We buy homes in Orlando, Florida. FSBO or For sale By owner is most definitely a term you would have heard before. FSBO is a process wherein the owner is responsible for selling his/her property; no agents are involved. Usually, this path is taken to avoid hefty commissions and fees levied by real estate agents. The FSBO route is a bit of a dark horse in the real estate industry; those wanting to be the master of their destiny and a lone wolf seem to love it, and those who are more inexperienced, risk-averse, and place high trust in the proven methods of selling a house, tend to shun FSBO. Just like everything, FSBO is not perfect and certainly has its shares of criticisms alongside its positives. Here is our analysis of the benefits and failures of the FSBO route.
Another great way to sell your home fast and pay no commissions/fees is to sell your house to us at Your Trusted Home Buyer. Please continue reading to learn more about what we can do for you!
FSBO Pro: No Agents
The most significant advantage of no agents is no commissions. Homesellers typically pay for their agent and the buyer’s agent as well. On average, a seller can expect to spend 5-7% in commissions to their listing agent and another 2-3% to the buyer’s agent.
FSBO Con: No Agent
Real estate agents do make a lot of money, and there are arguments that their fees are justified given the skill set they bring to the table. Real estate agents are proficient in their MLS usage and can use their extensive network for marketing your home and finding the right kind of buyers. They could be a skilled negotiator with significant experience and achieving higher prices for their clients, an area you may not have enough confidence or skill in. Lastly, an agent is responsible for handling all the red-tape and paperwork. This can be a lot of work that needs to be done with an eagle’s eye. Selling FSBO means you will not have access to these benefits.
FSBO Pro: Complete control
Selling FSBO means you have complete control over every single step involved in the home selling process. You determine the asking value, are in charge of all negotiations, and full autonomy to decide timings, showing schedules, and how you want to market/advertise your home. This is excellent news for someone who has the experience or knows what he/she is doing. If not, this can be a double-edged sword; Lack of experience, knowledge, and skill can cost you dearly. When it comes to pricing your house, it is vital that as an FSBO listing, you consult professionals who can conduct a sound appraisal and value the home correctly
FSBO Con: Lack of Professional input can be damaging
The biggest mistake attached to the FSBO route is a poor pricing strategy. Some owners price their property too high and immediately turn off buyers. Most fail to understand their home’s actual value and end up leaving significant money on the table. NAR data indicates that In 2018, the average FSBO home was sold for $217,900, compared to agent-assisted homes selling for $295,000. Even with the commission, you may end up making money. Real estate agents have education, tools, and models that they use effectively to value your home and sell the home at a much higher price. It is not limited to pricing; you also lose out on professional input in the marketing effort and all paperwork
FSBO Pro: Full Dedication and commitment
You are your boss. You have a sole vested interest. As the individual responsible, you do not need to worry about your real estate agent not having your best interests at heart or not putting enough time into getting your house sold among their other clients. No external factor can sway the sale of your home in this regard
FSBO Con: Time
You can expect some weeks of no sleep, well, because you’ve practically picked up a job as a real estate agent for a while. You need copious time and effort to handle the duties that a regular agent would; paperwork, advertising, hosting open houses, dealing with inquires, etc.
Bottom line FSBO is absolutely a great idea if you have time, knowledge, and experience. However, you can receive some of the same benefits without the cons by selling to a professional home buyer like us at Your Trusted Home Buyer. We buy houses Orlando and we can help you sell yours fast, deal with the red tape, zero commissions, and make a fair, all-cash offer on your home. Contact us here for more details!