The idea of selling your house without any realtor is quite enticing and motivates many house owners to go ahead with the process. Some house owners even get huge success because of their selling experience But this is not true for all the people looking for FSBO (For Sale By Owner) and often find it hard to close these deals. There are some common reasons behind this low success rate and this article will discusses some of these reasons.
Multiple Listing Services not available for FSBO
All the Multiple Listing Services (MLS) allow only licensed brokers to list their house and hence house owners cannot list their home under these services. In fact, some of the largest realtor networks do not promote FSBO because of many reasons. The only possible methods for exposure include local newspaper advertisement and other offline methods like FOR SALE signs. But under any circumstances, these listings will not get similar attention as that of a property listed on MLS.
Overpriced Properties by house owners
One of the most common issues with house owners is the fact that they consider their house to be worth much more than the similar houses put up in the property. Most of the times, house owners do not have an idea of the current market trends and only a Temecula realtor can help them in pricing their property appropriately. This type of practice will deter potential buyers automatically.
Legal troubles involved in FSBO
It is quite common to say lots of cases filed against house owners because of one or the other legal issues. Some states have extensive disclosure rules and any seller unaware of such disclosures will be facing legal issues in the process. It may results into an expensive buyer law suit towards the end of the deal.
Realtors not willing to entertain FSBOs
Real estate process includes commission based service and the buyer’s agent receives additional money from listing agent of the seller. Actually having a buyer’s broker agreement is not a common practice which means this is the only option the buyer’s agent can earn enough commission. This is the reason why most of the Temecula realtors will avoid sales conducted by house owners themselves.
Buyers hesitation
In most of the FSBO showings, sellers are always present during Open House which makes it impossible for the buyer to give genuine feedback for the house. The chances are quite rare that sellers may receive a fair offer from buyers and the chances of negotiating come down further. Experienced Temecula realtor can help in dealing with these issues along with both the parties.
In short, there are tons of issues with FSBO transactions and that’s why buyers are hesitant in participating in them. As an experiences Temecula realtor, I’ll suggest hiring an agent to get rid of these issues.
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