Houses for sale by owner are more common than ever. The "by owner" method used to be thought of as unprofessional but thatís no longer the case. There's plenty of advice available in Internet FSBO (For Sale By Owner) discussion groups where "houses for sale by owner" buyers and sellers congregate to talk about their experiences.
A house for sale by owner means that a Real Estate Agent (REA) is not involved in the transaction. Since the average person moves every three to five years, and the average REA commission runs from 6,000 to $10,000, the FSBO route can save over $100,000 in commissions over the average lifetime! But there is a price to pay in return for saving those commissions because the seller will have to perform the duties the REA customarily performs.
What are those duties? It starts with advertising the home and arranging the showings, but it also includes making the legal disclosure requirements, purchase and sales agreement negotiation, arranging for title transfer and closing, plus handling the other details that inevitably come up before the deal closes.
You can be part of the house for sale by owner trend without having to be 100% on your own. If youíre concerned about the legal aspects of selling your home, you can hire a Real Estate Attorney to navigate the legal maze for you. What kind of legal issues do you potentially face? Here are just a few:
Completing the Residential Property Disclosure Form.
Completing the Lead-Based Paint Disclosure Form.
Distributing the EPA's Lead Based Paint Hazards Booklet.
Drafting the proper Warranty Deeds.
Drafting the Real Estate Purchase and Sale Agreement.
These are not tasks to be undertaken by the uninformed! If youíre considering selling your home FSBO and feeling a little nervous about all that it entails, youíre not alone. Fortunately, there are many FSBO guides and for sale by owner tips to help you out and they're all on the Internet!
Houses For Sale By Owner can also be listed on FSBO web sites and in publications which are the functional equivalent to the Multiple Listing Service (MLS) used by Realtors. Actual MLS listings are also available for a flat fee of around $250 to $600 depending upon where you live.
You can also list your home in many of the Real Estate Classifieds magazines that are given away at newsstands and convenience stores. All of this helps to generate traffic to your home so you can be part of the money-saving House For Sale By Owner trend!