For Sale By Owner

For Sale by Owner = Unrepresented Seller

Most people selling their own home without an experienced REALTOR® are what we would call a “for sale by owner” or FSBO for short. The easy comparison is, would you go to trial without a lawyer? If so, then this page probably won’t interest you, but if that idea seems scary, read on.

What is the difference between a REALTOR® and a real estate agent?

If you are familiar with the difference, skip on down to the next section.

A real estate agent is an individual who has been granted a license by a state real estate board to practice real estate within their state. All real estate agents must take an entry-level course in the basics of real estate and pass a state-administered examination to become a licensed real estate agent.

A REALTOR is an individual who has joined the National Association of REALTORS and abides by a set of ethics and professional standards as a real estate professional. Only members of the National Association of REALTORS® can call themselves a REALTOR®. In addition, REALTORS® are required to participate in required and voluntary continuing education to maintain their standing with their local and national organization.

Seller Beware

Selling your home may seem easy and some people choose to take that risk often. However, do you know what the Fair Housing Act has to say about selling your home? How about what inspections your local municipality requires you to do whenever you sell your home? (Roanoke, Roanoke County and Salem residents…do you know?) There is some probability that if you fail to have one of these inspections done or violate the housing laws in some way, you may get away with it. But you may not. Why do you pay for car insurance? Because something may happen. All it takes is one hidden flaw, that perhaps, you didn’t even know about…but the buyer decides to take action against you because of your inaction.

Why choose a REALTOR®?

Several studies have been undertaken to determine the efficacy selling a home on your own versus hiring a real estate professional. One such study in 2004 found that the median sales price for sellers working with a real estate professional was $189,000 compared with $163,800 for unrepresented sellers (FSBO). A REALTOR® helps you correctly price and negotiate the right price for your home.

The same report also found that unrepresented sellers identified the most difficult tasks in selling their own home as being-

  • Getting the price right (24%)
  • Preparing the home for sale (24%)
  • Understanding and completing the paperwork (22%)

Coming Soon…

What does a REALTOR do to prepare your home for marketing and selling?