Barbara and Tom, smart business professionals from Scottsdale Arizona decided to sell their home of 25 years. They made the choice to list their home FSBO because they believed the process of selling would be simple and they could save money by not having to pay the Realtor commission.

They pulled an online home valuation report on their home, came up with a listing price, and put up a For Sale sign in their yard. 

Everything seemed to be going great until they had to schedule an open house and attempt to market the showings online. They managed to schedule a couple open houses but only a few people showed up. Months went by with no promising prospects or potential buyers. They did their best to market the home and finally, after 6 months they found a buyer. 

While they were in the midst of completing the required legal paperwork and finalizing the contract a house down the street sold for almost $50,000 more than theirs. Worried their home was about to be sold for less than deserved, they called a Realtor for assistance. The agent had a professional appraisal completed, informed them of current market trends, and came up with a list price. Barbara and Tom quickly realized they had seriously undervalued their property and would have to choose between losing almost $50,000 on the sale or paying $35,000 to get out of the contract.  

Homes listed by an agent have a higher list price and sell for more. According to the National Association of Realtor®'s 2016 Profile of Home Buyers and Sellers, the average FSBO sales price was $185,000, while the average price for a home represented by an agent was $245,000. A shocking $60,000 difference. 

What FSBO Sellers Need to Know

FSBO Could be Priced Wrong and Statistically Sell For Less

One of the most important elements of selling your home is the price. Pricing too low and too high are very are very common mistakes sellers make. Too low and you miss out on money in your pocket. Too high and you get few to no offers, and well under asking price. 

Like Barbara and Tom, FSBOs who sign a contract and then realize a mistake was made will be stuck in their contract unless the buyer agrees to back out, which typically will cost the seller a fee. 

How an Agent Can Help

So how do we come up with a price for your home? Using a pricing strategy. When you work with an experienced Realtor who knows the market and takes the time to research homes in your area they will know how to properly price your home in the market. We get a pre-appraisal prior to listing your home then we develop a listing price based on that number and other current market factors.  

A Realtor will get you a higher price for your home in a shorter amount of time. When your house sells for more you make more, even after factoring out the realtor commission. 

Hidden fees

FSBOs are actually more costly than working with a Real Estate professional. There are hidden fees sellers are unaware of. Fees for signage, photography, flyers, MLS listing, attorney, home warranty, home inspection, pest inspection, a credit report for buyers, contracts and more. 


How an Agent Can Help

A Realtor can walk you through expected fees and inform you of what is included with their service.

FSBOs Spend More Time on the Market

FSBOs generally take longer to sell than homes listed with a Realtor. On average, 18 percent of FSBOs were unable to sell within the sellers chosen time frame. Without an agent properly marketing your 


house, it can sit on the market for months and possibly years.

How an Agent Can Help

An experienced agent will put together a marketing plan for your home to get it in front of the most buyers and buyer agents. 

Limited Marketing

FSBOs tend to have very limited resources to market their home globally.  Most rely on a yard sign and friends and family that may know someone interested in buying. When FSBOs sell to someone the seller knows, the sales price typically drops because the seller feels the need to cut a deal.

Even sellers who pay to list their house on the MLS won't have many buyers agents bringing their clients to look at the home because without a commission there isn't much of an incentive.

The real estate market has drastically changed over the past decade. FSBOs can no longer just rely on putting up a sign in their yard and telling their network of contacts. Now sellers have to actually work like an agent. From researching and procuring the best title company, getting their home evaluated, filling out legal documents, to having professional photos taken, marketing the property online, and holding open houses.

How an Agent Can Help

Sellers don’t typically know the market value, don’t understand market reports, and therefore don’t effectively market the property. To acquire multiple offers on your home it has to be seen by many buyers. An experienced agent will put together a personalized marketing plan using both traditional and digital marketing channels to get your home maximum global exposure to potential buyers. 

At Team Crumbz we go above and beyond to put together a custom marketing campaign for your home. We develop a personalized and creative approach to marketing your home from start to finish. From pre-listing to sale we provide marketing that's tailored to your unique property.  Click here to see our marketing presentation and how we exceed our client's expectations.

