The majority of those who successfully sell their own property are the property owners who live in highly populated metropolitan market areas where property sales are more common. In a buyer’s market or in rural areas it is much harder for properties that are for sale by owner (FSBO) to successfully sell.
A buyer’s market is when there are more home sellers than there are people to buy homes. This creates a situation where the home buyers are exposed to a large range of property to choose from making it a more competitive market for the sellers. Homeowner’s should opt for the FSBO option only where the local economy is doing well and it is a seller’s market.
To be considered a seller’s market there needs to be more buyers then properties for sale. In a seller’s market the buyers are left with fewer properties available to them. This often creates a situation where the sellers are much more selective on the buyer and also get a higher selling price for their property.
There are other economic issues that play a role in the real estate such as home mortgage interest rates, local employment, and consumer confidence. Unfortunately we can’t control the economy and some are forced to sell their homes or buy homes in times that are unfavorable financially to them.
There are a few things people who succeed at selling their homes do to increase their odd of winning at FSBO. They need to be able to have the financial support that it takes to keep their property exposed to those who are purchasing homes for the entire period it takes to sell the home. This advertising period is at least 90 days and includes personal signage, advertising, repair costs of the home, and professional legal advice. You also should have a little bit of spare money to back you up financially if there are any marketing mistakes.
You should also have basic business knowledge about important marketing, personal selling, as well as enough technical information on real estate principals and practices. This will prevent you from making informed decisions that can cost you a lot of money and stress.
Anyone who wants to list the property FSBO must be disciplined with marketing goals and objectives with set time frames for the process and finalization of those goals and objections. You need to be able to be very organized and able to pay close attention to details.
There are a lot of stressful moments when selling something as expensive as your own home so you need to be able to keep a business perspective on all decisions. When selling you own home always avoid guesswork and replace it with concrete analysis. Making informed decisions is much less stressful then guessing.
If you want to sale you own home successfully you need to be a wise negotiator and be able to effectively deal with the different personalities in your potential home buyers. Be ready to and well equipped to sell your home and plan to use a lot of time devoted to selling your home.