Anyone Sell A House FSBO?

blakbearddelite

I'm not one of your 'shit-hole' buddies!
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I thought about trying FSBO, but I would agree with 10sec. FSBO could use the support of a well known app that would charge a small fraction of what a realtor might. I think the FSBO sites do, but they haven't really gained any traction.

I used Redfin to sell my current house. They charge you 1% and then you pay 2.5% to the buyer's agent. I've had an absolutely positive experience with them and they take amazing pictures and 3D scans. It's still cheaper than using a traditional agent.

These days, I don't know that agents deserve the money they get. So much of the legwork has been eliminated by technology. Agents don't even really have to dig through the MLS to find listings. People use various apps or websites to do that. I feel like the commission structure is based on an archaic model for selling homes. Redfin might be changing all that and forcing traditional brokering agencies to decrease the amount of commission they take. Otherwise they're going to lose a ton of business as people opt to paying less than half the commission via Redfin.
 

Flyn

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I just directed a sale through Probate after the seller died. Previously on that sale, the mother was in a nursing home, not altogether with it, and the son was in New York. A previous buyer turned out to be a looney tune who went under contract, backed out, tried to go under contract again using a different Realtor then disappeared. Closing is this week. This sale has required Realtors, two buyers, two contracts, extensions, addenda, a title co., lawyers and the court system.

Try having Redfin handle that one. I'm definitely not making too much money for it.

There will, for the foreseeable future or, maybe always, be a need for the personal touch, especially on the more complex sales. The websites may be able to handle basic sales but somebody ends up doing the grunt work, usually the buyer's agent.

Also keep in mind Realtors control the listings in the MLSes. If pushed too far by Redfin, Zillow, etc. the National Association of Realtors could, in one day, disallow all these sites from posting any Realtor listings.

I'm sure the system will change with advances in technology but it will be a long time before a majority of homeowners sell their own homes.
 

Kensington

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I bought my house, and the sellers sold with no realtors involved at all. Only lawyers. Lawyers were pissed because there was a bunch of documentation the realtors would normally do, that they had to (and I paid for that)...

It was a pain, but it can be done.
 

Yaj Yak

Gladys
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I just directed a sale through Probate after the seller died. Previously on that sale, the mother was in a nursing home, not altogether with it, and the son was in New York. A previous buyer turned out to be a looney tune who went under contract, backed out, tried to go under contract again using a different Realtor then disappeared. Closing is this week. This sale has required Realtors, two buyers, two contracts, extensions, addenda, a title co., lawyers and the court system.

Try having Redfin handle that one. I'm definitely not making too much money for it.

There will, for the foreseeable future or, maybe always, be a need for the personal touch, especially on the more complex sales. The websites may be able to handle basic sales but somebody ends up doing the grunt work, usually the buyer's agent.

Also keep in mind Realtors control the listings in the MLSes. If pushed too far by Redfin, Zillow, etc. the National Association of Realtors could, in one day, disallow all these sites from posting any Realtor listings.


I'm sure the system will change with advances in technology but it will be a long time before a majority of homeowners sell their own homes.


hahanoway.

redfin, zillow, etc, will be so (if they aren't already) so much bigger than anything the shitty MLS could compete with...
 

Flyn

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hahanoway.

redfin, zillow, etc, will be so (if they aren't already) so much bigger than anything the shitty MLS could compete with...

Completely wrong. The commercial sites would die fast if they couldn't post MLS listings. On every listing I file, I need to check the boxes to agree to allow them to post the listings.

If it came down to a power struggle, the NAR has over 2 million members. Redfin has a couple thousand workers.

Some FSBO stats:

For Sale By Owner (FSBO) Statistics
FSBOs accounted for 8% of home sales in 2016. The typical FSBO home sold for $190,000 compared to $249,000 for agent-assisted home sales.
FSBO methods used to market home:
Yard sign: 35%
Friends, relatives, or neighbors: 24%
Online classified advertisements: 11%
Open house: 15%
For-sale-by-owner websites: 8%
Social networking websites (e.g. Facebook, Twitter, etc.): 13%
Multiple Listing Service (MLS) website: 26%
Print newspaper advertisement: 5%
Direct mail (flyers, postcards, etc.): 4%
Video: 2%
None: Did not actively market home: 28%
Most difficult tasks for FSBO sellers:
Getting the right price: 15%
Understanding and performing paperwork: 12%
Selling within the planned length of time: 13%
Preparing/fixing up home for sale: 9%
Having enough time to devote to all aspects of the sale: 3%

https://www.nar.realtor/research-and-statistics/quick-real-estate-statistics
 

Yaj Yak

Gladys
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Completely wrong. The commercial sites would die fast if they couldn't post MLS listings. On every listing I file, I need to check the boxes to agree to allow them to post the listings.

