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FSBO  a real alternative to the Realtor Conmission

FSBO a real alternative to the Realtor Conmission

If you know real estate or have been associated with buying and selling it you either love it or hate it. Realtors fit into this system and equation. Myself having been one never realized any value. If you price a home properly it will sell. This sounds like a basic statement but it’s actually that simple. If your property is clean and updated it will fetch a better price and be on the market a shorter time, conversely if your property is unimproved and in need of repairs it will be on the market alot longer. Services of a realtor, screening calls and people, setting up viewing. Worth 6%? Not to me, here is another option

Selling your home as “For Sale By Owner” (FSBO) is an attractive option for many homeowners looking to maximize their profit from the sale. By opting for FSBO, homeowners take on the responsibilities typically handled by a real estate agent, including listing the property, marketing, negotiating with buyers, and navigating the closing process. Here are the key benefits of FSBO in residential real estate, and an explanation of how using a real estate attorney for closing can streamline the process:

Benefits of For Sale By Owner:

  1. Maximize Profit by Avoiding Commission: One of the most compelling reasons for selling your home FSBO is the savings on real estate agent commissions, which typically range from 5% to 6% of the sale price. For a home sold at $300,000, this means saving $15,000 to $18,000. By avoiding these fees, sellers can either pocket these savings or use them to make their home more attractive to buyers through strategic pricing or improvements.
  2. Direct Control Over the Sale Process: Selling your home FSBO puts you in the driver’s seat. You have direct control over how your home is marketed, priced, and presented to potential buyers. This direct involvement ensures that every decision aligns with your interests and timeline.
  3. Personalized Interactions with Buyers: By managing the sale process yourself, you can directly interact with prospective buyers. This direct communication allows for more personalized and meaningful interactions, which can be advantageous during negotiations.
  4. Flexibility and Convenience: Without the need to coordinate with a real estate agent, you have greater flexibility in scheduling showings, open houses, and negotiations. This can make the selling process more convenient and tailored to your schedule.

Using a Real Estate Attorney for Closing:

While FSBO can save you a significant amount in commissions, it’s crucial to ensure that the legal aspects of the sale are handled correctly. This is where a real estate attorney comes in. Here’s how using an attorney can streamline the closing process:

  1. Drafting and Reviewing Contracts: A real estate attorney can draft or review the purchase agreement, ensuring that all legal requirements are met and that the contract protects your interests.
  2. Title Search and Clearing Title Issues: Attorneys can conduct a title search to ensure there are no liens or other issues with the property’s title. If any issues are found, they can help resolve them before closing.
  3. Navigating Legal Requirements: Real estate transactions are governed by a complex set of laws and regulations. An attorney can help ensure that your sale complies with all local, state, and federal requirements, reducing the risk of legal complications.
  4. Closing Process: The attorney can coordinate the closing process, including preparing and reviewing all closing documents, ensuring that funds are correctly transferred, and recording the deed.


While you will incur legal fees when hiring a real estate attorney, these are typically much lower than the commission you would pay to a real estate agent. The exact savings will depend on your specific circumstances, but the difference can be substantial, allowing you to retain a larger portion of your home’s selling price.

Selling your home FSBO with the assistance of a real estate attorney for the closing can offer significant financial advantages while giving you control over the selling process. By understanding the benefits and preparing for the responsibilities, homeowners can successfully navigate the FSBO route and achieve a rewarding sale experience

Expanding on the theory that a home will sell on its own if properly prepared and marketed for the right price, we delve deeper into the nuances that make this approach not just viable, but often highly successful. When a homeowner opts to sell their property as For Sale By Owner (FSBO), the key to unlocking the property’s potential lies in thorough preparation, strategic marketing, and accurate pricing. Here’s how these elements synergize to ensure a successful sale:

Proper Preparation:

  1. Home Staging and Repairs: First impressions are crucial. A well-staged home that highlights its best features, coupled with necessary repairs and upgrades, can significantly increase its appeal. This doesn’t always require a large investment; simple fixes and decluttering can dramatically enhance the home’s presentation.
  2. Professional Photography: High-quality photos are essential for capturing the attention of potential buyers, especially in online listings. Investing in professional photography can showcase your home in the best light, attracting more interest and potentially higher offers.

