Updated: Mar 7
What Does It Mean To Sell For Sale By Owner?
Selling your home "for sale by owner" is when you decide to list your home yourself instead of hiring a real estate agent to do it for you. Going the for sale by owner route can be fun and exciting, but it can also be extremely challenging.
Most homes in the U.S sell through a real estate agent. According to the National Association of Realtors:
"91% of sellers were assisted by a real estate agent when selling their home."
That's a considerable share of the market going to realtors. However, if you're determined to be part of the 9% of individuals who successfully go the for sale by owner route, we'll show you how.
But first, let's discuss some of the pros and cons of selling a home yourself.
Pros of Selling FSBO
You take complete control
When you decide to go FSBO, you have 100% control over your home's listing. You don't have to:
Call up your real estate agent to make changes to the description.
Ask to adjust the price.
Request updated photos.
Call for updates about showings and interested buyers.
If you want to change, fix, or update something, you can do it right away without having to go through anyone else.
You'll pay less in commissions. Maybe.
This point can be a pro and a con, depending on how things play out.
You, at the very least, will not have to pay any commissions to a sellers agent. Keep in mind if your buyers have an agent, they will expect you to pay them.
You can request the buyers add their agent's commission to the price of the house, but you never know if they'll accept those terms until you try.
Cons of Selling FSBO
You may still have to pay some commissions
As we touched on above, you could still be on the hook for your buyer's agent's commission.