Selling "For Sale By Owner": tips to make the sale go smoothly.
If you decide to sell your home yourself instead of working with a real estate brokerage, then there are some very important things you should know before placing your first “For Sale by Owner” (FSBO) advertisement.
First, you will have to do your own "comparative market analysis" to determine a reasonable asking price for your house. Also, you will need to work on the home’s interior, its curb appeal and make repairs to any minor problems.
Some states have laws that require the seller to give the potential buyers at least one property disclosure when selling their home. These disclosures pertain to the condition of the property and/or location. Some of these disclosures may be as simple as how old the house is and whether there are problems existing within the house that the potential buyer needs to be made aware of prior to contract. However, disclosures can also extend to property disputes and whether the house is located in a flood zone, on an earthquake fault or near an airport. There may be other issues depending on your location, so it's best to check with local and state bureaus for the final say as to what's required in your area.
Many houses built before 1978 may have lead-based paint present. Federal law requires sellers to disclose any knowledge of the existence of lead-based paint and provide details to the potential owners about any past lead tests or offer buyers the opportunity to do their own testing, if they so desire. Many buyers won’t require that lead tests be performed, but the seller should at least provide the buyer with a lead paint pamphlet that is available free of charge from the Environmental Protection Agency to further educate the buyer and limit your liability as the seller.
When selling your home, the property’s exterior, or ‘curb appeal’ can greatly affect the buyer’s decision to look further and see the inside of the house. If buyers see a cluttered, unkept yard, then they will likely assume that the inside of the house has nothing better to offer. Therefore, poor curb appeal can cause you to lose potential buyers before they even make it to the front door. You want to get the best possible offer on your house and this will require you to take a look around and clean up your house’s general appearance from the street.
Curb appeal not only includes your front yard, but applies to your back yard, too. Buyers will want to view the back yard when they are shown the rest of your house. In order to have attractive curb appeal you can:
1. Mow the lawn and pull all the weeds by hand or use a weed eater.
2. Rake leaves and dispose of them properly, so there aren’t any unsightly leaf piles in the yard.
3. Pick up any debris and properly dispose of it.
4. Trim bushes, shrubs or trees that are overgrown. Trees with branches extending toward your roof should be trimmed back to avoid damage to the house, whether you are selling or not.
5. Store your lawn mower and other lawn maintenance tools or garden implements out of sight to avoid a cluttered lawn.
6. Clean all windows, siding and decks with a pressure washer to brighten the appearance of the house.
7. Clean all gutters and make sure they are all firmly attached and working properly.
8. Clean up any animal waste on a regular basis.
9. For those with children, keep the yard free of toy clutter and wash away any chalk marks or other art made by children on the sidewalk or concrete areas.
Now that your home has curb appeal that is attractive enough to entice potential buyers, you must apply the same care and attention to the inside of your home. Making the inside of your home appealing to buyers can be done by maintaining a clean and clutter free appearance, killing any odors and by making a few minor repairs, if needed.
Once you've addressed the exterior and interior of your home and are confident that it is showing condition, you are ready to open your home to all those frisky real estate agents and their potential buyers. Although showing your home isn’t very difficult, it can be very time consuming because as the seller you will have to flexible to others' schedules. You will have to be prepared for same day requests to show your home and even for those last minute requests when the real estate agent or buyer is calling you from your front porch or driveway. It is very important to be flexible in allowing such showings, as granting these requests can make a huge difference between selling your home and missing out on a potential sale!
If you are showing the house yourself, be prepared to answer all questions as politely, truthfully and accurately as possible. Ultimately, never get too personal with potential buyers or let your emotions take over when showing your house. Buyers are there to look at your house as a possible purchase for them and their family and not to discuss your love of collecting clown figurines or how great your nifty little sports car runs. Keep in mind that your objective is to sell your home for top dollar and in the shortest amount of time possible, so be polite but businesslike in your dealings with potential buyers and their real estate agents.
