What To Know About Buying A For Sale By Owner

Dated: 10/25/2016

Views: 138

For Sale by Owner. You've seen the signs, we're sure. We in the real estate business know these as FSBOs (Fiss-Bo). While some FSBO homes sell successfully, and without any issues, there are some instances where the home doesn't close successfully, or have good outcomes at inspections, or favorable negotiation. You know we are going to strongly suggest that you use a trained and licensed real estate professional when buying or selling a home, and this is because we care about your home buying/selling experience for one of the largest investments you are going to make. With our intentions stated, today, we're going to look at some items you may not know about a FSBO. 

In a recent article on Zillow Porchlight, the listing giant offers some suggestions of things to keep in mind if you've been shopping for a home and find a For Sale by Owner. First on the list is to know that most sellers will work with your agent if you have a buyer's representative. The seller remains unrepresented, and must do parts of the transaction themselves. It can be uncomfortable to face a seller, face to face, but if you have a buyer's representative (or Buyer's Agent) you can ask them to make the initial contact with the seller. 

Next, you should be aware that all laws still apply just as they would if the home were listed by an agent. If the law stipulates that the seller has a duty to disclose problems, inspect the home, or perform any repairs, the FSBO must cooperate. The problem some sellers have with going solo is that they aren't familiar with real estate processes or procedures. Or they want to do it their own way. Trust your gut and your agent's judgment if you think the seller is neglecting a duty or not allowing you to do your due diligence. This home may not be right for you, and if it's not, you're best to move on. 

Our final offering is to know that sellers of a FSBO are likely not going to accurately price their home. One given in most any FSBO is that the seller is going to reject an agent's opinion about their home's value. In some cases, the seller finds it difficult to emotionally let go of their home, they just may overprice it. 

Don't feel like all hope is lost if you find a FSBO. Treat the process just as you would if the home were listed by an agent. It may still be your dream home, just be smart and "hire" professional representation. You, as the buyer are not likely to pay any fees to a buyer's agent; they work for you, the seller pays them. Use them, they want you to!

Let our seasoned agents at The Shields Team walk you through buying a FSBO if you've found one. You'll be most glad you did! We're in the office and would love opportunity to talk with you. Call us at (423) 433-6517, or just stop in our office inside Keller Williams Realty, 1033 Hamilton Place in Johnson City. Get the power on your side!

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Rayne Price

Holding a BS in Environmental Science, and MA in Education, real estate was not Shields Team Buyer Specialist Rayne Price's first career choice. It was only after encouragement from his wife and a cl....

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