The process of selling a house by the owner is also known as the FSBO route. Usually, this results in the expectation that the entire home selling process is in the hands of the seller. There are no real estate agents present during the process of finding a buyer. The marketing, finding buyers, negotiation, and everything else is all down to the seller. Therefore, getting a successful sale ultimately comes down to how effective FSBO sellers can be.
Unfortunately, many people run into issues when trying to sell a house by themselves. Usually, it comes down to a lack of information and research. That is why in this article, we’ll provide our ten top tips for selling a house by the owner.
Let’s get into it.
Tip 1 – Price It Right
Price is everything when it comes to getting a property sold. And it’s no different when going down the FSBO route, especially for a swift yet successful property sale.
Pricing your property accurately can either result in many interested buyers or months of nothing but tumbleweeds. So, to ensure you’re not left waiting around for interested buyers, make sure you spend time researching what an accurate price should be for your property.
To do this, start with a comparative market analysis. This is the process of researching and analyzing comparable properties within your area.
So, begin by identifying homes in your neighborhood or a similar neighborhood that have recently sold. Look for houses with similar square footage, the number of bedrooms and bathrooms, and comparable features.
Next, take note of both the listing price (what sellers initially asked for) and the sale price (what the property actually sold for). This information will give you insights into market trends and buyer expectations.
Don’t forget to adjust for differences. Not all homes are the same, so it’s crucial to account for differences. Adjust your property’s value based on factors like the condition and any unique features that may make your home more or less desirable than comparable properties.
Finally, use all that information to arrive at a competitive yet realistic price: Going too high can deter potential buyers, while pricing too low may lead to a quick sale but financial loss. Find a price that is both realistic and offers a price you’re content with.
Tip 2 – Focus on curb appeal over renovations
You may have managed to attract potential buyers with a competitive price, but the next task is to attract them with a property. This starts with the exterior of your home. It’s the first thing potential buyers will see, and this first impression really counts.
Now, for many people looking to sell by themselves, it’s because they want to save as much money as possible. However, making the outside of your property doesn’t have to be an expensive makeover.
Simply start by tidying up your front yard. Trim overgrown bushes and mow the loan.
Next, look for any other imperfections that can be easily removed or perfected with a little bit of elbow grease. It may mean cleaning the windows or power washing a few places. In other cases, you may need to paint a few fences. However, these hours of work will result in buyers finding it hard to find flaws in your property.
Before you know it, your property will look well-maintained, which will definitely keep buyers interested.
Tip 3 – Is your property attractive? Declutter and Depersonalize
Decluttering and depersonalizing your property will help get it sold. This means that it needs to be as neutral as possible to attract a larger audience of buyers. Yes, some people may like neon pink decorations, but there’s a much larger portion of people who don’t. You want to tailor the appearance of your house to the majority.
The difference between a property hosted by a real estate agent and one by the owner is experience. Real estate agents understand that properties that are clean and pleasant are more likely to attract buyers rather than deter them.
So start by tidying up your property and removing any clutter. This will also help when you’re moving out, as there will be less to organize and pack. If you also have the budget, consider decorating your property in neutral tones. This will also give the impression to the buyer that the property is well-maintained and ready to move in.
Tip 4 – Invest in Professional Photography
Another key difference between a property listed by a real estate agent and one by sellers is the quality of the photography. The majority of buyers look online first before getting in touch. As with anything else online, what gets the best results? It’s attention. So, to ensure that you can catch the buyer’s attention, you need professional photos.
Prices for a professional photographer can range from under a hundred dollars to a few hundred dollars, but it’s definitely worth it.
If you can get your properties’ best features photographed and posted with your listings, you’ll have many interested buyers lining up for viewings.
It may add additional costs to your home selling, but the investment will pay for itself.
Tip 5 – Build an Online Presence
As mentioned earlier, the first place buyers look for property is online. So, it’s important to ensure that your property can be found and is visible online. The only issue? Which channel do you use? Whether it’s social media sites, online groups and communities, or the Multiple Listing Service, there are so many options. You’ll definitely want to feature your property in as many as possible. Here are some places to consider:
1. FSBO Listing
Start by creating FSBO listings on dedicated real estate websites and platforms. There are several websites and services specifically designed for homeowners selling their properties without an agent. These platforms allow you to upload photos, property details, and contact information, making it easy for potential buyers to find your listing.
2. Social Media
Use the reach of social media to promote your home. Share your FSBO listing on platforms like Facebook, Instagram, Twitter, and Pinterest. Create eye-catching posts with high-quality photos and engaging descriptions. Encourage friends and family to share your posts to broaden your audience. Additionally, join local neighborhood groups on Facebook, as you may find buyers lurking there too.
