For Sale By Owner

Written by Patricia Skinner
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A new craze in the property market is the For Sale by Owner trend. For sure there are a lot of advantages to selling your property yourself without the use of any kind of agent. It's obviously going to be cheaper to begin with. Still, though, many home owners don't think about selling their property themselves until they have tried several real estate agents and been let down by them.

Of course this isn't always the case. Many homeowners have a great experience with real estate agents. The fact remains though, that so many people selling their homes need every penny they can scrape together to finance their move. So it's a no contest that if there's some way of selling their home for less, they're up for it. How much money can you really save though, by conducting a For Sale by Owner house sale?

Going the For Sale by Owner Route

To begin with, For Sale by Owner contracts work best when both parties are committed to it. If any kind of agent's fees are involved from either the buyer's or the seller's side, then it's not going to save as much money as no agent at all. On the sale of a house worth, let's say, $200,000, that would be a saving of $12,000 in commission, assuming a rate of six percent agent's fees.

Another factor that also need to be considered in For Sale by Owner processes is the time involved. If you are a high earner anyway, you might be better off putting in some extra overtime rather than spending days or weeks trying to sell your own home. Some of us have a flair for this sort of thing though, and if you feel confident that you can take it on, then it's probably worth taking at least a shot at it.

Possible Drawbacks of For Sale by Owner

What's the worst that can possibly happen if you try to go the For Sale by Owner route and fail? Well, probably you'll simply have to sign up with a real estate agent if you don't feel it was such a good idea at some stage. If you don't follow the rules though, you could end up embroiled in some kind of a legal problem, or not getting a good price for your home.

To protect yourself from any degree of failure with a For Sale by Owner process, be prepared to shell out a few bucks on some information. Take the time to read up as much as you can on the subject. Pay particular attention to articles and information written by people who have experience with the For Sale by Owner process.

Doing It Right

Even if you decide to go the For Sale by Owner route, at some point you might want to hire a particular service from a real estate agent (perhaps advertising, or advice of some kind), or a lawyer (drawing up the contract). This type of consultation work would normally be undertaken by a real estate agent handling the sale of a home. If you ask someone to do it piecemeal, they are going to charge more for it. Ask for several pieces of consultation work and you may have spent as much as it would have cost you to hire an agent to do the whole thing.

That's why it's so important to get the right information to sell your home as a For Sale by Owner. If you know what needs to be done and how to do it, you can avoid the pitfalls and be sure that you'll come away very pleased with yourself for having saved so much money. Taking the time to do it right can make all the difference.


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