If it came down to a power struggle, the NAR has over 2 million members. Redfin has a couple thousand workers.

Some FSBO stats:

For Sale By Owner (FSBO) Statistics
FSBOs accounted for 8% of home sales in 2016. The typical FSBO home sold for $190,000 compared to $249,000 for agent-assisted home sales.
FSBO methods used to market home:
Yard sign: 35%
Friends, relatives, or neighbors: 24%
Online classified advertisements: 11%
Open house: 15%
For-sale-by-owner websites: 8%
Social networking websites (e.g. Facebook, Twitter, etc.): 13%
Multiple Listing Service (MLS) website: 26%
Print newspaper advertisement: 5%
Direct mail (flyers, postcards, etc.): 4%
Video: 2%
None: Did not actively market home: 28%
Most difficult tasks for FSBO sellers:
Getting the right price: 15%
Understanding and performing paperwork: 12%
Selling within the planned length of time: 13%
Preparing/fixing up home for sale: 9%
Having enough time to devote to all aspects of the sale: 3%

the only thing keeping the mls alive at this point are realtors drinking the koolaid and the websites you think the MLS would for some reason stop giving data too :rofl:

you're foolish if you don't see the writing on the wall here man...
 

10sec

I haz dat teddy bear smile.
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In all cases of me buying, selling, and renting, I found the place, the buyer and took care of talking to my current landlord. My realtor really didn't do much of anything at all, but she's a great lady and I would have felt super bad selling it without her.
 

1quick

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I tried both recently, for sale by owner is tough people only want to look at your house with a realtor I showed it to 3 people in a month, I found a place you pay 200 bucks that puts your property on an mls sheet so all the realtors can show it, they set up the showing through you like its for sale by owner, you name the price your willing to pay the buyers agent I put 2% within 2 weeks I had 3 offers and it sold, not sure if they do listings from other states but the company was called metro reality
 

Yaj Yak

Gladys
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I just directed a sale through Probate after the seller died. Previously on that sale, the mother was in a nursing home, not altogether with it, and the son was in New York. A previous buyer turned out to be a looney tune who went under contract, backed out, tried to go under contract again using a different Realtor then disappeared. Closing is this week. This sale has required Realtors, two buyers, two contracts, extensions, addenda, a title co., lawyers and the court system.

Try having Redfin handle that one. I'm definitely not making too much money for it.

this also just shows how little you know of how listing with redfin works...
 

ChrisRac

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@The Italian have you looked at one of the services that lists your house on the MLS for you so it hits realtors/real estate websites ? charges a small fee.


Yea, FSBO.com has a $400 option where it gives the house a full MLS listing, which is the route we would go with. We had a realtor friend of ours draw up a net sheet for the house and discovered she'd make about $21K commission which, in our mind, is WAY too much for the little work she would do.


Most buyers already have properties in mind when looking so she wouldn't really have to go out and find them. Her biggest task would be the negotiation process and I just don't know if we can fork out that kind of money for it.


Its 50/50 right now. And I looked at Redfin... they don't operate in Alaska.
 

Flyn

Go ahead. I'll catch up.
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this also just shows how little you know of how listing with redfin works...

I try to give you guys facts from a Realtor. Take them or leave them as you like.

Redfin charges less than a Realtor and you get less services. They use an AVM for calculating home values, LOL.
 

Yaj Yak

Gladys
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I try to give you guys facts from a Realtor. Take them or leave them as you like.

Redfin charges less than a Realtor and you get less services. They use an AVM for calculating home values, LOL.

you provide virtual walkthroughs with every property you list? professional photos are included? all fliers and marketing are included?

https://www.redfin.com/why-sell

Redfin Agents sell homes for $1,900 more on average
and deliver full service for a lower fee.*

Redfin Listings vs. Industry
Sell for More Money
$1,900 more on average*
Redfin 98.7%
Industry Average 98.2%
With Less Risk
Percent of Listings Sold Within 90 Days
10% more sold within 90 days
Redfin 61%
Industry Average 50.1%

Our expertise
Your Redfin Agent will provide listing recommendations based on your needs and the local market. We’ll never pressure you one way or another.