3. MLS (Multiple Listing Service)
While many MLS platforms are typically associated with real estate agents, some offer services for FSBO sellers. Listing your property on the MLS can expose it to a vast network of real estate professionals and buyers actively searching for homes.
Tip 6: Host an Open House
Open houses are another great way to find and speak to prospective buyers. However, it’s important to get it right. Usually, a real estate agent would manage the entire process. When you’re doing it alone, it’s up to you to make it an event that is profitable.
This starts by getting the schedule right. Plan open houses at convenient times for potential buyers. Weekends are best, but consider having both daytime and early evening events to cater to different schedules.
Next, the open event, much like your property, needs attention. So, you will need to market extensively. From social media through to word of mouth, consider as many avenues as possible to ensure buyers are aware.
Finally, don’t forget to collect feedback from attendees to gain insights into what potential buyers liked and disliked about your home. After the open house, follow up with interested parties to answer additional questions and gauge their level of interest. They are your leads; you need to nurture them into buyers.
Tip 7 – Hone your negotiation skills
Next up, you need to ensure your negotiation skills are on point. When a house is sold by the owner, many experienced house buyers may feel like it’s an easy target to get a great house at a discount.
This is where you need to be prepared and avoid making concessions unnecessarily. You still need to make sure you’re getting as much money as possible. Use your listing price as a base point. When you choose that price, conduct plenty of research to find out what the lowest value and highest value that you can potentially receive.
Although, it is important to be realistic. Don’t forget to take into account any issues found from appraisals, as those can often be deal breakers. So make sure you’re communicating with the buyer directly or the buyer’s agent to find out what their deal breakers are.
Avoid letting the sale slip through your fingers while making sure you’re getting a good deal, too.
Tip 8 – Don’t forget to market your property
We’ve covered aspects of marketing in some of the other tips, but it needs to be a standalone point. Marketing is everything. It is what separates poor real estate agents from the great ones. And for houses sold by owners, the responsibility is theirs.
For a successful home sale, prospective buyers need to be aware. Yet, at the same time, the seller needs to be speaking with only qualified buyers. This saves time and makes the process so much more efficient. This is all down to the marketing of the property.
The words you use, the platforms you use, and even the pictures you use. They’re all meant to be used with a plan in mind. How are you trying to attract potential buyers? Is it based on price specific features of your property, or perhaps it is an amenity in your local area? You need to understand who your buyer is likely to be and then how you can attract them enough to engage in a conversation about purchasing the property,
So ensure you have a marketing plan for your property; it will be well worth it!
Tip 9 – Expect a Home Inspection
A home inspection is part of the sale process. The buyer will usually conduct one before a sale can be concluded. Before selling a property, the seller can also get an optional home inspection.
These inspections are fantastic in managing expectations; if there are many issues that need to be rectified, the buyer has the upper hand and can request a reduction in the home’s sale price or request repairs before purchase.
On the other hand, if the seller is proactive and is aware of any flaws beforehand, they can get things in place. This might mean investing in repairs and fixes earlier, but this will mean there won’t be any more issues for the buyer to resolve. As a result, there won’t be any hesitations with the price and no delays in getting repairs carried out.
So, it’s always a good idea to get a home inspection and be proactive with the result. Often, there may even be issues that you’re unaware of, but managing to repair them in time can ensure that you don’t lose out on any property value unnecessarily.
sale process, home’s sale price
Tip 10 – Get Familiar with Legalities and Paperwork
When selling a house by owner, understanding the legalities and paperwork involved is important for a smooth and successful transaction. Real estate transactions can be complex, and you need to be able to get through them confidently.
Consider investing in the services of a qualified real estate attorney. They specialize in real estate law and can provide much-needed guidance throughout the selling process. No matter what issues may arise, they’ll be able to get you through them.
Make sure you’re familiar with the different types of paperwork required.
Whether it’s:
- Property deed
- Property disclosures
- Inspection reports
- The buyer’s mortgage pre-approval letter
- Purchase contracts complete with contingencies
Ensure you’re well informed as to what documents you’ll need and when. This will save time and any last-minute issues as you’ll be well prepared for the entire process.
Bottom Line
Today’s real estate market is extremely dynamic. Properties can be sold directly from the owner, thanks to things like social media. However, all it takes is to be aware of the process and to ensure you can dedicate enough time and resources to achieving a successful real estate transaction. Hopefully, these ten tips will get you on your way to achieving a home sale like any other licensed real estate agent.
We hope you enjoyed this article, and as always, feel free to browse the rest of our site for more informative articles and resources.