FSBO Woes: Why Its So Hard to Sell Your Own Home
For some people selling their house can be as simple as putting the for sale sign in the yard. These people are rare and are usually experienced home sellers or people who are just transferring their home to a different owner, such as a child or relative.
Most people choose not to sell their home by themselves and instead turn to a real estate agent.
Here are some very good reasons why.
Difficulty Listing Your Home
FSBO's (For Sale By Owner) sellers find it hard to list their property and generate responses. This is because they cannot list the house in the MLS (multiple listing service). Only licensed real estate agents can list in these. As a result there is not much response generated in the house.
Agents Won't Show FSBO Homes
People who are looking to buy a house work with buyer agents to help them and if the seller is a FSBO then these buyer agents do not typically show their clients around the home. This will limit the pool of potential buyers.
Another problem with FSBO homes is that they are almost always over priced, as the seller has no concept of market value. Due to this oversight interest in the property may not be great.
Buyers Feel Intimidated
FSBO sellers may also experience problems when showing possible buyers around, as normally people feel intimidated when being shown around by the owner.
FSBO's Can Stumble Into Legal Trouble
Problems may arise after the sale if the FSBO seller has overlooked some legal technicality that may lead the seller open to a costly after transaction lawsuit.