FSBO translates to for sale by owner. While taking this route to sell your Orlando real estate is not a mistake, it certainly has its challenges.
According to a report by the National Association of Realtors, the top three tasks that FSBO sellers struggle with include prepping the house for sale (12%), the paperwork (10%), and pricing the home right (9%). A more recent report revealed that in 2021, 10% of houses accounted for FSBOs. They were sold for $225,000, compared to those handled by real estate agents for $330,000.
Taking the FSBO route is not exactly a profitable way to sell. Let’s look at some of the reasons why:
You Are Pricing the House Too High
One of the reasons FSBO sellers have trouble selling their houses is that they need to figure out how high or low to price it. Real estate agents have in-depth knowledge about comps, which are houses in your area recently sold. These have similar features to your house and help the real estate agent set the asking price.
On the other hand, as an FSBO seller, you price your house based on the renovations you made and the property’s sentimental value. As a result, buyers feel the price needs to be lowered, and when the negotiation does not get them the desired deal, they back off.
You Have to Navigate the Legal Mines on Your Own
The home selling process involved several legal procedures, like reviewing the home inspection report and preparing the closing document and title papers. If this is your first time selling a house, you will need help making heads or tails of these documents.
Your Views Are Highly Subjective
Ask any real estate agent, and they will tell you that getting emotionally involved in the selling process is one of the biggest mistakes sellers make. For example, a buyer is touring your house, and you are walking within listening distance of them. You hear everything they say, so you can get upset if they talk negatively about a feature.
Such interactions may change your perspective about the buyer, and even though they are willing to buy the house, your heart might not agree to sell to them.
You Don’t Know How to Negotiate
Negotiating is one of the most important steps of the home-selling process. It’s how you lock a buyer by enticing them with incentives. For example, if a buyer insists on lowering the asking price, you can sweeten the deal with a three-year warranty for repairs. Anything that does not cost you much and makes the buyer happy is a win-win.
In conclusion, the FSBO route creates delays in selling your house because an Orlando realtor does not represent the property. Moreover, you will have trouble negotiating a profitable deal, which will probably result in your property staying on the market longer.
To sell your house, contact Megan Dowdy Realty today! A Winter Garden realtor will help you list the house and sell it after researching the comps. For more information, call 407-509-9279.
