The Real Estate Broker Vs FSBO's - CNBC Video

Wow, these people will say anything to better their interests. Take the next few minutes to watch the video below and then I want to share some information.





I can all but gaurantee that the number of homes sold FSBO or with FLAT FEE MLS services is much greater than 7%. When is the last time the NAR (National Association Of Realtors) told you how many of the homes sold in any given year on the MLS were actually not full service...NEVER. I can tell you as a former real estate broker that many areas in the U.S. have better than 25% of homes selling FSBO.

The simple truth is that statistics can be easily manipulated to mean something that is not actual reality. Are you considering the possibility of selling your home FSBO? I would suggest you visit as many FSBO Real Estate Listing websites and resources as possible to map-out your potential marketing plan with a time frame.

Pricing Your Home When Selling FSBO

Well the one thing I can say for sure is that pricing your home is very important. In order to sell a home you must price it correctly and make sure you have a strong marketing plan. Your chances of selling your home as a by owner seller increase greatly if you get the pricing part correct. You will want to research your home's value in great detail. Your starting point for this research should be a Free Property Valuation Tool to get a starting point for price.

Once you have the potential price you need to further your research to validate a final starting price. You may want to interview 1 or 2 real estate agents to see what they would suggest. You will also want to check with your local county records office to see what other homes have sold for recently. Another idea is to check with a bank to see what they would value your home for if you were getting a new home equity line. There is also the option of having an appraisal completed prior to listing your home for sale.

Remember no matter what you think your home is worth the current market ultimately determines sales price. The correct price along with a strong marketing plan will always get a home sold quickly. Do not make the same mistake many sellers make with price and that is to overprice their home.

Creating A FSBO Plan And Understanding It is Hardwork

It is very possible to sell a home For Sale By Owner but you need to understand what is involved. Please watch the video below for a great perspective from a well known radio host. Please do not make the mistake that most do when selling by owner and that is under estimate the FSBO task. Consider a FREE FSBO real estate service before spending hundreds or thousands on upfront fees. No matter what service you choose you will have work in order to market your home effectively.

Are You Concerned About Selling Your Home?

We are in difficult times in real estate throughout this great country. Many homes are being forced into foreclosure. It is a shame because many of these homes were not affordable to begin with from day one. What I mean by that is you have many people that bought homes with 100% financing or homes that were overpriced. I will get into to greater details as to what my perspective is on why that happened in future posts. For now I want to discuss your concerns about selling your home.

The 2 factors mentioned above lead to folks trying overprice their homes in todays market and that will not get your home sold. The fact is if you have 10 homes in your area that are close to the same size, style, and condition. You seriously want to consider being priced in the lowest 20% and also consider a FSBO Real Estate marketing service to save on commissions. Listen too many sellers believe for one reason or another their home is better than the next. Well here is a news flash the buyer does not care what you think your home is worth. Also remember that correct pricing of a home will make it sell fastest whether you sell FSBO or list with a real estate firm.

The other issue is a seller who bought with 100% financing and has zero equity built into the home because they have only lived there for 2 years. Living in a home for only 2 years in a down market with 100% financing will almost certainly leave you in a negative equity position. This leads to a seller making a decision to overprice hoping to avoid a negative equity position. This almost never works and often eventually leads to some folks getting into a foreclosure situation.

My belief is no one should ever buy real estate for 100% financing. This is a major mistake and will always be consider a poor decision in my mind. Making smart decisions from the start will always be the best medicine for avoiding future problems.

The Flat FEE MLS Option

The internet has provided the ability for folks selling real estate many options beyond traditional real estate agent. The Flat Fee MLS option is a great choice for sellers because it effectively reduces commissions paid to about half of traditional services.

The problem is your real estate industry professionals will provide you with gloomy statistics for FSBO sellers. The fact of the matter is the statistics they provide serves their best interest not the seller. You will often hear numbers like only 12% of homes are sold FSBO. How about asking a real estate agent the following question.

What number of homes sold on your MLS are discount or FLAT FEE services. You will always hear how many homes were sold on the MLS but never a complete breakdown. This type of information therefore is misleading on the surface.

The bottom line is do your research and ask the correct questions. Do not accept the picture a real estate agent will paint without doing your own research. FSBO real estate success is possible and not difficult if you understand what you need to do in order to succeed.

Remember anything is possible....