Your Redfin Agent will:

Prepare a comparative market analysis (CMA) showing recent comparable home sales and demand in your neighborhood so you have expert pricing guidance
Meet with you to understand your selling motivations and timeline
Walk through your home, taking note of its best features and improvements that could maximize its value
Recommend a target price, plus a marketing plan for how to get it

The perfect debut
We'll recommend trusted local professionals to get your home landscaped, cleaned, painted, and primped to perfection. We pay for professional photos and a jaw-dropping 3D scan for buyers to see into every corner, whether they’re across town or on a different continent.


The offer and close
Once you have an offer in hand, we can let potential buyers and agents know to act fast with a "Last Call" email, which can lead to multiple offers and a higher sale price. Your Redfin Agent stays on the case through your offer, inspection, and appraisal, all the way to closing.
 

Flyn

Go ahead. I'll catch up.
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You obviously have your opinion formed and I'm not going to argue with you.

I'll leave you with some of the things Realtors do for you. :smile:

Pre-Listing Activities
Make appointment with seller for listing presentation
Send seller a written or e-mail confirmation of listing appointment and call to confirm
Review pre-appointment questions
Research all comparable currently listed properties
Research sales activity for past 18 months from MLS and public records databases
Research “Average Days on Market” for this property of this type, price range and location
Download and review property tax roll information
Prepare “Comparable Market Analysis” (CMA) to establish fair market value
Obtain copy of subdivision plat/complex lay-out
Research property’s ownership & deed type
Research property’s public record information for lot size & dimensions
Research and verify legal description
Research property’s land use coding and deed restrictions
Research property’s current use and zoning
Verify legal names of owner(s) in county’s public property records
Prepare listing presentation package with above materials
Perform exterior “Curb Appeal Assessment” of subject property
Compile and assemble formal file on property
Confirm current public schools and explain impact of schools on market value
Review listing appointment checklist to ensure all steps and actions have been completed
Listing Appointment Presentation
Give seller an overview of current market conditions and projections
Review agent’s and company’s credentials and accomplishments in the market
Present company’s profile and position or “niche” in the marketplace
Present CMA Results To Seller, including Comparables, Solds, Current Listings & Expireds
Offer pricing strategy based on professional judgment and interpretation of current market conditions
Discuss Goals With Seller To Market Effectively
Explain market power and benefits of Multiple Listing Service
Explain market power of web marketing, IDX and REALTOR.com
Explain the work the brokerage and agent do “behind the scenes” and agent’s availability on weekends
Explain agent’s role in taking calls to screen for qualified buyers and protect seller from curiosity seekers
Present and discuss strategic master marketing plan
Explain different agency relationships and determine seller’s preference
Review and explain all clauses in Listing Contract & Addendum and obtain seller’s signature Once Property is Under Listing Agreement
Review current title information
Measure overall and heated square footage
Measure interior room sizes
Confirm lot size via owner’s copy of certified survey, if available
Note any and all unrecorded property lines, agreements, easements
Obtain house plans, if applicable and available
Review house plans and make copy
Order plat map for retention in property’s listing file
Prepare showing instructions for buyers’ agents and agree on showing time window with seller
Obtain current mortgage loan(s) information: companies and & loan account numbers
Verify current loan information with lender(s)
Check assumability of loan(s) and any special requirements
Discuss possible buyer financing alternatives and options with seller
Review current appraisal if available
Identify Home Owner Association manager if applicable
Verify Home Owner Association Fees with manager – mandatory or optional and current annual fee
Order copy of Homeowner Association bylaws, if applicable
Research electricity availability and supplier’s name and phone number
Calculate average utility usage from last 12 months of bills
Research and verify city sewer/septic tank system
Water System: Calculate average water fees or rates from last 12 months of bills )
Well Water: Confirm well status, depth and output from Well Report
Natural Gas: Research/verify availability and supplier’s name and phone number
Verify security system, current term of service and whether owned or leased
Verify if seller has transferable Termite Bond
Ascertain need for lead-based paint disclosure
Prepare detailed list of property amenities and assess market impact
Prepare detailed list of property’s “Inclusions & Conveyances with Sale”
Compile list of completed repairs and maintenance items
Send “Vacancy Checklist” to seller if property is vacant
Explain benefits of Home Owner Warranty to seller
Assist sellers with completion and submission of Home Owner Warranty Application
When received, place Home Owner Warranty in property file for conveyance at time of sale
Have extra key made for lockbox
Verify if property has rental units involved. And if so:
* Make copies of all leases for retention in listing file
* Verify all rents & deposits
* Inform tenants of listing and discuss how showings will be handled
Arrange for installation of yard sign
Assist seller with completion of Seller’s Disclosure form
“New Listing Checklist” Completed
Review results of Curb Appeal Assessment with seller and provide suggestions to improve salability
Review results of Interior DĂ©cor Assessment and suggest changes to shorten time on market
Load listing into transaction management software program
Entering Property in Multiple Listing Service Database
Prepare MLS Profile Sheet — Agents is responsible for “quality control” and accuracy of listing data
Enter property data from Profile Sheet into MLS Listing Database
Proofread MLS database listing for accuracy – including proper placement in mapping function
Add property to company’s Active Listings list
Provide seller with signed copies of Listing Agreement and MLS Profile Sheet Data Form within 48 hours
Take additional photos for upload into MLS and use in flyers. Discuss efficacy of panoramic photography
Marketing The Listing
Create print and Internet ads with seller’s input
