{"id":2775,"date":"2017-01-12T11:27:32","date_gmt":"2017-01-12T15:27:32","guid":{"rendered":"http:\/\/dankrell.com\/blog\/?p=2775"},"modified":"2017-01-13T09:45:12","modified_gmt":"2017-01-13T13:45:12","slug":"best-home-sale","status":"publish","type":"post","link":"https:\/\/dankrell.com\/blog\/2017\/01\/12\/best-home-sale\/","title":{"rendered":"Best home sale?"},"content":{"rendered":"<figure style=\"width: 250px\" class=\"wp-caption alignright\"><a href=\"https:\/\/i0.wp.com\/www.keepingcurrentmatters.com\/wp-content\/uploads\/2015\/06\/FSBO-2015.jpg\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"size-full\" src=\"https:\/\/i0.wp.com\/www.keepingcurrentmatters.com\/wp-content\/uploads\/2015\/06\/FSBO-2015.jpg?resize=250%2C450\" alt=\"best home sale\" width=\"250\" height=\"450\" \/><\/a><figcaption class=\"wp-caption-text\">Best way to sell a home? (infographic from keepingcurrentmatters.com)<\/figcaption><\/figure>\n<p>As the housing market strengthens, consumer confidence in real estate increases.\u00a0 Along with a stronger home sale market comes the increase of for-sale-by-owners (<a href=\"http:\/\/dankrell.com\/blog\/2017\/01\/06\/greedy-home-seller\/\" target=\"_blank\">FSBO<\/a>).\u00a0 The obvious upside to selling a home on your own is to increase your net.\u00a0 And a study conducted in 2009 may support your FSBO yearnings. But is FSBO the best home sale?<\/p>\n<p>Research conducted by Hendel, Nevo, and Ortalo-Magn\u00e9 (2009; <a href=\"https:\/\/www.aeaweb.org\/articles?id=10.1257\/aer.99.5.1878\" target=\"_blank\"><em>The Relative Performance of Real Estate Marketing Platforms: MLS versus FSBOMadison.com<\/em><\/a>; American Economic Review; 99:1878-98) found that homes that sold on a FSBO website sold for as much as homes that were listed in the MLS.\u00a0 However, homes that sold on the MLS did so with significantly fewer days on market.\u00a0 The authors also found that a significantly higher proportion of home buyers bought homes listed on the MLS.\u00a0 The research concluded that \u201cFSBO attracts a particular type of seller\u2026\u201d A FSBO seller is very patient to wait for someone to pay for their higher priced home.<\/p>\n<p>The research conclusion about sale price is contrary to annual surveys reported by the National Association of Realtors.\u00a0 For example, the National Association of Realtor\u2019s 2015\u00a0<a href=\"https:\/\/www.nar.realtor\/reports\/highlights-from-the-profile-of-home-buyers-and-sellers\" target=\"_blank\">Profile of Home Buyers and Sellers <\/a>reported that the average home sale price for a FSBO was $185,000, while the average home sale price for an agent assisted home sale was $240,000.\u00a0 Of course, the 2009 research indicated that homes that did not sell on the FSBO website were promptly sold on the MLS.\u00a0 Besides being limited to a specific market, excluding \u201cfailed\u201d FSBO sales from their data set could have skewed results and could explain 2009 study\u2019s conclusion about sale prices. From <a href=\"https:\/\/www.nar.realtor\/field-guides\/field-guide-to-quick-real-estate-statistics\" target=\"_blank\">NAR&#8217;s Field Guide to <em>Quick Real Estate Statistics<\/em><\/a>:<\/p>\n<blockquote>\n<h2>For Sale By Owner (FSBO) Statistics<\/h2>\n<ul>\n<li>FSBOs accounted for 8% of home sales in 2015.\u00a0The typical FSBO home sold for $185,000 compared to $240,000 for agent-assisted home sales.<\/li>\n<li>Most difficult tasks for FSBO sellers:\n<ul>\n<li>Getting the right price: 18%<\/li>\n<li>Preparing\/fixing up home for sale: 13%<\/li>\n<li>Understanding and performing paperwork: 12%<\/li>\n<li>Selling within the planned length of time: 3%<\/li>\n<li>Having enough time to devote to all aspects of the sale: 3%<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/blockquote>\n<p>Going FSBO sounds simple and maybe the best home sale; but going it alone is not for everyone.\u00a0 Selling a home is much more than putting a sign in the yard \u2013 especially if you are demanding top dollar.\u00a0 Take your efforts up a notch to increase the probability of realizing your sales goal.\u00a0 Among the many tasks that are essential for a successful home sale, consider a basic marketing plan.\u00a0 Attract more buyers with professional high quality photos.\u00a0 Prepare for buyers to visit your home by <a href=\"http:\/\/dankrell.com\/blog\/2016\/03\/04\/decluttering-for-a-home-sale-and-mental-health\/\" target=\"_blank\">decluttering <\/a>and making minor repairs.\u00a0 You should also have a contract ready in case there is no buyer agent.\u00a0 Even though you are selling FSBO, you still have to comply with federal, state, and local disclosure laws.\u00a0 Be prepared for the details of the transaction, which include: negotiating home inspection repairs; providing sale comps to appraiser; dealing with the buyer\u2019s lender and title company.<\/p>\n<p>If going FSBO is intimidating, consider hiring a real estate agent that offers \u00e0-la-carte services.\u00a0 The agent can assist you in many areas of your sale, only charging you for the pieces you need.\u00a0 You can even pay a flat fee for a MLS placement of your sale.<\/p>\n<p>If you\u2019re like many FSBO\u2019s, you\u2019ll realize the <a href=\"http:\/\/dankrell.com\/blog\/2015\/10\/07\/real-estate-agents-getting-back-to-basics-and-focus-on-relationships\/\" target=\"_blank\">value of a Realtor<\/a>.\u00a0 Real estate agents are housing and marketing experts that can assist you in setting a realistic sale price.\u00a0 Besides freeing up your time, experienced agents can facilitate offers and are expert negotiators.