Are You Trying to Sell Your Own Home – FSBO?

Inactive Realtors in Ontario have the option to join an Ontario real estate Brokerage that help you keep your license active during your inactive times.  Save on real estate board fees and all your other needless office expenses too.  Park your license with a reputable and successful license holding Brokerage and still earn high commissions on all your sales, if any and your referrals.  Commissions are paid to you ASAP!

95% of Real Estate transactions go through a Real Estate brokerage.

You want to sell your home yourself? You phoned a few agents that had SOLD signs in your neighborhood and asked what the homes sold for. You didn’t see any of these homes, but you came up with a price yourself, based on an over the phone conversation. You didn’t ask any of these agents to come in and give you an opinion of value.

You have now established a price you want to sell your home for. You put a “For Sale By Owners” sign on the lawn, with your home phone number. You work all day and calls come in while you are at work. These calls are from Real Estate Agents who drive neighborhoods looking for signs on the lawn like yours. They don’t’ leave a message, they want to talk to the owner. Calls come in from buyers, but no one is there to take the call. They don’t want to give out their phone number because they want to remain anonymous. You have now missed many phone calls from potentially good buyers and they might not call back.

It’s now evening and your phone starts ringing, but these are from the Real Estate Agents who could not get you during the day. They are trying to subject you to hundreds of sales pitches to tell you how great they are and how difficult it will be to sell your home yourself.

You get a few phone calls from buyers. You have no idea if they are qualified-usually they are not and that is why they are trying to buy privately. An appointment is made and the buyer comes to see your home. What kind of security do you have in place, remember, these are strangers. The buyer asks some questions about the house and then they says they will have to think about it. The seller can not ask too many questions because the buyer usually takes offense.

A week goes by, two weeks go by, three weeks go by. You have shown the house to many buyers but no offers. You can not call them back because that would appear to be too anxious. You don’t understand why no one has made an offer. This is one of the many pitfalls of selling on your own.

Week 4 comes a long and the first buyer calls you. He wants to see the house again. During his appointment he expresses interest in buying it and makes a verbal offer. This offer is way below what you are asking. Most “For Sale By Owners” get insulted at the low offer and do not know how to counter offer. The seller does not know the right questions to ask. He does not know if the buyer is even qualified to buy a home.

They are trying to make a deal with you at a greatly discounted offering. Remember, they are intent on saving the same commission you are trying to save. They also can not afford a house in your area and that is why they are trying to buy with out an agent.

Unless the buyer who makes an offer on your home has the resources to qualify for a mortgage, you may not really have a sale. If possible, try to determine a buyer’s financial status before signing the contract. Can you ask the buyer the following questions?

1. Has the buyer been pre-qualified or pre-approved (even better) for a mortgage? Such buyers will be in a much better position to obtain a mortgage promptly.

2. Does the buyer have enough money to make a down payment and cover closing costs? Ideally, a buyer should have 20 percent of the home’s price as a down payment and between 2 and 7 percent of the price to cover closing costs.

3. Is the buyer’s income sufficient to afford your home? Ideally, buyers should spend no more than 28 percent of total income to cover PITI (principal, interest, taxes, and insurance).

4. Does your buyer have good credit? Ask if he or she has reviewed and corrected a credit report.

5. Does the buyer have too much debt? If a buyer owes a great deal on car payments, credit cards, etc., he or she may not qualify for a mortgage.

When buyers work with a professional realtor, this questions are standard practice.

The following is a list of Service Providers that Realtors have at their finger tips and Sellers can not help buyers with:

- Real estate attorney

- Appraiser

- Home inspector

- Mortgage loan officer

- Environmental specialist

- Zoning inspector

- Survey company

- Termite inspector

- Insurance consultant

- Moving company

Forms You’ll Need to Sell Your Home.

1. Property disclosure form. This form requires you to reveal all known defects to your property.

2. An Agreement of Purchase and Sale. The agreement between you and the seller on terms and conditions of sale. Private sellers are not legally allowed to use any forms put together for the sole use of members of the Toronto Real Esate Board or OREA.

Are you prepared to handle your own OPEN HOUSE? Do you know the 6 steps to having an oepn house.

Working with a Realtor gets you a faster sale, at a higher price and qualifies the buyers before they bring them to see the home.

If you are looking to sell your home please contact me through my website http://www.team-plant.com and click on SELLERS

Diane Plant is an active Real Estate Broker who has been licensed by the Toronto Real Estate Board, RECO and OREA since 1988. Whether you are a first time home buyer, looking to sell your property, or an experienced investor, I can help you with all your real estate needs. I can be reached at 416-418/7555.

http://www.torontoontariorealestate.blogspot.com

Article Source:

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Inactive Realtors in Ontario have the option to join an Ontario real estate Brokerage that help you keep your license active during your inactive times.  Save on real estate board fees and all your other needless office expenses too.  Park your license with a reputable and successful license holding Brokerage and still earn high commissions on all your sales, if any and your referrals.  Commissions are paid to you ASAP!

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