When the owner of the house decides to sell their property without involving a real estate agent, it is known as for sale by owner (FSBO – pronounced fisbo). The main purpose of this method is to save real estate commission which varies from 5% to 7% of selling price of property in United States and Canada.
Sometimes the owner also sells his house to pay back his dues which otherwise will lead to foreclosure. Here, the selling price is always lower than the actual value of the property.
By paying a small flat fee, some FSBO properties can be listed in websites. Listing websites will forward all enquiries regarding your property to you and thus reducing expenses. With a FSBO method, you can show your home directly to buyers and can negotiate with them thus saving thousands of dollars.
To advertise the property:
- The signboard outside the house can be displayed.
- FSBO real estate publications and magazines can also assist the search for buyer.
- With the time, some good web sites have also come in the picture of FSBO market with high success rate where you can list your property.
You can market your any type of property such as home, office, ranches, farm, or commercial real estate without broker and without commission. The selling cost can vary between 0 – 3% based on owner’s choice to sell home either themselves or through buyer’s agent thus enable him to save his hard earned equity. An agreement can also be made through a lawyer for a fixed fee who acts as a representative of the buyer.
Before buying some FSBO property:
- it is wise to have personal discussion with seller
- Inspect the property for pets and structural problems.
- Facts like cost of living, neighborhood and amenities can also be collected.
HUD Fair Housing Equal Opportunity
