Your home is quite likely going also to be your most valuable asset. It can be a permanent place for generations of family, or it can be a vehicle that allows you to move upward to bigger or better quarters consistently. Many people buy homes to “flip” them and earn a living, too. The one thing that anyone who owns a home may find themselves doing is selling that property, and usually, that means working with a realtor.
The question then becomes: Do you have to do that? Do you have to work with a realtor?
The answer is no.
You can use what is known as a “for sale by owner” approach, and by doing so, you can save yourself quite a bit of money. As one financial expert explained, “After the sale, your agent and the buyer’s agent will share about 7% of the sale price as their commission, which amounts to a hefty portion of your equity being lost to the real estate agents.”
How can use this method? It helps if you join a network that specializes in such transactions, like For Sale By Owner. This allows the property owner, or a buyer eager to get a great price and save some money on realtor fees, to do a deal.
How It Works
There are some basic steps you’ll need to follow to enjoy the best results, and they include:
- Doing research on your home and the surrounding area to be sure you are pricing as competitively as possible. You know what you need to make from the sale, and without losing that 7% or so at the end of it, you can be very competitive.
- Getting on the MLS. This is the Multiple Listing Service that shows every property for sale in the entire country, and most real estate search engines will allow your listing to show up too.
- Get active with your marketing. While the MLS helps to channel buyers towards your listing, you also need to do a regular advertising campaign like a typical realtor. That means an attractive For Sale sign, a website or listing online for the property, printed brochures, and more. Again, joining a For Sale By Owner network is a good way to get the most out of your marketing.
- Do an open house (or two, or ten). One way to advertise and market effectively is to host an open house that allows others to come in, walk around and get a feel for the home without also involving a realtor. Be sure you have brochures for each visitor.
- Do showings, as well. Be willing and cheerful about showings. This is why a realtor gets paid, and if you are replacing them, it means you’ll have to book visits by potential buyers. Be sure you know all of the home’s selling points to make it easier to do the marketing and talk up the home during a showing.
- Work with an attorney on any contracts and for the closing. One thing you don’t want to do as a DIY thing is the legal contracts associated with the sale, but a good attorney can make it easy and help you sell your home without a realtor.