Advantages and Disadvantages of FSBO

FSBO also known as For Sale By Owner has definite advantages in certain situations. What made it popular to home owners is the cost they save on realtors’ or brokers’ fees. At most, home owners save up to 6% of the asking price when they opt for FSBO. At times, this amount can be tempting enough to forego the realtor’s services. But before you make a decision, let’s take a look at the advantages and disadvantages of going the FSBO route.

Marketing

Realtors have marketing leverage. They can list your home in MLS plus they have contact with other agents through their network which gives you the advantage because you are sure to reach wider prospects. On the other hand, since realtors handle multiple clients at once, you cannot expect them to devote their time on your property alone. It is true that realtors can list your home in MLS but it will only become as one of their many listings.

Property Showing

When you hire a realtor, he will take care of showing your property to prospective buyers. He will help you prepare or stage your house before the showings. He will answer questions from buyers, set up open houses and handle financing and closing issues. With FSBO, you will be doing all these work by yourself.

Money

With FSBO, you can save up to 6% of the asking price. Let’s examine this further by taking a look at these situations:

• You will be paying your own advertising – online listing, local papers, making of signage, flyers, posters, and print ads.
•  You will be paying for an attorney who will be handling the legal issues and drawing up of contracts.
•   If you don’t know how, you will be paying for a consultant who will do the comparative analysis of your home.

Do you think you can still make the most money after examining these costs? Do not forget that when you choose FSBO, you will also invest time and effort in the selling process.

Are you still decided to go with FSBO? You can skip the marketing and property showing and still save on the realtor’s fee by selling your house to private cash investors.

Sell your house for cash to Lucas Properties LLC. Unlike realtors, they do not ask for commission. They take away the strain by taking care of the closing documents making every transaction hassle free.

DIY Guide to Land Selling

DIY Guide to Land Selling

For someone who is planning to sell a piece of land, you may want to know the pros and cons of doing it on your own instead of hiring an agent in the hopes that you will gain more by keeping all the profit and not paying the agent’s fee. Although this presents a risk, many owners choose the DIY way and have become successful.

To gain more, you have to be prepared to make little sacrifices. This means you have to spend time and energy to do the leg work that an agent is supposed to do.

DO YOUR RESEARCH

The first thing to do is familiarize yourself with the market conditions and know the ins and outs of real estate transactions. Make a list of the forms you need to gather and other paperwork in relation to land selling, contract signing, and closing. Legal documents such as insurance documents, land title, and records of appraisers could come in handy. Find out what similar properties are selling for and how long they have been on the market.

SET THE PRICE

Setting the price can make or break your sale. If the price is too high, you run the risk of scaring potential buyers away. If you price it too low, buyers will get suspicious and they’ll think that you are desperate to get rid of the land. This will encourage buyers to offer an even lower price which will do you no good.

ADVERTISE AND MARKET YOUR LAND

To find potential buyers, you need to give your property maximum exposure across a wide range of area. It will be impossible to sell if you are not going to advertise in venues that buyers will likely see. Identify your target market and focus on reaching that target by any means. Use your network connection may it be social network or job associations.

PRIVATE INVESTORS

Work with a private investor. Unlike realtors, they don’t ask for a commission. In fact, they offer a guaranteed sale at a guaranteed price. Private investors do not need financing thus closing will be within a few days time.

Need help? Contact Lucas Properties today.