Strategic Marketing:

  1. Leveraging Online Platforms: The vast majority of buyers start their home search online. Listing your property on popular real estate websites, as well as utilizing social media and other digital marketing strategies, can significantly increase its visibility.
  2. Targeted Advertising: Understanding the demographic likely to be interested in your home allows for targeted advertising. Whether it’s highlighting the home’s proximity to schools for families or its modern amenities for younger professionals, tailoring your marketing can attract the right buyers.
  3. Open Houses and Private Showings: Hosting open houses and being flexible with private showings can make it easier for interested buyers to view your home. This direct engagement also allows you to highlight the property’s features and address questions on the spot.

Accurate Pricing:

  1. Competitive Market Analysis (CMA): Conducting a CMA or consulting with a valuation expert can help determine the right price for your home, based on comparable sales, current market trends, and the unique attributes of your property.
  2. Flexibility: While it’s important to set a competitive price, being open to negotiation ensures that you’re not rigidly fixed on a price point that could deter potential buyers. This flexibility can be crucial in closing a sale.
  3. Perceived Value: Pricing strategy can also influence perceived value. A well-priced home often generates more interest, leading to quicker sales and sometimes even competitive bidding, which can drive the price up.

By combining thorough preparation, strategic marketing, and accurate pricing, homeowners can significantly increase the likelihood of selling their property quickly and for a good price, even without the traditional route of hiring a real estate agent. This approach not only maximizes the homeowner’s control over the selling process but also enhances the potential financial benefits by saving on commissions and tapping directly into the market’s demand. Ultimately, a well-prepared and correctly priced home, marketed effectively, stands a strong chance of selling itself, affirming the viability of the FSBO route for informed and proactive sellers.

The closing of a real estate deal is a critical and often misunderstood part of the home-selling process. Many homeowners believe that a real estate broker is essential for closing a sale, but in reality, the closing process can be effectively managed by a closing service or agent, without the need for a real estate broker. Understanding this process can empower sellers to bypass broker commissions, saving thousands of dollars. Here’s an overview of how a real estate deal is closed by a closing service:

Understanding Closing Services:

A closing service, often conducted by a closing agent or title company, is responsible for ensuring that all the legal and financial obligations of a real estate transaction are fulfilled. This process involves coordinating the transfer of the title from the seller to the buyer and ensuring the secure exchange of funds. Closing agents are neutral third parties who specialize in handling the intricate details of real estate transactions.

Key Steps in the Closing Process Handled by Closing Services:

  1. Title Search and Insurance: The closing agent conducts a title search to ensure there are no outstanding liens or claims against the property. They also facilitate the purchase of title insurance to protect the buyer and lender from future title disputes.
  2. Preparing Closing Documents: The closing agent prepares all necessary closing documents, including the settlement statement, deed, and loan documents. These documents detail the financial transactions involved, including the sales price, loan amount, and closing costs.
  3. Reviewing Documents: Prior to closing, the closing agent will review all the documents with the buyer and seller, ensuring that both parties understand the terms and conditions of the sale.
  4. Handling Funds: The closing service manages the escrow account, into which the buyer deposits the funds required to complete the purchase. At closing, the service ensures these funds are correctly distributed to the seller, paying off any existing mortgages or liens on the property, and covering closing costs.
  5. Recording the Deed: After the closing, the closing agent is responsible for recording the deed with the local government, officially transferring ownership of the property to the buyer.
  6. Final Steps: The closing agent distributes final documents to the appropriate parties, including the deed to the buyer and the proceeds from the sale to the seller, thus completing the transaction.

Why Understanding the Closing Process Matters:

The closing process is often perceived as complex and daunting, leading many sellers to default to using a real estate broker out of a misunderstanding that they are required for closing. However, closing services specialize in these transactions and can navigate the legal and financial complexities efficiently and effectively, without the need for broker involvement.

By demystifying the role of the closing agent and understanding that this process can be completed without a real estate broker, sellers can make more informed decisions about how to sell their property. This knowledge can lead to significant savings on broker commissions, which can amount to a substantial portion of the sale price. Sellers equipped with this understanding may be more inclined to consider For Sale By Owner (FSBO) or other selling strategies that allow them to retain a greater share of their home’s selling price.

While real estate brokers can offer valuable services, particularly in terms of marketing and negotiation, they are not necessary for the closing process. A closing service or agent can handle all aspects of closing a real estate deal, providing a viable and often more economical alternative for sellers.

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