Secret To Capitalizing On Short Sale Foreclosures

The key to succeeding in the short sale foreclosure market is to understand how a short sale works. Take your time do some research but when you are finished with the research you must take action.  There is many tools available online that are either free or very inexpensive to obtain. Look at your research being no different than going to a local book store and researching any topic.

What if you had the ability to sign up now and receive a free short sale audio plus get a list of Hard Money Lenders and Investment Groups in your area. There is no need to spend hundreds of dollars to so called top foreclosure gurus for information you can get for less than $50 or even FREE sometimes. It is not just about getting the information but actually utilizing the knowledge you obtain. Now would be a great time to Click Here and obtain your free short sale audio information.

Why Your Real Estate Agent Isn’t Talking About FSBO Homes For Sale

Real estate agents love to talk about real estate, until you ask about FSBO real estate. They won’t show FSBO homes. They won’t look at FSBO real estate. They won’t talk to FSBO sellers.  They will come up with a litany of reasons you should avoid FSBO real estate at all costs. From their perspective, the unspoken reason you should avoid FSBO homes, though, is because real estate agents won’t make any money off of FSBO sales. So why should they even waste their time? After all, selling your home is not about you, and not about your home. It’s about keeping agents in business, right?

 Real estate agents want you to believe that selling a home is too hard for the average homeowner. They want you to believe that showing a home to a stranger is dangerous. They want you to believe that an FSBO home is over-priced or under-priced, depending upon whether you’re a buyer or seller. 

The truth is that FSBO real estate sales are quietly becoming more popular nationwide. In some markets, FSBO real estate firms list more homes than the local MLS does. A recent study by Northwestern University exploded some of the myths that real estate agents have been passing along to buyers and sellers for years. Despite the NAR’s best efforts to convince people that realtors get higher asking prices for listed homes, the Northwestern study showed that FSBO sellers got as much or more for their homes than conventional real estate agents did.  

  If a seller can get as much or more by selling himself, who’s leaving money on the table? And if a real estate agent tells a seller than he can get 15 percent more for a home than the seller can get by himself, how does that make the seller feel when the seller turns around to buy a new home? As a buyer, is he now getting ripped off for 15 percent of the home’s sale price?  

In today’s recessionary markets, savvy sellers are unwilling to part with a large portion of their home’s equity. They simply can’t afford expensive real estate commissions. Properly prepared and educated FSBO sellers rightly believe they can do a better job of selling their home than a real estate agent can. The growth of FSBO selling is proving that point. 

As sellers equip themselves with the proper information and tools, successful FSBO sales will become more common. Buyers and sellers are tired of being ripped off and treated badly when it comes to the largest financial transactions of their lives.  The buyer and seller have a much larger stake in the purchase or sale of a home, and it doesn’t make sense to allow a real estate agent to tack on extra premiums for performing a limited amount of work.  

In today’s market, sellers are already looking at options that will help them preserve the value in their homes. Home prices in many markets are dropping, and sellers can ill-afford to give up their home’s equity just to effect a property sale. FSBO real estate offers depressed-market sellers a viable option for preserving their capital.

FSBO real estate and providing information.

Information is king in many ways and providing this to potential buyers is huge.  The Fsbo real estate market requires a seller just like a real estate agent to provide information to buyers. When people are searching for homes, they need information on the area of interest. The point is that when marketing your home, make sure you provide the need information a buyer may be looking for relating to schools, taxes, and more.

The Fsbo seller competing with other homes for sale.

The real estate market is soft in many places, and the FSBO real estate market is no different. Selling your home yourself is still quite possible in a soft market. For the FSBO seller, one major challenge is competing with other properties for sale in the neighborhood, regardless of how other properties are listed. With the proper exposure and a solid sales strategy, however, many homeowners are finding that a FSBO approach works just as well as a home sale handled by a real estate agent.

 

Consider What You as a Fsbo seller Could Do With Your Equity

How much commission will you a Fsbo seller pay on the sale of your home? Three percent? Five percent?  Seven percent?  Say that you purchase your home for 100,000 and in five years, the value of your home has increased by $50,000. Your equity in the home is $50,000.  If your $150,000 home lists with a five percent commission, you’ll pay $7,500 to an agent to sell your home.

Home owners who do not choose the Fsbo way just given away 15 percent of their home equity. What could you have done with that extra $7,500?  You could have used it to make a bigger down payment on your new home. That $7,500 could have meant the difference between having and not having PMI. It might have meant that you could have afforded a nicer home in a better neighborhood. Maybe you could have made repairs or improvement to your new home. You could have used it to take a nice vacation, or pay bills, or buy a car. You could have saved it for retirement. But you gave it to a real estate agent for doing what you could have done yourself.  Is that what you really wanted to do with your $7,500? 

Before you decide to list your home with a real estate agent, do some research. Visit a Fsbo marketing website and look at the resources they provide to help you sell your home. Most can help you price your home properly for its location and expose it to the buying public.

A  true Fsbo website has no interest in taking away your equity.  A quality Fsbo website will not plan to refer you to real estate agencies, and wants you to succeed. You can sell your own home and save thousands in the process. You can sell your own home. It is worth your time to educate yourself on the options available.