Go For Sale By Owner or use an LGBT REALTOR

Whenever someone decides to sell a home, the first thing they typically do is factor in the expense of hiring a Realtor. Fees paid to real estate brokers are typically one of the biggest costs in any property sales transaction, and they can take a significant bite out of the homeowner’s potential profits. That’s why, especially during the kind of severe buyer’s market that has existed for the past three years, many LGBT sellers consider taking the For Sale By Owner (FSBO) route as a cost-cutting alternative.

But to fully evaluate the pros and cons, it is a good idea to first examine these four important and often overlooked components of the equation:

#1

Co-op Fees

When weighing the pros and cons regarding brokerage commissions, keep in mind that most sales involve both a listing agent and a buyer’s agent – in other words, the Realtor whose sign is in the yard plus another Realtor who brings a buyer. Both work to sell the home so both deserve compensation. Almost always – regardless of whether or not a homeowner uses a listing agent – qualified buyers will have their own Realtor to represent them. Rarely do buyers deal directly with FSBO sellers, so anyone planning to sell their own home should be prepared to partner with professional real estate agents. So even in the case of a FSBO, if a Realtor brings a buyer and completes a purchase offer they will need to be paid a finder’s fee. Many inexperienced homeowners forget to factor this into their plans and calculations. Selling a home themselves as a FSBO can look a lot cheaper on paper – especially if this important element is overlooked.

#2

Inclusion in the MLS

The Multiple Listing Service (MLS) is the definitive source for buyers within the residential real estate business in the USA. When buyers are looking at homes, this is the database they use to find property. Many different kinds of packages are offered by LGBT-friendly brokerage firms that cater to LGBT sellers who want to do some of the work themselves. Some provide assistance, for instance, with contracts and negotiations for sellers who handle their own showing appointments and tours. The main point is that those entertaining the FSBO alternative should be sure to take full advantage of the benefits of inclusion in the MLS – because that is the most comprehensive and cost effective marketing and advertising available.

#3

Buyer/Seller Negotiations

Many LGBT sellers – especially first timers – fail to recognize the value of paying for expert professional negotiations, but this is one of the most compelling reasons to hire a LGBT-friendly Realtor. The value of a professional negotiator is underscored by the fact that many experienced and highly trained real estate professionals still hire other Realtors to represent them when they sell their own homes. That may sound rather peculiar and ironic on the surface, but third party negotiations are generally more successful, more objective, and more readily accepted by buyers – so they yield better results. Having a go-between who is also skilled at negotiating for a higher price and more favorable terms can be invaluable, especially in today’s real estate market.

#4

FSBO Compensation

Buyers who are on a serious house-hunting expedition expect to tour property on their schedule and at their convenience. Realtors are used to working evenings and weekends. But LGBT homeowners should carefully consider how the FSBO role may affect their lifestyle. Anyone considering the FSBO option should ensure that they will be rewarded appropriately for the effort of opening up their home to strangers and being imposed upon at all hours by phone calls and drive-by inquiries. Keep in mind that when homeowners are not available to show FSBO properties, buyers usually move on to another house and never call back. Then there are times when potential buyers schedule an appointment but fail to show up on time – or do not show up at all. When acting as a FSBO seller that kind of loss of time is the homeowner’s liability, not the potential buyer’s – even if the FSBO seller had to hire a housecleaner on short notice, cancel an important meeting or social engagement, or take time away from work to meet the buyer. Come up with strategies to manage those sorts of tasks and contingencies and also calculate how much financial compensation it is worth.

Before LGBT sellers make up their minds about whether to try to go it alone or enlist the services of a LGBT-friendly professional, they should consider their own particular circumstances. These four tips will help LGBT homeowners realistically evaluate the advantages and disadvantages of the FSBO approach and make accurate predictions of actual net savings. Crunch the numbers, tally the pros and cons, and factor in marketing and business negotiation experience and real estate expertise. Then arrive at an informed and confident decision.

To find solution-oriented and client-focused LGBT-friendly real estate professionals, visit www.GayRealEstate.com, or call toll free 1-888-420-MOVE (6683). The site is home to the largest online network of LGBT Realtors in the world.