FSBO Jane

As most of you know, and from the title of my blog, I am an advocate of the “for sale by owner” model. I have had much success with the company Buy Owner who operates the web site buyowner.com. Recently I have been inundated with emails telling me that “my favorite FSBO is out of business.” Most of these emails are from real estate agents who forget I can Google their name and find out who they are. So it was time to get some answers.

The Daily Business Review posted an article indicating that Buy Owner’s assets had been turned over to Michael Moecker and Associates for liquidation. But, it also said that they were an Assignee for the Benefit of Creditors, also known as ABC. This is an alternative to bankruptcy. Now granted that Michael Moecker and Associates is known for liquidations, it seems they don’t plan on liquidating Buy Owner. How do I know this? Because the company is still running. You don’t run a company to liquidate it, you just liquidate it.

It seems that Buy Owner is still alive, although like most real estate companies in this market, they are struggling. But this is the time to thrive. Investors and flippers want to make as much money as they can, that makes FSBO the best possible was to sell a property.

Oh, and to all those people sending nasty emails to me, here’s more news. ForSaleByOwner.com IS part of the Tribune bankruptcy. Apparently it is going to be split off to some smaller entity. ByOwner.com is on auction. That’s right. The owner is auctioning off his assets but shows no financial statement indicating how much income the assets generate. To me, that seems a bit shaky.

I have to give Michael Mocker and Associates credit for seeing an opportunity here with Buy Owner. While the other two major FSBO’s are either in bankruptcy or bailing out in fear, they have decided to put time, effort, and money into keeping the last standing FSBO around. If I were in a position to do so, I would swoop in and scoop up all three companies and corner the entire FSBO market. But that’s just me.

Caught this recent article in The Globe & Mail, which brings out four key reasons for selling a home for sale by owner (fsbo).

Essentially, this piece shows that if you’re willing to invest in your own home sale—with your time, knowledge, availability for showings and creativity in marketing efforts—there’s no reason you can’t sell it for yourself.

I’d add that when you use a fsbo marketing company (such as BuyOwner.com), you arm yourself with even more resources and tools to sell without an agent.

Check out the complete article here!

This article from the Chicago Tribune explains the current sad state of affairs of living conditions in and around Chicago. Because of the poor economy, I’m sure other places in the country are experiencing the same scenarios. With over 23,000 foreclosures reported in Chicago last year, thousands of people have left their homes and moved into the basements, attics or spare bedrooms of family and friends. As the other article states, this poses threats to public safety, along with affecting street parking, classroom sizes, testing scores and more. Already, numerous people have died in a fire that engulfed an overcrowded home in a Chicago suburb.

Because jobs are scarce, it’s hard for people dealing with foreclosures to find affordable living and new jobs in a new location. However, my advice to these people is to check out FSBO real estate. People selling FSBO are looking to save money too, by not paying commission to real estate agents. Still, they are desperate to find buyers, and real estate advice right now clearly states that it’s a buyer’s market. Therefore, individuals or families who are forced out of their homes could search for rentals available at a fair price. Eventually, when their credit improves, they could find an extremely affordable home to purchase. Or, if a foreclosure hasn’t occurred yet, they could give up their difficult mortgage payments now and find a really nice house more in their budget.

So, if any of you foreclosure victims are reading my blog, my advice is to visit www.BuyOwner.com and search for houses or apartments within your price range. As of right now, prices are insanely low! People are desperate to sell, and the deals are incredible. Buy Owner is a credible company that offers a free, simple search engine. Why not browse what’s available and leave your friend’s basement sooner than later?

Good luck to everyone dealing with foreclosures and tough mortgages right now.

It’s no secret that today’s economy has made selling difficult. Last month, an article in the Las Cruces Sun-News explored exactly what that means.

In part, the article points out, this economy demands more of sellers, from updating and decluttering to flexibility and savvy pricing.

“Howard Dukes, an agent with Coldwell Banker in Las Cruces, said that potential buyers need to walk through the door and feel a connection to the home.

‘Create a wow factor so that when somebody comes in they say, ‘I can see myself living here,’ Dukes said.”

The article goes on to list five specific ways to improve a home’s appeal, borrowed from about.com. To read the full article, click here.

It’s no secret that I am a Buy Owner fan. It is the company that helped me through my FSBO transactions and it is the company I recommend to friends and blog readers.