\u00a0 They know of latest home sale trends and are aware of any new legislation that can affect your sale.<\/p>\n<h2>The best home sale<\/h2>\n<p>You may find selling FSBO attractive.\u00a0 But selling a home is in the details that are executed throughout the transaction.\u00a0 The best home sale may actually be through a Realtor.\u00a0 The research supports the notion that hiring a Realtor can provide a more successful and satisfying home sale than doing it FSBO.<\/p>\n<p>As I wrote about<a href=\"http:\/\/dankrell.com\/blog\/2006\/10\/11\/selling-your-home-fsbo\/\" target=\"_blank\"> FSBO&#8217;s in 2005<\/a>:<\/p>\n<blockquote><p>How much money can you realistically save? &#8230;there as been a trend of negotiated commissions, so actual savings for a FSBO have been reduced&#8230;.Additionally, FSBO\u2019s are contracting and paying commission with more Realtors and their homebuyers in this environment of limited home inventory. In the end, the FSBO\u2019s savings from Realtor commissions may be marginal.<\/p>\n<p>&#8230; there are some real negative aspects of selling your home FSBO, such as time, expense, and contractual obligations.<\/p>\n<p>How much is your time worth? Selling a home requires the application of time to tasks. Among the many tasks of selling a home, the top things that a FSBO may do include (and is not limited to) preparing the home for the open house, contacting the paper to advertise, putting up signs, meeting potential homebuyers, and negotiating contracts. The time quickly adds up.<\/p>\n<p>Selling your home FSBO is supposed to save you money right? Well, there is a bit of expense that is necessary. A FSBO must have signs in the yard, as well as directionals (the small arrow signs) to point homebuyers in your direction. Additionally, you might consider paying the local paper for advertising, as well as paying for an internet advertisement (although there are many websites that will allow you to post for free). Another expense may be to have your attorney to prepare and review the contract&#8230;. It seems that the expenses also quickly add up.<\/p>\n<p>&#8230;even FSBO\u2019s are responsible to adhere to certain federal and local laws pertaining to the sale of real estate (i.e., equal housing, lead paint, Maryland disclaimer-disclosure, etc). This is the one area that FSBO\u2019s get themselves in trouble because of the lack of knowledge and expertise. There is an increased liability potential.<\/p><\/blockquote>\n<p>Copyright \u00a9 Dan Krell<br \/>\n<a href=\"https:\/\/plus.google.com\/101804958349854889493\">Google+<\/a><\/p>\n<p>If you like this post, do not copy; instead please:<br \/>\n<a href=\"http:\/\/wp.me\/p1VZLf-IL\">reference the article<\/a>,<br \/>\n<a href=\"http:\/\/facebook.com\/dankrellrealestate\/\">like it at facebook<\/a><br \/>\nor <a href=\"https:\/\/twitter.com\/dankrell\">re-tweet<\/a>.<\/p>\n<p><a href=\"http:\/\/www.copyscape.com\/plagiarism-detector\/\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" title=\"Protected by Copyscape Plagiarism Checker - Do not copy content from this page.\" src=\"https:\/\/i0.wp.com\/banners.copyscape.com\/images\/cs-bk-3d-234x16.gif?resize=234%2C16\" alt=\"Protected by Copyscape Web Plagiarism Detector\" width=\"234\" height=\"16\" border=\"0\" \/><\/a><br \/>\n<a href=\"http:\/\/dankrell.com\/blog\/disclaimer\/\" target=\"_blank\">Disclaimer<\/a>. This article is not intended to provide nor should it be relied upon for legal and financial advice. Readers should not rely solely on the information contained herein, as it does not purport to be comprehensive or render specific advice. Readers should consult with an attorney regarding local real estate laws and customs as they vary by state and jurisdiction. Using this article without permission is a violation of copyright laws.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>As the housing market strengthens, consumer confidence in real estate increases.\u00a0 Along with a stronger home sale market comes the increase of for-sale-by-owners (FSBO).\u00a0 The obvious upside to selling a home on your own is to increase your net.\u00a0 And a study conducted in 2009 may support your FSBO yearnings. But is FSBO the best &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/dankrell.com\/blog\/2017\/01\/12\/best-home-sale\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Best home sale?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[7,9,123,382,32,256,13,23],"tags":[793,499,865,912,797,803,517,507],"class_list":["post-2775","post","type-post","status-publish","format-standard","hentry","category-for-sale-by-owner","category-fsbo","category-home-sale","category-home-seller","category-home-selling-strategy","category-home-selling-tips","category-real-estate","category-realtor","tag-for-sale-by-owner","tag-fsbo-2","tag-home-sale","tag-home-seller","tag-real-estate","tag-realtor","tag-selling-a-home","tag-selling-strategy"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p1VZLf-IL","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/posts\/2775","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/comments?post=2775"}],"version-history":[{"count":9,"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/posts\/2775\/revisions"}],"predecessor-version":[{"id":2786,"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/posts\/2775\/revisions\/2786"}],"wp:attachment":[{"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/media?parent=2775"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/categories?post=2775"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dankrell.com\/blog\/wp-json\/wp\/v2\/tags?post=2775"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}