Reading this article might help you to make the correct real estate decision. :
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Realtors Sell your property through FSBO or Realtor
By Hossein Mansouri.
This may be a question for a lot of people that they are thinking if they should sell their property themselves and save some money or give it to realtor and let other people get involved with the work. There are a few facts to be considered for your decision what would be your best choice. The basic factor is the 6% commission of your property value. Supposedly for a house in San Jose California with a zip code 95110 as an example with asking price of $540000 it would be $32400(sometimes you can negotiate with listing agents and pay less than the standard commission).
The 2nd facts is do you have time and patient to do it yourself and to follow all the rules and regulations and paper work related to FSBO not to mention the legal aspect of it. The reality is FSBO is not good for everyone, but a lot of people did it and they save good money, it is totally an issue you have to give it some good thought. According to NAR (The National Association of Realtors) the FSBO’s are sold 16% lower than Realtor sales, this is something you have to really pay attention.
What you are getting back from realtor is their expertise to advertise your real estate property in multi listings, market the property in several media, they support you against legal actions, insurance, open houses, the bottom line is consider which way you net more Money! Some realtor guarantee that they sell you house in a certain days for example 99 days, and if they could not they will sell it for you free. Of course if you want to sell your house fast in FSBO, some times you can deduct the commission and reduce price so it may go fast. This way a buyer will compare your property with similar one in the area and will find out your price is more reasonable and that help to sell it fast. When I see a property is 30 or 40k lower than the exact the same property definitely I will choose the one I save money.
If the market of real estate is hot, usually that is the time which is ideal for FSBO, because the houses are sold in a faster paste and therefore you have no problem finding buyers and obtaining more offers. Another area that FSBO gives you more leverage is when you sign a contract with a realtor you are subject to all the details of contract therefore you have less flexible during the contracted period.
The conclusion is considering the above facts will help you to make decision that FSBO is something you are ready to do (willing and able) then go for it, good luck, and you will do a good job and make sure you do your homework very well and use all the related information from FSBO websites. If not then you have the other option .The good thing is you have choice.
Hossein Mansouri is specialized in FSBO, and he is a realtor in American Dream Realty. He can be reached at www. ADRealty.us/h.
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