5 Reasons You Shouldn’t For Sale by Owner

Some homeowners may consider trying to sell their home without the assistance of a real estate professional, known in the industry as a For Sale by Owner (FSBO). We think there are several reasons this might not be a good idea for the vast majority of sellers.

Here are five of our reasons

1. There Are Too Many People to Negotiate With

Here is a list of some of the people with whom you must be prepared to negotiate if you decide to FSBO.

  • The buyer who wants the best deal possible
  • The buyer’s agent who solely represents the best interest of the buyer
  • The buyer’s attorney (in some parts of the country)
  • The home inspection companies which work for the buyer and will almost always find some problems with the house
  • The appraiser if there is a question of value
  • Your bank in the case of a short sale

2. Exposure to Prospective Purchasers

Recent studies have shown that 92% of buyers search online for a home. That is in comparison to only 28% looking at print newspaper ads. Most real estate agents have an extensive internet strategy to promote the sale of your home. Do you?

3.  Actual Results also come from the Internet

Where do buyers find the home they actually purchased?

  • 43% on the internet
  • 9% from a yard sign
  • 1% from newspapers

The days of selling your house by just putting up a sign and putting it in the paper are long gone. Having a strong internet strategy is crucial.

4. FSBOing has Become More and More Difficult

The paperwork involved in selling and buying a home has increased dramatically as industry disclosures and regulations have become mandatory. This is one of the reasons that the percentage of people FSBOing has dropped from 19% to 9% over the last 20+ years. 

5. You Net More Money when Using an Agent

Many homeowners believe that they will save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real commission. The seller and buyer can’t both save the same commission.

Studies have shown that the typical house sold by the homeowner sells for $184,000 while the typical house sold by an agent sells for $230,000.   This doesn’t mean that an agent can get $46,000 more for your home as studies have shown that people are more likely to FSBO in markets with lower price points. However, it does show that selling on your own might not make sense.

Bottom Line

Before you decide to take on the challenges of selling your house on your own, sit with a real estate professional in your marketplace and see what they have to offer.

Posted on November 6, 2014 at 6:28 AM
Alison Peterson | Category: Home Buyer's Tips, Home Seller's Tips, How's The Market?, North County San Diego Real Estate, Real Estate Rancho Carrillo, Relocation, San Diego Real Estate, Stage to Sell | Tagged , , , , , , , , , , , , , , , , , ,

What Zip Code in San Diego Ranks 6th as Best in the Nation?

There are lots of great places to live in San Diego, but one of the county's ZIP codes shines above the rest.

The real-estate website Movoto says that San Diego's 92121 ZIP code is not only the best one in the county, but the sixth best out of 28,061 in the United States.

The area stretches from the University of California San Diego, east to Miramar, and north to Sorrento Valley and Torrey Pines. It includes the biotech cluster around the university as well as Qualcomm's headquarters, located off Mira Mesa Boulevard.

Movoto bases its rankings on data, such as median household income, unemployment rate, average commute time, median rent and home worth, high school graduation rate and the number of families below the poverty line, from the U.S. Census American Community Survey.

"This ZIP code shows that San Diego has a lot of culture and history to go around," says the Movoto post, written by Laura Allan. "What it also had was some great numbers, in the way of a short 17-minute average commute, unemployment rates of less than four percent, and a median household income of more than $96,000."

The site reports that more than 97 percent of the ZIP code's residents graduated from high school, and fewer than 1.5 percent of the families live below the poverty line. In 92121 area, the median owner-occupied home value is $587,500, the average rent is $1,633, and the unemployment rate is 3.72 percent, Movoto reports.

 

Here are the top 10, according to the study:

 

  1. Washington D.C. – 20004
  2. Houston – 77005
  3. Medina, Wash. – 98039
  4. Sea Ranch, Calif. – 95497
  5. Amagansett, N.Y. – 11930
  6. San Diego – 92121
  7. Chicago – 60603
  8. Chicago – 60602
  9. Wichita, Kan – 67230
  10. Kansas City, Mo. – 64113                           Movoto post, written by Laura Allan

Want to learn more about San Diego Real Estate?  Ready to buy a home in one of the best cities in the country?  Call, text or email me and we can get to work today!

 

Alison Peterson, REALTOR

Cal BRE # 01872325

Proudly serving San Diego County

Posted on October 21, 2014 at 4:09 PM
Alison Peterson | Category: Home Buyer's Tips, Home Seller's Tips, How's The Market?, North County San Diego Real Estate, Relocation, San Diego Real Estate | Tagged , , , , , , , , , , , , , , ,