Coordinate showings with owners, tenants, and other Realtors®. Return all calls – weekends included
Install electronic lock box if authorized by owner. Program with agreed-upon showing time windows
Prepare mailing and contact list
Generate mail-merge letters to contact list
Order “Just Listed” labels & reports
Prepare flyers & feedback faxes
Review comparable MLS listings regularly to ensure property remains competitive in price, terms, conditions and availability
Prepare property marketing brochure for seller’s review
Arrange for printing or copying of supply of marketing brochures or fliers
Place marketing brochures in all company agent mail boxes
Upload listing to company and agent Internet site, if applicable
Mail Out “Just Listed” notice to all neighborhood residents
Advise Network Referral Program of listing
Provide marketing data to buyers coming through international relocation networks
Provide marketing data to buyers coming from referral network
Provide “Special Feature” cards for marketing, if applicable
Submit ads to company’s participating Internet real estate sites
Price changes conveyed promptly to all Internet groups
Reprint/supply brochures promptly as needed
Loan information reviewed and updated in MLS as required
Feedback e-mails/faxes sent to buyers’ agents after showings
Review weekly Market Study
Discuss feedback from showing agents with seller to determine if changes will accelerate the sale
Place regular weekly update calls to seller to discuss marketing & pricing
Promptly enter price changes in MLS listing database
The Offer and Contract
Receive and review all Offer to Purchase contracts submitted by buyers or buyers’ agents.
Evaluate offer(s) and prepare a “net sheet” on each for the owner for comparison purposes
Counsel seller on offers. Explain merits and weakness of each component of each offer
Contact buyers’ agents to review buyer’s qualifications and discuss offer
Fax/deliver Seller’s Disclosure to buyer’s agent or buyer upon request and prior to offer if possible
Confirm buyer is pre-qualified by calling Loan Officer
Obtain pre-qualification letter on buyer from Loan Officer
Negotiate all offers on seller’s behalf, setting time limit for loan approval and closing date
Prepare and convey any counteroffers, acceptance or amendments to buyer’s agent
Fax copies of contract and all addendums to closing attorney or title company
When Offer to Purchase Contract is accepted and signed by seller, deliver to buyer’s agent
Record and promptly deposit buyer’s earnest money in escrow account.
Disseminate “Under-Contract Showing Restrictions” as seller requests
Deliver copies of fully signed Offer to Purchase contract to seller
Fax/deliver copies of Offer to Purchase contract to Selling Agent
Fax copies of Offer to Purchase contract to lender
Provide copies of signed Offer to Purchase contract for office file
Advise seller in handling additional offers to purchase submitted between contract and closing
Change status in MLS to “Sale Pending”
Update transaction management program show “Sale Pending”
Review buyer’s credit report results — Advise seller of worst and best case scenarios
Provide credit report information to seller if property will be seller-financed
Assist buyer with obtaining financing, if applicable and follow-up as necessary
Coordinate with lender on Discount Points being locked in with dates
Deliver unrecorded property information to buyer
Order septic system inspection, if applicable
Receive and review septic system report and assess any possible impact on sale
Deliver copy of septic system inspection report lender & buyer
Deliver Well Flow Test Report copies to lender & buyer and property listing file
Verify termite inspection ordered
Verify mold inspection ordered, if required
Tracking the Loan Process
Confirm Verifications Of Deposit & Buyer’s Employment Have Been Returned
Follow Loan Processing Through To The Underwriter
Add lender and other vendors to your management program so agents, buyer and seller can track progress of sale
Contact lender weekly to ensure processing is on track
Relay final approval of buyer’s loan application to seller
Home Inspection
Coordinate buyer’s professional home inspection with seller
Review home inspector’s report
Enter completion into transaction management tracking software program
Explain seller’s responsibilities with respect to loan limits and interpret any clauses in the contract
Ensure seller’s compliance with Home Inspection Clause requirements
Recommend or assist seller with identifying and negotiating with trustworthy contractors to perform any required repairs
Negotiate payment and oversee completion of all required repairs on seller’s behalf, if needed
The Appraisal
Schedule Appraisal
Provide comparable sales used in market pricing to Appraiser
Follow-Up On Appraisal
Enter completion into transaction management program
Assist seller in questioning appraisal report if it seems too low
Closing Preparations and Duties
Contract Is Signed By All Parties
Coordinate closing process with buyer’s agent and lender
Update closing forms & files
Ensure all parties have all forms and information needed to close the sale
Select location where closing will be held
Confirm closing date and time and notify all parties
Assist in solving any title problems (boundary disputes, easements, etc) or in obtaining Death Certificates
Work with buyer’s agent in scheduling and conducting buyer’s Final Walk-Thru prior to closing
Research all tax, HOA, utility and other applicable prorations
Request final closing figures from closing agent (attorney or title company)
Receive & carefully review closing figures to ensure accuracy of preparation
Forward verified closing figures to buyer’s agent
Request copy of closing documents from closing agent
Confirm buyer and buyer’s agent have received title insurance commitment
Provide “Home Owners Warranty” for availability at closing
Reviews all closing documents carefully for errors
Forward closing documents to absentee seller as requested
Review documents with closing agent (attorney)
Provide earnest money deposit check from escrow account to closing agent
Coordinate this closing with seller’s next purchase and resolve any timing problems
Have a “no surprises” closing so that seller receives a net proceeds check at closing
Refer sellers to one of the best agents at their destination, if applicable
Change MLS status to Sold. Enter sale date, price, selling broker and agent’s ID numbers, etc.
Close out listing in your management program
Follow Up After Closing
Answer questions about filing claims with Home Owner Warranty company if requested
Attempt to clarify and resolve any conflicts about repairs if buyer is not satisfied
Respond to any follow-on calls and provide any additional information required from office files.
 

