Selling a House Without an Agent

Title and Education

There are two statements conveyed through this article that are addressed as follows. First, a Title Company or Escrow can't advise you like a lawyer can. When you are a FSBO you help yourself, in that you had better know something about the sale of real estate, vesting, terminology, inspections, disclosures etc. Escrow agents are dual agents to the transaction. This means that they represent both the buyer and the seller. They can't decide for you and can't negotiate for you and cannot answer your questions, because by law they are a neutral third party (of course they do provide the valuable tasks of processing documents, researching records and providing title insurance etc.). Second, it takes longer than two weeks to get a real estate salespersons license at least in California. A license is classified after a certain number of academic units have been completed and a state authorized three hour test is taken and passed. And, continual education is required by law to maintain a license. And this does not include the agent's brokerage that mentors and provides oversight and education as well. Moreover, a licensed agent has at their disposal legal counsel from organizations like the California Real Estate Association and the National Real Estate Association.

Don't let a few bad apples spoil the bushel... of CA @ Jan 23, 2009 14:30:40 PM

Good Luck

The value of a good agent will pay you far more than the commission you may save selling your home as a FSBO.

Value is determined by the market at the time your home is for sale, the true value is what a buyer will pay for it not what an appraiser or agent have determined for you. Just getting the buyer or seller to come to your price means nothing. It may have been 20% over priced to start with. You have to know the current value. A professional, educated full time realtor who is out there in the market place, viewing the inventory, watching the price reductions, expirations, cancellations etc. has more knowledge than some company or realtor that is strictly on line. Where is their education? Sometimes a home is priced right to begin with, appraisers do not go into all of the homes used for Sold comparables. That is why they call and ask listing agents questions about thier Solds, and the terms which can mean an additional 3% or more. Obviously the realtor is of considerable value when appraisers defer to them. Remember that pictures lie sometimes. So you can't depend on them.

My company had three appraisers teach us a class about how they determine value. They all made price adjustments a little differently. The condition and improvements adjustments are subjective to their personal oppinions. They do come up with different values, just like agents do. My experiance tells me that an agent who has been inside of the comparable homes should be far more accurate about the price than an appraiser who wasn't. I have successfully challenged appraised values because I had been in the comparable homes and was able to provide documentation to dispute the appraiser. I have other agents preview my homes but never an appraiser. There are other things that you need to call out on an offer. Different inspections, Wells, Septic,roof, neighborhoods. If you don't address them on the offer you lose.

The market determines value so what is saving 6%. If your home is exposed to the MLS and its agents want to show your listings

you should sell at your best value. An inexperianced seller is just asking for trouble.

Phil Scheer of WA @ Dec 12, 2008 15:55:05 PM

I WANT TO BUY YOUR HOUSE

Hello

We are tripod consulting company asking for the price of the biulding.

JOHN BALLACK of NY @ Oct 15, 2008 21:44:06 PM

Realtors are basically parasites

I have worked on all sides of real estate: Realtor, investor, private buyer, private seller, landlord, etc. I have worked with, for and against all the parties involved in transactions.

And I can honestly say that most realtors, just as most salespeople in general, are PARASITES...dangerous to the buyer's and seller's health.

They get paid when YOU spend money. That's their reason for existing. Enough said.

Anyone who denies this is a fool, or a liar.

When times are tough, most realtors choose themselves over their clients. Oh yeah, they do it when times are great, too.

They helped millions get into a bad jam these last few years. Buyers are responsible for their own decisions, but just like drug dealers peddling heroin, the realtors sold as much as they could as fast as they could.

I look back on the scumbag realtors that tried so hard to sell me worthless, overpriced investment properties in 2004-2006. And these people were representing ME!

Then, there's the one shark that did get my money. What a pack of liars.

They can all be replaced. There are a few good people in the business, but, as in most sales fields, the good people usually starve. Sales is a field for professional liars. Prove me wrong.

You can't.

see the truth of MO @ Oct 03, 2008 02:27:04 AM

MLS, FSBO Companies and the FTC

The MLS and ALL of its content are the direct result of the efforts and financial support of Realtors. Its gathering of accurate data, market times, prices & trends should all be condsidered intellectual property owned by the people that support the system. However, the Fair Trade Commission decided that Realtors could no longer keep the fruits of their labor to themselves and we were mandated to open the MLS to everyone. So the flood of parasites poured in. Your $300 gets you one thing...access to me, the Full Time Realtor. More often than not, by owner type companies, when asked by a homeowner how do you set a price for my home, it will be suggested to them (although by owner companies won't openly admit it) "call in a few local agents in your area, but dont sign anything!".

