Some home owners just want to do it themselves. The same with changing the oil in their cars and installing batteries and brakes, my dad was that way.
I don’t think my dad would have sold his own home, but the other things he did himself.
Until one time when he installed the brake pads backwards – that was quite a ride that could have ended in tragedy, but didn’t.
Today we had a story out of Detroit where a For Sale by Owner property sold back in August.
The owner of the property said he sold it himself. Which, according to the article, was apparently true.
However, after looking at the local market and within the local Boards of Realtors data, it would seem that most homes, at that time, were entering escrow within two weeks and closing from 30-45 days later.
I know you want to ask – so I’ll tell you 🙂 . It took this For Sale by Owner 8 months to sell his home at a savings of roughly $10,000.00 in commission to a realtor.
I’m wondering how much his house payments were? Let’s say his payment on a home he sold at $350,000 was $2300.00 a month.
That is if he owed 300k and if he had a 6% interest rate (which would seem likely at the time which the home was purchased).
Allowing $1k a year for insurance and an estimated $5k a year for property taxes.
$2300 X 6 = $13,800.00. Notice I added up the payment for 6 months not 8, because Realtors were closing in approximately 2 months, from start to finish. He took eight, so I wanted to give him the benefit of the doubt.
If he had hired a realtor he would have saved roughly $3800.00. Also, he may have sold him home for more $$$, which studies have shown.
Be safe and hire smart before embarking into the real estate sales world.