Recent media reports have touted selling your home yourself, more commonly called for sale by owner or FSBO. It seems like a nice idea: sell your home yourself and save the price of a commission. After all, how hard can it be to sell a property that you know so well?
It turns out that it is not as easy a task as you would think. There is more to the process than simply putting a sign in front and sitting back and waiting for offers to roll in.
Before a property is put on the market, sellers are required by law to fill out numerous forms, whether the property is listed with a real estate broker or if the owner is selling it by him or herself. Some of these carry penalties if not filled out and available to a buyer at the time the buyer submits a purchase offer. Realtors are well versed in which forms are needed for each type of transaction.
Sellers also often underestimate the amount of time required to market and show their property, overestimate the value of their property and then have to deal with security concerns as a result of strangers having access to their home. [Read more...]