I keep up with their blog, and during the month of January, that was especially helpful. I e-mailed several posts to my friends who are ready to sell, but I forgot to mention it here. Essentially, the entire month was a 31-day series on why to sell with Buy Owner.

Definitely check it out. Even if you’re not sure you want to sell FSBO, if you’re about to sell your house or you’ve had no luck selling it thus far, there is no harm in reading the 31 reasons why selling with Buy Owner is a smart choice. Because I sold a house using Buy Owner, I can acknowledge that what they say is true. You don’t pay anyone commissions, so it’s more money for you. People can find all the information on your house without leaving the comfort of their house, on the Internet. There are also new features of Buy Owner, like seeing what houses other people are viewing right at this moment, and the extra advertising on social networking websites like Twitter and Facebook.

Reading these 31 reasons to sell with Buy Owner will explain better than I ever could on why selling FSBO is the way to go. It also explains how Buy Owner stands out from other FSBO companies, so that when I continue to mention this company in the future, you will understand why.

For most people, the thought of buying a home with 100% cash, no mortgage, seems like an impossible dream. But the benefits—no monthly payments, full equity, financial freedom to pursue other interests or opportunities—cannot be denied.

Perhaps that’s why some of today’s home buyers are doing just that: buying their homes with 100% cash. Take a look at these clips from around the Web:

• BuyaHousewithCash.com

  “For many people, the cost of renting or paying a mortgage is the biggest chunk of their monthly budget. When that cost is eliminated, you have the financial security that most people only dream about.
  People who own their own homes without a mortgage know that a minor downturn in the local job market or the national economy won’t put their home at risk of foreclosure. True home ownership may also allow you more financial flexibility. “

• Xin Lu at Wise Bread
  

  “You actually own your house - I think psychologically there is a big benefit in knowing that you own your house free and clear. You also free up quite a bit of income because you will have no rent or mortgage.”

• DaveRamsey.com
  

  “The most ideal way to buy a house is the 100%-down plan. Sounds weird, doesn’t it?! But think how much fun that would be! Don’t borrow money. Period. If I can’t get you to postpone the purchase that long, I strongly suggest you save a down payment of 20% or more, choose a 15-year (or less) fixed-rate mortgage, and limit your monthly payment to 25% or less of your monthly take-home pay.
  You want your new home to be a blessing, not a curse. If you buy a house with nothing down and a huge monthly payment, you’re inviting Murphy to move into the spare bedroom. You do not want Murphy as a housemate - believe me! Slow down and realistically think through everything before you jump head-first into making this major purchase. If you don’t, you’ll just be giving Murphy an open invitation to overtake the house.”

• MoneySavingMom.com
  

  “As you will recall, our big goal for this year is to save up enough to pay 100% cash down on our first home. This has been a long-time dream of ours and we’ve been actively working the past year towards this. In actuality, though, we’ve been dreaming and working towards this even before we got married.”

I have a lot of respect and admiration for people who pursue this goal. And I have to say - reading their thoughts only increases my faith in For Sale By Owner home selling. By selling with a reputable FSBO company, you get all the important exposure and advertising, while keeping the large chunk of commission that could have gone to an agent. By buying through a FSBO home, you get the best price possible, since 6% doesn’t have to be added on for commissions. Makes sense, doesn’t it?

I read this recent post at the Buy Owner Blog about home selling and thought it was worth pointing out here. The jist of the article is this: When your home isn’t selling, that’s not the time to get discouraged. It’s the time to get proactive.

Citing five tips for maintaining your can-do attitude this year, the article points out the best weapon you have in home selling: yourself.

Here’s a clip:

“In a slow real estate market, it’s standard for a house to be on the market for up to a year or longer. So instead of getting discouraged, change your game. Take it to the next level. There are always new tactics for home sellers to try, such as these five:

• Visit open houses in your town or surrounding towns. Act like a potential homebuyer and gain perspective on what else is out there, and how other home sellers are trying to spark the interest of buyers. Also, take note of what areas of the house you notice first, and remember this when it comes to your own house.”

Read the rest of the post here.

One of the many differences in selling your home FSBO (for sale by owner) is that you are solely responsible for impressing potential home buyers that come to view your house. Since you don’t have an agent to constantly remind you of what you should do before buyers come over, here is an open house checklist, courtesy of RealEstateABC.com, to keep in mind.

