Two of the most popular ways to sell your home in Mobile is to either list it with a realtor or sell it off-market to a real estate investment firm. Both come with their own set of benefits and downsides.
If you’re looking to avoid both of those options, an FSBO (For Sale by Owner) property listing is another way homeowners in Mobile could consider. It makes sense to think “Let’s sell it ourselves and save the real estate agent commissions and fees!”
As good as that sounds, going it alone with an FSBO listing isn’t always the best option. The process of selling a home is much harder than it seems and fails 90% of the time. Here are five things you should consider to see if you can make it into that 10%.
Time and Toil
To put it plain and simple, it takes time to sell a property, no matter how you go about doing it. Real estate agents typically handle the weeks (and sometimes months) it can take to have your property inspected and appraised; from contacting the professionals, scheduling the appointments, advising updates on the property, rinse and repeat.
Real estate investors and investment firms would buy the property from you immediately and spend just as much time if not more repairing and updating the property themselves. It has to be in perfect condition when it comes time to resell or rent out.
Once that is finished, the real estate agent or investment firm would work out times for open houses, showing the property over and over; not to mention any negotiation processes. If you decide to sell your property yourself, all of that responsibility falls on you.
If you list with a real estate agent, it could still take just as long to sell, but the stress wouldn’t be on your shoulders. If you sell off-market to an investment firm, you could sell within the same week but for a lower profit. These are all things to weigh before listing your property as FSBO.
You should also know that Mobile FSBO property listings tend to sell for less than what their owners typically want. Updates and repairs, appraisals, age, location, and other factors can impact how much someone would be willing to pay for a property.
If you are willing to negotiate and let go of the property for lower than your initial asking price, selling to an investment company may be a better route for you given how quickly you can sell it.
However, if you’re wanting to get top dollar for your property, selling it yourself may not bring that, and you should consider listing it with a realtor.
To be completely honest with you, your property is more than likely not in ready-to-sell condition when you first consider jumping into the process. Repairs are inevitable. Updates will be needed to match the standards of Mobile disclosure laws. Neglecting to understand these laws and learning this lesson the hard way could land you in legal hot water.
Legalities and Paperwork
Quite often, sellers decide to work with investment firms and real estate agents because the thought of doing all of the paperwork is overwhelming. As mentioned above, understanding the legal standards in Mobile is crucial.
Homeowners with Mobile FSBO property listings take on a huge responsibility in making sure every contract and form submitted is legitimate. Failure on this front could mean a deal falls through and could even cost you more money in the long run.
The term “holding costs” refers to the expenses you may experience while holding onto the property from the time you list it as for sale by owner until it actually sells. Holding costs can eat away at the profits of Mobile FSBO property listings. As stated before, there are several factors that can make selling your property a lengthy process. Depending on how long it takes you, the property can get stuck lingering on the market, costing you more money to keep it sellable than if you were able to sell it immediately. Even an agent cannot tell you an exact closing date early on in the process when listing a property on the Mobile market.
That’s the benefit to selling to a real estate investment firm like Southern House Buyers LLC. We can help you close as soon as you want to. We will make you an as-is, cash offer on your property that you can walk away with, without paying any closing costs or commissions. Selling to Southern House Buyers LLC is like selling your property yourself but easier, quicker, and less expensive.
At Southern House Buyers LLC, our goal is to help you make the most of your time and energy in making such an important decision. Feel free to ask Southern House Buyers LLC any questions you may have with no obligations. Send us a message or call Southern House Buyers LLC at (251) 333-7556.