Why “For Sale by Owner” Seldom Works in Atlanta
The Atlanta real estate market is strong, and homes are selling quickly. Selling a home must be easy! At least, that’s what For-Sale-By-Owner (FSBO) marketing companies want you to think. While many of these companies disappeared during the housing downturn, they’re back, and selling the usual snake oil. Their “kits” include things like MLS numbers, signage, website placement – and big promises.
Once they have your $500 or more, they do nothing but wish you luck. Sale-by-owner marketing companies have no vested interest in whether your home sells or not! They make money from the fees.
Of course, you can skip using any type of FSBO marketing company and save the fees, but it doesn’t make the job of selling your Atlanta home any easier. Here’s just a few reasons why FSBO sales seldom work for Atlanta home sellers!
1. The Atlanta real estate market is always changing. Professional real estate agents are immersed in daily market activity, and we know where home prices are trending higher or lower – and why. With each home sale and each new listing, the dynamics of any Atlanta neighborhood market can change. Also, there are trends caused by economic factors – everything from employment levels to interest rates. Understanding the opportunities and challenges of your market requires professional expertise.
2. FSBO home prices are a potshot. The motivator of selling-by-owner is to save the real estate commission. In other words, to get the most money possible. This same logic usually applies to how FSBO homes are priced, without regard to condition, location and a host of other factors that an agent would normally consider.
To determine the correct price range for market conditions, a real estate agent spends time researching recently sold homes. Detailed comparisons are made in regard to the subject property and similar homes. Variables such as the amenities, location, age of construction and other factors are all considered. A comparative market analysis, prepared by a real estate professional, gives you the most accurate picture of home value.
Because FSBO’s do not have access to agent-level MLS data that provides critical details, FSBO properties are easily overpriced, or under-priced. Sometimes, the FSBO price is a boon to the seller. In other cases, sellers hurt themselves by under-pricing and under-marketing their home.
3. Bank appraisals may disagree with the FBSO’s home price, causing the deal to fail. Most home buyers need mortgage financing, which requires a bank appraisal for approval. If the appraisal does not support the sales price, the deal can fall apart.
4. Home inspection results can cause buyer demands for repairs and price breaks. Without an experienced negotiator to help you resolve these issues, you could end up losing your buyer, or giving away far too much.
5. The Atlanta real estate market is global. Our home buyers come from all over the country, and the world! National and international relocations rely on the expert guidance of real estate agents. Our professional networks span the globe!
6. Scams and lawsuits. From hijacked listings on Craigslist, to unqualified buyers, to criminal opportunists, inviting strangers to visit your home can be a risky proposition. Hazards aside, making an error in your home information, or omitting a disclosure, can cause a lawsuit by a disgruntled buyer. Real estate agents have procedures and screening processes to help protect you. We also have insurance that covers our own errors and omissions, in the event we make a mistake.
I could go on, but you get the idea! When you’re thinking of selling your Atlanta home, give yourself the advantage of a real estate expert who keeps your best interests at heart. I will be happy to provide you with a personal real estate consultation, and answer any questions you may have.
Contact me today for your comparative market analysis! It’s free, and there is no obligation to sell your home.
Jill Heineck
Associate Broker
Heineck & Company at Keller Williams Realty
Phone: (404) 418-9157
Email: jill@heineckandcompany.com
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