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Cons of For Sale By Owner (FSBO) in Ontario
October 14, 2020 | Posted by: The Mortgage Captain - Ottawa, Toronto and Ontario Mortgage BrokersYou finally place your ad on the for sale by owner site! You are looking forward to answering tons of inquiries about your beautiful home but heard nothing yet. Selling your home shouldn't be this hard, right?
Here are some reasons why you may want to enlist the help of a Professional Real Estate Professional:
1) You May Not Get as Much Money for Your House
Your original plan was to eradicate paying real estate professionals commission from the sale. Making the sale yourself should fetch you more money, right? Well, not exactly...
Making an FSBO usually receives lower offers than what a real estate agent may get. Subsequently, even after deducting their commission, you will still have more money than if you were to sell your home without their assistance.
2) It is very Time-Consuming
Selling your home by yourself means you will take charge of everything. This means you have to remain in contact with potential buyers while researching marketing strategies to show your home to as many potential buyers as you can.
Don't forget to set up house shows. When potential buyers show up, you will need to give a house tour and answer all their questions. Will you have the time to go about your day-to-day activities while still looking to sell?
Why not have real estate professionals do all this for you?
3) You May Have Less Experience
Perhaps you've never driven a car but you have been watching your friend do it and it seems like an easy task.
It seems easy- until you set out to do it yourself! So is marketing. Proper marketing takes years of practice to perfect the art.
Effective marketing strategies mean more than just placing an ad on the site. It usually means vigorous, tactical approaches through the right networks and may also involve investing in financial resources while being market conscious- something which may not your area of expertise.
And that's just one side of the story. You may not have prior experience in how to best handle house deals and negotiations.
4) An Objective Point of View
Selling your home by yourself can become emotionally draining. You have probably lived in this house a better part of your adult life and made amazing memories. This may mean that you attach great sentimental value to your home and everything in it causing you to overvalue your home- pushing away potential buyers.
Being overpriced is the #1 reason homes do not sell!
Getting professional help to guide you in selling your home may be the best option; a real estate agent understands the current market value and trends making it easier to navigate through the market.
They may also suggest home improvement strategies to improve the odds of your property being sold at a higher asking price. A fresh layer of paint, upgrading appliances, or something as simple as hanging pretty towels in your bathroom.
Need some funds to help make this happen? You can tap into your home equity to bring your home to the next level! Ask me for more details.
5) You need to do your research and ensure you are legal.
Every area has laws and regulations in selling a home. It is important to read up on what you need to do as a seller. Don't forget all the necessary paperwork for the sale.
One of the biggest areas for lawsuits is not understanding the disclosure laws. Leaving out issues in your home because you may not think is a big deal, may land you in the middle of an ugly lawsuit.
There are plenty of resources out there for FSBO (For Sale by Owner), but ask yourself, do you have all the time and resources required for the research and education it takes to sell a house? Are you willing to let your home sit on the market longer just save a few bucks? Even if you say yes to these questions, you may save on the real estate agent's fee and retain more control, but you may not have the experience and knowledge of a seasoned real estate professional. If you want to sell your house faster and at a higher price, FSBO may not be the way to go, a real estate professional may be your greatest resource.
For more information contact us your Ontario Mortgage Brokers today!