Buyers Lack Trust for FSBO

Both buyers and sellers need to be aware that FSBO scams happen and can affect either party. From fraudulent papers, purchases through a third-party, foreign buyer deposits, to acquiring personal information, identity theft and more.

How an Agent Can Help

Buyers are almost always represented by a Realtor to guide and protect them, and you should be too. 

Liability

When you sell FSBO, you accept all financial responsibility for potential mishaps and mistakes that may occur. If all the details are not just right, a seller may run into issues that can cost them. If this happens, their only choice would be to hire an attorney, resulting in additional costs and fees. 

How an Agent Can Help

A licensed agent not only prevents and discovers underlying mistakes, they carry Error and Omission (E&O) insurance to cover things that may go wrong. 

A recent FSBO just lost $6,300 after their A/C died in the middle of summer while the house was listed on the market. Had they listed with an agent, they would have had a listing protection home warranty that would have paid for the replacement of the A/C.

Inspections

Having a professional home inspection completed before your home goes on the market is important because it covers the infrastructure of your home and uncovers the less obvious issues which allow you to repair any items that may cause issues, reduce the price of your home, or deter buyers. Leaving too many necessary repairs is one of the many issues that can prevent your house from selling. It's great to be able to disclose the current condition of your home to potential buyers.

Many FSBOs don't know the proper inspections that should be completed. If they do have inspections completed, inspectors may list code changes for repairs that may not be the seller's responsibility. This can lead to unnecessary costly repairs.

How an Agent Can Help

You deserve a full support system to deal with all the details and make the process as seamless and enjoyable. When you hire a licensed Realtor, we offer our network of contacts to make sure you have access to the best professional support system. A Realtor can provide their contacts of inspectors and give you advice after the inspection is completed so you know what your responsibilities are and what may be the buyers. 

Legal Documents

There are a lot of legal documents that come with the process of selling a home. So much so that even licensed Realtors often hire a transaction coordinator to assist them. The closing process alone can include more than 50 pages of paperwork. The 2017 National Association of Realtors’ Profile of Home Buyers and Sellers showed that one of the most difficult tasks for FSBOs was understanding the paperwork. Even when a seller gets access to a downloadable contract, beginning to understand the details and customize it for their unique transaction can be a frustrating learning process and potential liability. 

How an Agent Can Help

Your agent will deal with all property disclosures and additional documentation. They will explain the details so all you have to do is sign the paperwork. 

Time

What many sellers don't realize is the process of selling a home is a timely and complicated transaction. FSBOs need to consider how much time they have to research the current market, schedule inspections, open houses, and fill out contracts. Providing ample access to the property gives the best chance of selling for the best price. Will the seller be able to leave work to unlock the house whenever a buyer wants to see the house any day or time? Homeowners selling by themselves usually don’t have the time to devote to the process.

How an Agent Can Help

That's our job! Realtors dedicate all of their time to their clients. We develop an extensive plan from start to finish to make the process organized, efficient and get the best result possible.


A Licenced Real Estate Professional Will Provide the Services and Results You Deserve

The process of selling a home can be overwhelming. There are a lot of steps and details that a seller should not have to tackle on their own. A qualified and skilled real estate professional can increase your listing price, save you time, liability, and assure a smooth hassle-free transaction. 

In addition to their expertise, there are many services and a network of professional contacts a Realtor will provide.

  • Pre-Listing Appraisal
  • Home-Inspection
  • Pre-listing Title Work
  • Pre-Listing Home Warranty
  • Consultation - Discussing your goals and needs will ensure we get you the most money on the sale of your home in a timely manner.
  • Professional Network
  • Professional Photography and Videography
  • Home Staging and/or Suggestions
  • Premier Marketing Strategy and Network
  • Negotiation
  • Results


We have a proven track record of results. More importantly, we care about promoting your home in the absolute best light and getting you the best price.

Listing your property with the Team Crumbz will give your listing the ❤️ it deserves.

Selling Your Home?

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