FSBO's Success Rate Is Bad

It's 2021, the market is hot, sellers are having their way with buyers in a lopsided demand vs supply market. You're ready to put your home on the market and figure, why not save the money on a real estate agent and list the home FSBO.

Can't be that hard right? You list the home on VSBO.com, put a home depot "For Sale" sign in the yard, and watch the buyers come lining up. 

It's hard to fault a homeowner for wanting to save money. Who doesn't? And saving on an agent's professional fee could certainly be significant when looking at it on the surface.

However, when you dig down deep into the experience agents bring to the table, you'll often find, and the stats confirm this, that selling your home FSBO actually nets you less money.

Here are some common ways a for sale by owner listing will fail to sell, or undersell based on the current market value.

Online Exposure

Over 95% of home shopping starts on the internet. So this means that you as the seller need to know how to either get your home on the MLS (multiple listing service) or learn how to syndicate your property to all of the online platforms that buyers use to shop homes.

The MLS is the local service that most real estate agents use. Within the MLS is the option to syndicate out over multiple platforms. This allows for your home to get maximum exposure. 

Bad Marketing

Professional photos and VIDEOS or walk-through 3D tours are a must-have in today's market. It is the first thing buyers will see to draw them into booking a showing appointment. 

If your home is beautiful and the pictures are terrible you could miss out on that one buyer who would have paid top dollar for your home.

Professionalism

Buyers want to know there is a professional company behind the sale of your home. It is likely one of the largest purchases that they will make in their lifetime.

Not having the peace of mind that all paperwork and inspections are being handled adequately will turn away prospective buyers.

Improper Pricing

By missing the mark on your pricing, you're likely to either undersell the home or miss out on potential buyers that like the home but think you are overpriced.

Those buyers may have paid more than you ultimately would have accepted, but have since moved on since the original list price was too high.

Qualifying Buyers

An important task that not many homeowners are aware of. Not properly qualifying your buyers will be a gigantic waste of time. Simply looking at a pre-approval letter is not enough. Those can be found online for anyone who wants one. Knowing what to ask the lender and the buyer about their loan is how you can filter out the incorrect buyer for your home.

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If you or someone you know is considering a sale, please feel free to reach out to us. We are HERE as your San Diego real estate resource!