For sale by owner (fsbo)
fsbo real estate transactions
A For Sale By Owner, or FSBO transaction, is a home that is being sold directly by the seller, without a real estate listing agent. The benefit to the seller is that they are not paying a commission on the sale of his home, saving them between 3 and 6 percent of the selling price. However, seller will be responsible for all of the work involved in the sale of his home.
FSBO sellers must select the proper contracts and be aware of their state’s laws regarding the disclosure of their property’s condition. If a seller does not handle disclosures of property defects correctly, they open themself up to the possibility of a lawsuit if the buyer feels there has been any fraudulent activity. In addition, a poorly prepared contract or changes to the contract can give the buyer an easy way out of the contract, which costs the seller time and money. Hire a real estate attorney to draft up the proper contracts for you.
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If you choose to go for a FSBO transaction, you are responsible for facilitating the closing and assuring that all goes well. This can be an overwhelming task. Haven Title can help.
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