Realtors® and Bankrate.com have reported on their sites that most FSBO homes are overpriced. That is true, and is usually a natural effect of people not knowing the actual cost of their property and the value of their hard-built equity, combined with a desire to draw as much profit as possible out of the sale. Unfortunately, overpriced properties are far less likely to be sold and have a much higher chance of scaring off potential buyers. While the issue of correct pricing can be bypassed with some solid real estate and community sales market research, the following negotiations cannot. It is a known fact that a lot of owners who lack professional presentation skills and/or developed negotiation skills end up selling their houses at far lower prices than they are actually worth. Statistically, a professional real estate agent manages to sell homes for a price that is, on average, about $27,000 higher than the prices private homeowners settle for. So, considering all of this, saving 4-6% of your house value in commission may be tempting at first glance, but is it really worth it considering the much larger percentage you might stand to lose on the final selling price? If you lack negotiating skills and you don’t know anything about the real estate housing market, hiring a high-performing professional real estate agent might be a small price to pay. You’ll also get a fast, sweet deal on your property and get the matter resolved with a nice profit—depending, of course, on what the market can offer. You get to work at your own pace, give the house a personal touch, and make all the decisions. Some of the other factors that frequently encourage homeowners to go the FSBO route are the privacy, knowledge, and decision- making elements of a sale.
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