For Sale by Owner
Before you consider selling your house
yourself, ask yourself if you are going
to have the time needed to sell your
house - even if you just cover the
basics.
The Basics
- Complete an extensive
research of local market conditions,
including:
- the listing and selling
price of all houses in your area
for the last six months,
- the listing price of houses
currently on the market, and
- the listing prices of houses
that were on the market but did
not sell.
Tips: Begin your research
on the Internet. Follow-up by
visiting the county tax records
office to determine the selling
prices of houses.
Put together a marketing
plan.
- How will you market your
house to real estate agents?
Most buyers use a real estate
agent, so marketing to real
estate agents is essential. At a
minimum, you'll want to send a
letter and sales flyer to all
real estate agents within a 30
mile radius.
- How much money can you
afford to devote to advertising?
Call the local newspapers to
determine how much it will cost
for advertisements. You'll want
to run daily and Sunday ads in
the newspapers.
- Who will create your sales
flyers? Buyers expect fact
sheets to take with them when
they drive-by or tour a house
for sale.
- Where will you place
signage? In addition to your
front yard, is there areas
leading in to your neighborhood
where signage would be
appropriate?
- How will potential buyers
find information about your
house on the Internet? You'll
want potential buyers who begin
their house shopping on the
Internet to find your house. Be
sure to build a website to help
sell your house.
- Who will take inquiry calls
and schedule appointments?
You'll want someone to be
available to answer inquiry
calls and schedule appointments.
Be sure to schedule showings as
quickly as possible - even the
same day.
Tips: Ask newspapers for
a discounted advertising rate
for multiple placements. Be sure
to check with local officials to
determine if there are any
restrictions on where you place
signs.
" Pre-qualify buyers before
showing your house.
Confirm
that the potential buyer has
pre-qualified for a mortgage loan.
- If the buyer is buying with
cash, confirm that they have the
necessary resources.
- If the purchase is
contingent on the buyer selling
their own house, confirm that
the buyer's house is on the
market. (You may also want to
determine how long the buyer's
house has been on the market.)
Negotiations, Contracts and Closings
- Are you prepared to
negotiate the contract?
- Do you know what the legal
responsibilities of the seller
are in your area?
- Who will write the contract?
Will you need to hire an
attorney? If so, what will be
the attorney's fees?
Tips: In addition to the
sales contract, you'll need to
complete a Seller's Disclosure
and a Lead Based Paint
Disclosure.