1. During the day, open all the blinds and allow natural light to stream in. In windowless rooms or rooms where natural light doesn’t do enough justice, turn on the light. If it’s a cloudy day, turn on all the lights. At night, turn on the lights inside and out. Lights make a room appear homey and lived in, and turning on lights proves that you have nothing to hide.
2. Lighting a bunch of candles or spraying fragrances before potential homebuyers show up will make it seem like you’re trying to hide a nasty smell. Not to mention that you could overdue it and trigger a person’s allergies. Instead, light just one candle, or use freshly baked cookies or freshly brewed coffee as an aroma.
3. Plan ahead with your pets. If you’re leaving while your home is being shown, take your non-caged pets with you in the car. If you are remaining home, designate an area of your backyard for your dog, and designate one room of your house for your cat. These areas should be easily and quickly accessible for surprise visits. Clean litter pans and cages regularly, and provide a designated place to store toys. Owners with pets should even sweep, dust and mop more often, so that potential homebuyers with allergies aren’t miserable while viewing your home.
4. Empty out the trash more often. Depending on how much trash you acquire, every other day should be sufficient. If your kitchen or bathroom garbage doesn’t have a top, change those everyday. A clean garbage bin will decrease odors, and it will not distract buyers from what is important.
5. Make it a habit to clean up after yourself. Wash dishes right away, and don’t leave any dishes around the house. Make your beds. Put away toys in bins. Designate an area for the TV remotes. Put away video games. Keep shoes in a box and coats in a closet or on a coat rack. Don’t allow any object to look scattered or misplaced. The buyer will notice it, even if it’s second nature to you.

For more ideas, here are some articles that give great open house tips!

• Top 10 Home Staging Tips
• 101 Tips for Selling Your Home
• Top 5 Mistakes Sellers Make When Showing Homes.

I enjoy visiting the real estate section of the Chicago Tribune, mostly because it provides articles about both informative and quirky real estate in my area, and I enjoy the local aspect. However, when I came across this article, I had to write a detailed comment that argued the subject matter.

Titled “6 homebuying mistakes and how to avoid them,” the article offers tips that I mostly agree with and have even recommended to my readers in past blogs. It says to avoid not getting pre-approved for a mortgage: true. If you do get pre-approved, it saves time, improves your credibility and lets you know what you can afford. The article also says to avoid not using the tax credit, which I also just informed you of. Unless Congress decides to extend this offer, your deadline to use the free $8,000 tax credit expires Nov. 30. Three more tips are offered, which are more abstract and can be read here.

One piece of advice that stuck out to me was this: avoid working without a real estate agent. False. It claims that the real estate world is too complicated for an average person to figure out. Guess the writer doesn’t have much faith in the common people.

Once you decide that you need an agent, the article recommends that you interview multiple agents to find a credible one, and to fight the pressure to buy that some agents present to you. Who has time for all that, when you’re trying to find the right house at the right price, without a bunch of other fees, like paying for an agent?

I’m here to tell you that you can handle the FSBO (for sale by owner) way. You have all sorts of online guides, articles, blogs, books and newsletters that will help you along the way. When advertising online, websites offer detailed guides to help you with the process. If you work through a company like Buy Owner, you get tons of advertising, total control of your sale and no commission payments. You sell your home, and you get all the profit!

So who needs an agent? Do it the FSBO way! To read the article and voice your support of FSBO buying and selling, click here.

Ever feel like you didn’t get what you paid for? Like if you paid $50 for a plain white T-shirt with a store logo on it, and then you wondered if that logo was really worth it? Or if you visited a high-end restaurant and paid $100-plus for a dinner that didn’t even quiet your stomach rumbles? Contrarily, ever feel like you tried to save money by paying less for something that wasn’t worth it? Like if you bought a bike from a garage sale, but the brakes were dangerously squeaky and slippery, and you wondered if the cheap buy was worth the lack of safety?

Buy Owner’s services don’t feel like that. You get exactly what you paid for.

To suit all financial abilities, Buy Owner offers different advertisement sizes. The most affordable ads are short and sweet, such as one or two paragraphs of text, highlighted with photos. For a little more money, you could score four paragraphs of descriptive text and additional photos. The most expensive ad package, called Elite, provides your house with a personal website and individual descriptions of each room, supported with an array of photos.

Depending on how much you can afford and how much your home has to offer, you can choose the ad size that works best for you. The ad size you choose, along with how much you’re selling your home for, will decide how much you pay. Therefore, you get exactly what you pay for.

Visit BuyOwner.com to find out more.