Considering selling my house "for sale by owner".

[breakingcontact]

I'm not entirely terrified of doing this but kind of don't know what I really NEED to do.

I feel like I should have an attorney draw up a contract or approve the one that I plan to accept. Then I need to work with a title company?

I know there are some advantages to going through a realtor but I don't see that they pay for themselves and then some.

Thoughts? Experience?

Thanks!!!

 

[SumtnFancy]

Be prepared and have a plan for a buyers agent still. They can prepare the purchase agreement, inspection response, etc, and it is nice to have a middleman to help coordinate and negotiate. I've offered a flat fee for buyers agents before (maybe 1500 for preparing all contracts and coordinating), have offered 1.5-2%, and have also told buyers up front we aren't paying agents. Sorry, but I don't care how many houses you showed them last year, I can run my own deal and don't need to pay you 3%. Some agents get upset at getting cut out but that is the nature of the market right now. My wife is a realtor though so that helps bigly, but it can be done fairly easily with enough research and preparation. Still be respectful of showings, inspection, appraisal, etc. and someone will have to schedule all that stuff.

There are several brokerages and websites offering flat fee listings that will put it on the MLS and you basically run the show from there, that might be an option too. You can also by a FSBO domain to help weed out the "How much??" calls you will get. Decent pictures and descriptions go a long way. Lots of info online.

Good luck!

 

[Ingomike]

Be prepared and have a plan for a buyers agent still. They can prepare the purchase agreement, inspection response, etc, and it is nice to have a middleman to help coordinate and negotiate. I've offered a flat fee for buyers agents before (maybe 1500 for preparing all contracts and coordinating), have offered 1.5-2%, and have also told buyers up front we aren't paying agents. Sorry, but I don't care how many houses you showed them last year, I can run my own deal and don't need to pay you 3%. Some agents get upset at getting cut out but that is the nature of the market right now. My wife is a realtor though so that helps bigly, but it can be done fairly easily with enough research and preparation. Still be respectful of showings, inspection, appraisal, etc. and someone will have to schedule all that stuff.

There are several brokerages and websites offering flat fee listings that will put it on the MLS and you basically run the show from there, that might be an option too. You can also by a FSBO domain to help weed out the "How much??" calls you will get. Decent pictures and descriptions go a long way. Lots of info online.

Good luck!

When can we hear what she thinks of your line of work?

 

[femurphy77]

We bought a FSBO, saved a butt load of money on the asking price and lack of commission without any problems. I even offered to pay a realtor friend a consulting fee if she'd oversee it for me and she told me we were on the right track and to keep our money.

In the current housing market it'll sell without a listing.

 

[Dirty Steve]

I've owned 2 houses in my life and sold 2 houses in my life. Both times were done FSBO without the assistance of a realtor. Most recently I sold my house of 25 years in one day, for full price, without listing, above what a "realtor" told me I could get out of it, completely by word of mouth. It's nothing to be afraid of.

Dirty Steve

 

[Tactically Fat]

Honestly - a lawyer who handles real-estate, and who can act as an escrow, isn't a bad idea at all.

Also, having a realtor "supervise", paying a small fee like femurphy77 alluded to, may not be a bad idea either.

Do what you have to do to protect yourself. You don't want to somehow get scammed out of potentially several hundred thousand dollars.

 

[breakingcontact]

I need to find a consolidated list of how to handle this.

Not above paying an attorney or even a service.

I see realtors out there are offering reduced commissions down to 2% now, so that seems like an appealing middle ground.

 

[dudley0]

I have done a couple FSBOs but for the most part I prefer dealing thru my realtors. Keeps me from dealing with the idiots. Still plenty of money to be made. Wish I had my place ready to sell in this seller's market.

If you are planning to pay an attorney then use that money for a realtor would be my suggestion. There are a few things you have to do and provide. A realtor will have all that, but the info is available on the net as well. I have bought FSBO houses and used my realtor. I just paid him instead of the seller doing it.

Since I type slow it has given me time to consider this a little more. If I wasn't so dedicated to my realtors I guess I would just get a seller's disclosure and do it all on my own. The title company will have the rest of the paperwork. They usually have a flat fee. The market is hot right now so it could save you some money. Having it in the MLS will get you more interested people and that could net you a higher profit. People making over full price offers, getting into bidding wars and such is crazy. So crazy that I am envious of people that have a place to sell right now.

 

[breakingcontact]

I have done a couple FSBOs but for the most part I prefer dealing thru my realtors. Keeps me from dealing with the idiots. Still plenty of money to be made. Wish I had my place ready to sell in this seller's market.

If you are planning to pay an attorney then use that money for a realtor would be my suggestion. There are a few things you have to do and provide. A realtor will have all that, but the info is available on the net as well. I have bought FSBO houses and used my realtor. I just paid him instead of the seller doing it.

Since I type slow it has given me time to consider this a little more. If I wasn't so dedicated to my realtors I guess I would just get a seller's disclosure and do it all on my own. The title company will have the rest of the paperwork. They usually have a flat fee. The market is hot right now so it could save you some money. Having it in the MLS will get you more interested people and that could net you a higher profit. People making over full price offers, getting into bidding wars and such is crazy. So crazy that I am envious of people that have a place to sell right now.

Awesome, these details are very helpful. Thanks!

 

[spec4]

You will need to know what you're doing or a buyers attorney will eat you alive at closing. You will need to have a contract that protects your interests while being fair to the buyer. I'm sure you can google plenty of examples. A big risk is the buyer backing out, be sure to get adequate earnest money to prevent this. Go to the title company that issued your policy when you bought and ask what the cost to update a commitment is. You must be sure there are no title issues that can prevent an orderly closing.

You will need to prepare a deed, affadavit of title, calculate tax credits, provide a current spotted survey, later date title for closing. Prior to closing you can send the buyers attorney a copy of everything so if they have an issue it can be addressed prior to closing.

Be sure the buyer is qualified. They should provide you with evidence of mortgage approval with conditions that you can live with.

Good luck.