FISBO’s or For Sale By Owner properties have become a popular trend over the past few years, especially to the property owner who is on the verge of selling their property as a short sale. Due to the unfortunate imbalance in the real estate industry over the past several years, many homeowners are opting for FISBO’s as opposed to short sales. A short sale basically is a sale in which the bank or the mortgagor is willing to discount the loan balance due to the misfortunate economic hardship of the borrower.
To many, the pros of going FISBO seem to be the perfect out when selling real estate. Sellers can literally put money in their pocket by listing the property themselves which weeds out having to pay a commission to a Realtor. FISBO’s make it easy for sellers to cut their prices because of the fact that no commission is involved, as opposed to the seller who were to sell their property through a real estate company and having to pay a commission.
Sellers who opt to sell their property as FISBO‘s often hire FISBO website companies to assist them in the marketing of their property. This type of marketing does not give the seller the as much exposure in the local market unlike if they hired a local Realtor, who would assure extensive MLS exposure and local advertising at no cost to the seller. FISBO’s in essence are more affordable to those who are seeking a solution prior to selling as a short sale, or filing for foreclosure, however it is important to weigh the benefits of selling a home For Sale By Owner as well as the drawbacks.
First and foremost, when hiring a real estate professional, you can be assured that the agent will work in your best interest, list the price of your property based on the current market value and what has sold within the direct vicinity of your home, and will market your property to target the perfect buyer and will work hard to negotiate the highest asking price for your property. With that being said, because of the direction the housing industry has gone it is not the time to sell as a FISBO unless you are creative and perceptive about how to market your property during this temporary economic downturn. In today’s real estate market, it is possible for contract sales to drag on and on which can be quite discouraging especially if there are no additional prospects. There is such a huge influx of inventory available in the market today and if as a well-versed seller you are accustomed to the fluctuations and trends in the real estate market that occur every few years or so, then you know how to properly market your asset. If that is not your niche, then perhaps having the assistance of a well-seasoned real estate agent, one who has the skills to properly market your property during the down times as well as the up-swings in real estate is the right way to go.