire without your paying attention to them, this will delay the closing and potentially open you up to legal action being taken against you or action that you must against the buyer.
15. Make moving arrangements early.  Don’t wait until the last minute.
16. If you are planning on finding a new home, either call a Realtor, so that he/she can show you all that is available in that area, or drive the neighborhoods looking for anyone trying to sell on their own.
17. Carefully have your attorney review all closing and settlement statements.
18. After closing, make sure that all the proper paperwork was filed and that the proper payments were made.
19. SMILE!  It’s over! You can sleep and breathe easier!

Or Option B ------ Call a Professional Realtor to do all this for you!

Joe Pistone (954) 243-5188

Charles Rutenberg Realty, Inc

E-Mail: joe@PistoneRE.com

Website: www.PistoneRE.com