FSBO – For Sale By Owner
A FSBO means that the seller is not using a Real Estate Professionals to sell and market their home, instead they are going to represent themselves in an attempt to save some cash. How much you ask? Generally, they save 3%, but they lose the major advantages of having a Real Estate Professionals listed at bottom – please read these.
If buyer AND seller do not have Real Estate Professionals, then call Jett Title right away.
1. Purchase Contract: Jett Title has sample contracts for you. Call for one or email a request for one at Mat@JettTitle.com
2. Good Faith Deposit Check: Jett Title will hold these funds in our escrow account until the deal closes or ir cancelled.
3. We are here to shepherd you through to closing: Jett Title will walk you through the process, and we are available to you anytime you need us.
4. The Process: You agree upon a price, sign a contract, get that contract and good faith deposit check to Jett Title and we will begin our work.
5. If the buyer is using a lender, then the buyer needs to tell his/her lender that you choose to use Jett Title for title work and closing. Give them this email address and we will take care of the rest: Orders@JettTitle.com.
Real Estate Professional Commission. Regardless of how many Real Estate Professionals there are in a deal, the total sales commission paid by the seller is, normally, 6%. This is split 3% to the buyer’s Real Estate Professional(s) and 3% to the sellers’ Real Estate Professional(s).
Most FSBO sellers are willing to pay a 3% commission to the buyer’s Real Estate Professional, and put the other 3% in their pocket.
Some FSBO sellers will NOT pay any buyers’ real estate professional commission.
The biggest advantages of listing your home for sale with a Real Estate Professional:
1. Getting the house seen by all potential buyers on the MLS. The biggest advantage of selling with a Real Estate Professionals is exposure. They will list your home on the MLS – the multiple listing system, which makes the seller’s home instantly available/searchable online on the most popular sales site available. But, being on the MLS without the below advantages means little.
2. Prepare home to easily sell: The 2nd largest advantage is all the knowledge of how to get your home ready to sell. Not having the home ready to sell is the quickest way to a) wait forever to sell your home, b) lose money by getting a lower price, c) miss out on sellers who are in the market NOW, as they cross off YOUR home, and refuse to come back and look at it once you’ve wised up and fixed/changed everything needed to do to get it sale-ready.
3. Price home to sell in timeframe seller requires: Pricing is huge and Real Estate Professionals know what they’re talking about, even if you disagree with them. They can ad huge value by either getting you more money than you thought was possible due to being aware of market conditions and judging how your home really stacks up against its’ competition…or by getting your home sold when similar other homes are not selling.
4. Negotiating skill. Most individuals struggle with negotiating the price of their home. You can get taken advantage of, you can break the law if unaware, etc.
5. Connections/Overcome problems: Experienced Real Estate Professionals have effective networks of contractors who can fix anything you can imagine, quickly, thereby eliminating what may cause the normal person grave concern.
6. Support. Selling a home is a big process and having a professional to support you along the way is priceless.