Yaj Yak

Gladys
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my other annoyance with realtors is the commission structure benefits them and not the property owner.

it should be a tiered system somehow.... because the system is seriously flawed.


say you have a house worth 150-170k.

at 5% commission, 2.5% on each side, that's $7500 to $8500. a difference of 500 bucks to the listing agent.

BUT nearly TWENTY THOUSAND to the seller...

any realtor would be more than willing to move on an offer of 150k and push the seller to do so as well and forego that dollars in his/her pocket.

structuring it somehow where a base was established, and then they got a chunk after that.

say 150k was the base, and everything above 150k, the realtor gets 25% of.

so say an offer comes in for 165k. the realtor is going to see this and try to get this done much harder... because they'll be getting 3750+ 3750 on the "extra"

the seller will also have nearly an extra ten grand over the 150k offer and be happier as well.
 

Yaj Yak

Gladys
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You obviously have your opinion formed and I'm not going to argue with you.

I'll leave you with some of the things Realtors do for you. :smile:

this is such a hilarious list of kool-aid induced horseshit i can smell it from here and you're thousands of miles away.


just read these first three things

:rofl:

Make appointment with seller for listing presentation
Send seller a written or e-mail confirmation of listing appointment and call to confirm
Review pre-appointment questions


really tough meeting up with a seller :bowrofl: and then the communication past that? totally worth it. right.

props to you for seeing value in what you do, it makes it easier to sell to people when you believe it.
 
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