Real estate topics - FSBO Seller

Real Estate Topics

For Sale By Owner

Information Specifically for Sellers

So, you want to maximize your profit. Or maybe there is not enough equity to pay a full commission. Give FSBO marketing a try. Here are some pitfalls which are seldom mentioned in FSBO seminars, but which you will want to avoid.

1. Responding when Lookers ask, “What’s your bottom line for this house?”

Buyers sometimes ask you to “cut to the chase”. Don’t get lulled into this trap. This indicates a “fishing trip” on their part. The proper response goes like this:

Well, Mr. Prospect, there are many points of negotiation in a contract, besides just price. There are closing costs, personal property, and many other considerations. We decided long ago that we would like to see an offer in its entirety before giving an answer. Why don’t we put something down on paper so we can look at it and get back with you on whether we can accept it?”

2. Responding to, “Why are you selling?”

DON’T do like one FSBO. When asked by a buyer, the lady who was selling replied, “Oh, this house is FAR TOO SMALL. We’re moving to a larger home.” As the prospect walked away, he remarked, “She’s right. That house IS too small. Let’s keep looking!”

“We’re re-locating” always works well-even if the relocation is across town. Avoid answers which compromise your ability to negotiate by making you look desperate to sell. Don’t mention divorce situations, job loss, etc.

3. Cooperate with agents.

Offer agents 2.4 to 3 percent if they bring in a buyer. In your advertising and on your sign, put the words, “Agents Welcome”. You will encounter many “tire kickers” during your marketing campaign. However, real estate agents don’t put people into their automobiles and show them around unless the prospects are “ready, willing and able” to buy. Tap into this pool of pre-qualified buyers by cooperating with agents.

4. Price your home correctly.

Don’t get a reputation for being “that overpriced house on Elm Street”. You get your best prospects in the first few days on the market. Don’t waste the opportunity by being over-priced.