Congratulations! You have decided to sell your home on your own and avoid paying a selling agent’s commission.
Making the decision to put your house on the market as a For Sale By Owner (FSBO) property is easy. Just do it! The tricky part of the process is avoiding the common FSBO mistakes that trip folks up when they attempt to sell their homes.
Get on the MLS? No Thanks
Not listing your home in the Multiple Listings Service (MLS) is one of the classic FSBO mistakes. The internet has become the search medium of choice for potential home buyers. A MLS entry puts your property in front of thousands of potential buyers and at a relatively low cost.
I’m not Giving Out My Address!
While the desire to keep your home address off the internet may be understandable, it will cause you to fall into a classic home seller’s mistake. You must make it easy for your potential buyers to find you. Hiding your address makes a buyer’s job more difficult. What happens to difficult listings on a buyer’s hot sheet? They get crossed off!
Flyers are Optional
Here is another real estate mistake. While most buyers begin their search on the internet, the follow-up is always done in person. Since you are selling your home by yourself, you absolutely want to make it easy for an interested buyer to remember you. Flyers are a must in the home selling market.
Preapproved? Prequalified? What’s the Difference?
Actually, quite a bit. Confusing the two is a potentially disastrous FSBO mistake. A prequalified buyer is not backed by any real financing. Prequalified in this case merely means that a buyer has gotten a mortgage broker’s opinion of his or her potential to obtain financing. None of the details (income, credit score, etc.) used to obtain that opinion have been verified or approved by the lender. A preapproved buyer has been screened by a lender and his or her details have been verified. This makes the attentions of a preapproved buyer is worth considerably more than the attentions of a prequalified buyer.
My House is Priceless
Really? Then why are you selling it? This is one of the most common FSBO mistakes—over-estimating your home’s worth on the open market. Unless you get an exceptionally interested buyer, no one (except you) cares about the sentimental value of your home. Hire a professional appraiser to get a realistic home value.
When the House Sells, My Job is OVER
No! This assumption is another classic home seller mistake. A host of post-sale activities must be completed by the seller, such as transfer of title. Usually these activities are taken care of by the selling agent, and if you are selling your own home, the selling agent is you!