Selling a home can be a complicated task unto itself, but it only becomes more difficult when you attempt to do it without a real estate professional’s assistance. Here are the five biggest mistakes that “For Sale By Owner” sellers (FSBOs) make when they list their homes:
1. They set the price too high. Many think that by setting the price high, they’re giving themselves room for negotiation. The most exposure your home will receive on the market will come in the first two weeks after listing it. That’s when buyers are the most interested. If your home is overpriced, buyers will move onto another listing, possibly forgetting about it altogether. That’s why it’s extremely important to price the home correctly from the very beginning.
2. FSBO sellers lack exposure. It’s critical to have your home listed on the Multiple Listing Service with a Realtor because that’s where Realtors advertise your property to other Realtors. This will help you maximize your exposure to the most buyers and their agents. The more buyers and agents who see your listing, the more showings you’ll get, and the higher chance of turning your sale into a multiple-offer situation you’ll have—by extension, this may help you get the most money possible when you do sell.
Even with all the information available online, most buyers still prefer to work with real estate agents who can help them sort through all the data and save them tons of time. Getting the most exposure possible requires working with an agent yourself. There are really only four types of buyers:
First-time homebuyers, who typically need their hands held by their agents
Move-up or move-down buyers, who are already working with a Realtor to sell their current property
Relocation buyers, who are moving in from out of the area and may not be familiar with the way the market works in the new area (meaning they’re likely to work with an agent)
Tire-kickers, the types of people whom Realtors may not want to work with, since they may not be approved for a home loan, and investors, who are really only looking for a deal and may present you with a lowball offer
3. They don’t respond to buyers fast enough. In today’s internet-savvy world, you need to answer every inquiry within two minutes of receiving them. As a home seller, do you really have the time or technology to answer every single phone call, text message, or email about your property within two minutes? If they can’t get the information they want right away, they’ll probably move onto another listing.
Here at the Mandel team, we have systems in place that send an automated text message or video email to buyers, letting them know that we received their inquiry and we’re here to answer their questions 24 hours a day, seven days a week.
4. They qualify the buyers before they get into the house. As real estate agents, we specialize in this— I make sure that all the buyers coming to your home are already approved so that we know they can actually afford the home. We know the questions to ask to make sure that we’re not wasting our time on tire-kickers.
5. They negotiate the contract. Sellers may not be familiar with the terms of a real estate contract or what to look for in an offer. Well, that’s what we do every single day. Our team sells over 70 homes a year, and we know what makes a good offer and how to negotiate on our clients’ behalf so they get the best terms and conditions on their contract.
If you’re considering selling your home on your own, I highly encourage you to reach out to us. We’d love to show you what we do that’s different from the competition to help our clients achieve their goals of selling in the shortest period of time while netting the most money possible.