I get the call based on false promise. After you have wasted my time using my expertise from years of experience, using the MLS information that I built, and recieve a professional Market Analysis in writing from me, you exhaust my resources for free (our fault for that) then you will email a "Realtor" in another state working behind a keyboard m-f 9-5 to sell your home...GOOD LUCK.

If your so good, go start your own MLS and give us ours back...then tell me how great you are.

Mike Dybas CRS,GRI

20 Year Full Time Realtor

http://www.MikeDybas.com

http://www.MikesRealEstateShop.com

ps...by the way, we have a much more intimate knowledge for the local markets we individually serve than appraisers who appraise across a broad range of areas. You will also find it intereting that the MLS and its outstandingly accurate information that is supported by Realtors is their PRIMARY source to appraise your homes value.

Mike Dybas of IL @ Jul 19, 2008 15:08:03 PM

You Have To Be Kidding

I am a proud member of the National and Local Associations of Realtors. My wife and I work extremely hard to sell homes in a professional manner and to do it in the shortest amount of time. If you truly want to know who the crooks are, you should here the Fsbo online services stories I hear on a daily basis. We are some how wrong for looking out for our clients best interests, trying to create live long relationships to continue business in the future. These FSBO companies sell a line of bull___ when they go into homes selling their services with no recourse and no code of ethics. As far as Richard in California he really needs to get a life. Come and review what we stand for and how we must maintain and live our business lives and then talk. I would trust a Realtor any day of the week as long as they are a Realtor and not just a real estate agent long before I ever trusted an unregulated industry like these FSBO companies

Craig Martin of LA @ Jul 19, 2008 15:04:03 PM

The Real Estate Mofia

These Realtors would like for you to believe that they "care" & you "need" them. They run down the FSBO companies when in Reality some of those companies offer better marketing exposure then the Realtors. Some FSBO companies are ran by lienced Realtors (by the way the Realtor designation only mean that they paid a fee to become a member. The boast about thier "ethic" but I never seen a local state or national board eforce any of those so called ethics). The FSBO company in my town is a member of 2 MLS Boards while most of the 6% companies are only members of 1 Board. The FSBO company pay for "Enhanced Realtor.com" listings (25 pics, printable broucher, email agent, scrolling message, showcase boarder...... The FSBO company owner/agents actually call you back the same day, they give you a large metal professional yard sign.......plus more!!!!!!!!!! They are selling & listing more homes in our market than the traditional 6% guys! The FSBO company gives you all this service for a flat $500 until sold and any commision to a buyers agent is at the set by the seller. The FSBO company is also sharing 25% of the Buyer's Broker commission "in Cash" with the buyer. I understand that the 6% realtors are upset that their gravey train is being attached. The are a powerful group. Visit the department of justice web site "Anti-Competitive RE Practices" to see how the Federal Govement is trying to help conusmer's fight RE price fixing, unfair trade & monopoly. Realtors put in an average of 5 to 10 hours of real work on a listing. This puts their hourly rate at over $1,000 (not bad) most of their expense are fixed. If a seller actually compares the services of a traditional realtor to a FSBO realtor they can decide for themselves if the extra $!5,000 +++ is worth it are not. What ever they choose they need to make an "informed" decision.

Donna L. Molyenaux of KY @ Jul 19, 2008 14:42:12 PM

Why use a realtor?

When you use a realtor, you use a professional business person whose livlihood depends on their being honest and forthright for their client. My wife and I have been realtors for eight years,her fulltime, me parttime. No one works harder at making sure all the rules are followed, all deadlines met, and both sides doing what has been agreed upon. My wives total objective is the satisfaction and happiness of her clients, getting them as much home as they qualify for and near or right on what they are looking for. She has been out till 3 am on occasion showing houses because the clients worked the second shift and couldn't view until after midnight.

As far as these internet realty companies, ever see what they do for you? They put a 3 line listing in the local paper or a generic listing in their huge database, give you a spindly sign made out of wire and cardboard, and a handful of ballons and say, "call us when you need to write a contract, well good luck!". Yeah, great! Then try getting them when YOU want to talk to them. Hope it's nothing urgent.

In conclusion, why would anyone use an agent? Well unless you know what you need to know, you could be in trouble from the start and never know it till it's too late. Unfortunately, there are people out there who feel everyone is a sucker or mark and have no remorse at ruining someones life and taking their home in exchange for a pocketful of change. It could be thousands of dollars, but to our way of thinking it's nothing more than change. If that same person would take that same energy and use it for the benefit of their clients, they would have a customer for life, and quite possibly their relatives and friends also. This is mentality we have, and thats how we approach this business. Period.

Daniel Gallardo of AZ @ Jul 19, 2008 14:05:54 PM