- Lack the expertise to price a home (too high or too low)
- Condition of home (not staged)
- Marketing knowledge.Little (or bad) marketing /
- Most buyers are represented by an agent.
FSBO click here!
| FSBO / For Sale By Owner, which means selling your real estate property without the benefit of a Real Estate Agent representing you and negotiating on your behalf. Annual studies by the National Association of Realtors® show that sellers receive 7% - 10% higher purchase prices when selling through a Realtor®!
Sellers who decide to sell as a For Sale By Owner -- a FSBO, without representation -- often start out with the best intentions; however, most of them end up listing with a real estate agent. Why is it so difficult for unrepresented sellers to sell their homes? The three biggest reasons for sale by owners fail are: Why would a seller receive a higher sales price when they hire a Realtor® and pay a commission? 1.FSBO sellers find it difficult to get qualified buyers because buyers who respond to FSBO ads usually have not been qualified to purchase a home, qualified buyers retain a real estate agent to help them find a home. 3.Real Estate agents show homes listed on the local MLS, and most FSBO do not respond to the Real Estate Agent when the agent requesting a showing. 3. Most buyers who view FSBO homes are often bargain hunters, they know you are not paying a commission and so they expect you to lower your price. Also many buyers are savvy investors who negotiate to a low price. Most FSBO cannot negotiate the best sales price because…. 1. Most sellers are emotionally attached to their house and often think the value is higher than it really is, and are not familiar with the "big picture" of the real estate market and today’s market values. 3. FSBO is not attune to buyers and do not know their wants and needs. FSBO sellers must negotiate with buyers, and not get involved on an emotional level. Remember, this should be treated as a business transaction. Most FSBO sellers are inexperienced in the mortgage lending procedures, also solving such problems as low appraisals. 4. FSBO sellers are at high risk of lawsuits - they are not familiar with legal forms, real estate laws, and requirements. What does that mean for a seller? They should hire a Realtor® to sell it Right! A Realtor® is worth their commission - in marketing, negotiating, and closing on your behalf! Remember that old adage, "You get what you pay for." In this case, it pays to have a professional represent you. So if you think you can't afford to pay a commission -- you can't afford NOT to! Save time and money, allow a Realtor® to do what he or she does best, get you the highest price for your property with the best terms available to you! Why should you hire me?
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Selling your home can be an exhausting experience. Last minute walk throughs, inconvenient calls, price adjustment and the possibility of being stuck with two mortgages are real concerns. If you are not completely prepared you could end up losing hundreds, even thousands of dollars in profit and equity.
The difference between a profitable, smooth transaction and a break even . . . miserable experience is often a fine line. In the majority of cases it comes down to the subtle know how of your professional. But utilizing the knowledge of a qualified real estate professional, you’ll insure the quick, profitable sale of your home. This report is designed to arm you with the knowledge to avoid 11 common mistakes that cost sellers serious money.
1. Refusing to Make Profit Inducing Repairs - It always costs you more money to sell “as is” that to make repairs that will increase the value of your home. Often even minor improvements will yield as much as three to five times the repair cost at the time of sale. Your agent will be able to point out what repairs will significantly increase the value of your home. Seemingly small fix up jobs can have quite an impact.
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2. Not Considering Other Financing Terms - Cash is always the most advantageous transaction. Income level, tax benefits and current legislation are all critical factors when considering purchase terms. Professional real estate agents are experts at home transactions and can lead you down the path that will give you the highest yield.
3. Provide Easy Access for Showings - Accessibility is a major key to profitability. Appointment only showings are the most restrictive, while a lock box is the least. However there are certain considerations to take into account . . . your lifestyle, time frame for the desired sale and the relationship with your agent. The more accessible your home, the better the odds of finding a person willing to pay your asking price. You never know if the one that couldn’t get a viewing was the one that got away. By developing a trusting relationship with your agent, he or she will show the home with your best interests in mind.
4. Priced Too Low/Priced Too High - One critical reason to find the right professional is to make sure the property is priced appropriately for a timely and profitable sale. If the property is priced too high it will sit and develop the identity of a problem property. If it’s priced too low it could cost you considerable profits. The real estate market has subtle nuances and market changes that should be evaluated by your agent every 10-14 days to help you maximize your return.
5. Relying Solely on Traditional Methods To Sell Your Home - The agent who is innovative and willing to offer new strategies of attracting home buyers will always outperform agents who rely on traditional methods. Demand around the clock advertising exposure, innovative lead generation methods lead accountability and cutting edge Internet strategies. These services exist and should be offered on your home sale.
6. Market Timing/Seasonal Selling - Just as a broker who continually follows the trends of a stock, your professional agent continually follows trends of your home market. They will know if the market cycle is poised to net you the most money. Disregard believing property sales are seasonal . . . sells better in spring than winter . . . property is always selling.
7. Refusing to Make Cosmetic Changes - The prospective home buyer’s first impression is the most important. An unbelievable amount of homes sales have been lost to unkempt lawns, cluttered rooms, bad stains, unpleasant odors . . . all the seemingly little things
Imagine you were the home buyer and cleaned your placed from top to bottom . . . military style.
8. Wasting Time With An Unqualified Prospect - Your agent’s responsibility is to screen a prospect’s qualification before valuable time is lost. Be sure to align yourself with the right professional and eliminate negotiating with unqualified prospects.
9. Don’t Test The Market - Never put your property on line to sell unless you are serious. The right professional will find you buyers and if you are harboring indecision . . . you will slow the sale.
10. Believing You are Powerless to Make a Difference - Be part of the team! Take an active role with your agent to see what you can do to facilitate your sale. Networking with professional peers and personal friends often results in the sale of a home. It’s surprising how many homes are sold this way.
11. Believing All Realtors® are the Same - with all the intricate details and critical decisions to be made concerning your home sale, should you rely on anyone but a top producing professional? Many friends and family members have been estranged as a result of failing to meet expectations. Your home sale is a time consuming, effort related, difficult task. Maximize your profit by utilizing a professional.
I sincerely hope these tips and ideas are of value to you. If there is any way I can be of service please let me know. I would consider it a privilege to be of service to you!
