The following list of 10 mistakes for sale by owners make are my own personal opinion, so it will probably be different than the opinions of others.
The list is based on my personal observations as both a previous Realtor® and as a past owner operator of a for sale by owner company.
After you finish this page, you will be able to come back to the photo links below to select another bonus section.
#1 - Not Checking Your Existing Mortgage
I've listed this one first because it can be one of the more painful mistakes for sale by owners make.
Let's sell your property. You place the home on the market, have a successful sale, offer on your new abode and then at closing, discover that closing out your old mortgage is going to cost you $15,000.00.
OUCH! Never seen that one coming!
Please check your mortgage documents before you sell and talk to your mortgage lender or a mortgage broker.
For more information on mortgages and how you can save on payout penalties go, to Mortgages Explained
#2 - Over Pricing
I know, it sounds like a broken record when it comes to mistakes
for sale by owners make but don't overprice your house! The strange
thing is, many for
sale by owner's continue to do just that.
There is one and only one best way to establish your price when for sale by owner.
To find out more, Pricing Your House to Sell
#3 - Not Preparing Property for Sale
Unless you are selling an "as is" property, preparing your home for buyers is extremely important.
Why? Because you are competing with every other house for sale in similar neighborhoods in similar price ranges.
What house are those buyers going to choose? The one that FEELS the best and feels like home!
How many homes are the typical buyer going to purchase? One.
A little hint when selling for sale by owner. You need to try and be number 1.
For information on preparing your home to sell go to Preparing Your House to Sell
#4 - Improperly Written Ads
Selling just about anything is not about secrets. When you advertise your house in a printed manner, there are two important pieces of information you should always include.
The only time I would suggest you don't put in the exact address, is if the outside of the dwelling doesn't do justice to the interior.
To learn more about newspaper advertising please proceed to, All About Printed Advertising
#5 of My Top 10 Mistakes For Sale by Owners Make - Not Enough and/or Proper Signs
Signage is actually a very important marketing tool when it comes to how to sell by owner. Just throwing a cheap little sign up in your window is not a great idea.
You need high visibility signs and lots of directional signs if required. Many, many buyers drive neighborhoods looking for houses for sale. Don't miss out on that ready to buy individual.
For more information on signs, start at For Sale by Owner Signs
#6 - Aliening Realtor's
One of the mistakes for sale by owners make on a regular basis is making enemies with the Realtors® in their area. When I was a Realtor®, I experienced first hand how nasty some for sale by owners could be.
Most times I was approaching the owner because I had a potential buyer for their property.
When I was read the riot act by that owner and was told on no certain terms to ever step foot on their doorstep again, I honored their request.
In the majority of cases, I'd see that property listed with another Realtor® later.
If my buyer had purchased their property, the owners would have most certainly have put more money in their pocket.
Meanwhile, the buyer I was working with would purchase another home somewhere else.
Lesson? You don't have to fall all over Realtors®. Just be nice and leave the door open. In case one of those agents bring you a qualified buyer, you can bargain hard on their "finder's fee".
To learn more on the fine art of how to sell by owner and handling Realtors®, start at this page: All about Realtors then follow the links at the bottom of the page.
#7 - Spending Money for No Return
When it comes to mistakes for sale by owners make, remember to spend your money wisely.
Ask yourself two questions:
Will this enable me to sell the house faster?
Will this enable me to realize a return on my investment?
An example for the first question might be: Replacing the roof shingles that are all curled at the corners and ready to start leaking.
Yes, not only will the house sell faster, but it may be the difference of selling, or not making a sale at all.
An example of the second question might be: Putting a fresh coat of paint on all the walls and adding more lighting in the rooms with higher wattage bulbs. Your return on your investment will be secured.
You also want to be careful with your investment dollars. The main place to watch is printed advertising. If you are advertising in your local paper, choose times that people are looking for property such as the weekend.
Do you really need a picture ad when perhaps some bold print headline or an "eye-catcher" will do?
To examine more about preparing the house for sale go to House Staging
To learn more about advertising find out more at Real Estate Advertising
#8 - Negotiation
When showing a home, people have a habit of talking far too much trying to "sell".
How to avoid one of the biggest mistakes for sale by owners make? Listen more, talk less.
People don't sell houses, Houses sell houses!
To look at this problem in more detail, proceed to Negotiation
#9 - Chattels and Fixtures
Understanding the difference of chattels and fixtures can save you a lot of heartaches later. Making sure you remove and or replace certain objects before you sell will help with the process.
What you don't need is arguments about what is included, or not included, on the day before, or the day of the closing.
Find out all the details about these pesky chattels and fixtures by going to All about Chattels and Fixtures
#10 - Not Using Mortgage Brokers
My wife and I are great believers in mortgage brokers. Why? They have saved us thousands and thousands of dollars over the years.
When it comes to selling for sale by owner, you can use them two different ways.
When you apply for a mortgage on your new home or on your existing home.
Sending a buyer to them to put their mortgage in place.
When it comes to the buyer, you are better off sending them to a mortgage broker if possible. Why? Their own mortgage lender may turn them down making the whole deal fall apart, whereas a mortgage broker, will search for alternative mortgages.
To learn more about mortgage brokers and why I highly recommend them please proceed to Mortgage Brokers
That concludes my own personal top 10 mistakes for sale by owners make when it comes to selling a house, that I feel are most commonly make.
I hope this page has been helpful to you.
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