For Sale By Owner (FSBO) is a term that sounds like a big money-saver for Oak Bay home sellers because means they get to keep the commission they would have otherwise paid to an agent. Today, there are plenty of websites and even online real estate services that claim to help sellers save thousands of dollars on their home costs. But no matter how fool-proof the selling process may seem from the outside, there's a reason why agents have trained to get where they are. See why it's too big a risk to take.
Too High, Too Low
Setting a price is more than just getting a market assessment and researching the prices of homes that recently sold in the area. A real estate agent knows how to take into account the demand for the market at the time of sale, and the buyers who are most likely to visit the home. From the condition of the home to its precise location, a real estate agent has an objective understanding of how to anchor the value to spark the most interest.
Researching Takes Time
Some home sales go through without a hitch. There are no negotiation stumbles, no financial hiccups, and no unrealistic demands on the part of the buyer. But these home sales are few and far between. Agents know the red flags to look for, meaning sellers can simultaneously save their own time and reduce their chances of ending up in legal hot water.
Buyers Are Everywhere
Sellers may have potential buyers in every corner of the country if they knew exactly where to look. An agent will have a better idea of who's buying in which areas, and how those buyers can best be reached. In addition, most real estate agents for the buyers will advise their clients to avoid an FSBO. There's just too many unknowns in the equation to justify the risk.
Paperwork in Complicated
There are a few things to note about home sellers paperwork:
- Quantity: The sheer number of forms to fill out is overwhelming for anyone. Home sales used to just a few sheets of paper, but liability concerns and legal codes have made those days a thing of the past.
- Quality: Just one mistake on a form can cause major delays in the home sale process. Due to the intense jargon and complicated formulas on the forms, it's all too easy for sellers to miss something.
- Legality: A real estate transaction is a legal transaction as much as it is a property sale. Real estate lawsuits are far more common for FSBO homes simply because the sellers were unaware of their obligations at the time of the sale.
Homes sold without the help of an agent tend to sit for longer, which can ultimately become frustrating for any seller. Especially for owners located in a buyer's market, it really helps to have someone who can navigate the market to speed up the sale. From Open Houses to purchase offers, a real estate agent can streamline everything.
No matter what a seller is looking for from their home sale, the right real estate agent can help them get there. And while no seller is obligated to use one, the sale process is often too much to handle on one's own. The risks of a lawsuit or a poor offer are simply too great.
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The Neal Estate Team is your #1 source for all of your Victoria BC real estate needs. Get in touch with us online or by phone at (250) 386-8181 to speak with a Victoria real estate buying or selling expert today. With decades of experience as a top selling Victoria REALTOR® and ranked in top 1% globally with over 4,000 transactions and $1 Billion SOLD, Ron Neal & The Neal Estate Team have the industry experience and market knowledge to help you make smart and informed buying or selling decisions.