One of the main reasons that people decide to list their homes for sale by owner (FSBO) rather than with a real estate agent is to maximize the return that they receive on the transaction. The seller’s agent might demand 3% of the sale price or even more in some cases for services that include negotiating a deal and marketing the property. Even those that charge a flat fee still eat into the seller’s profit.
However, the downside of FSBO listings is that the seller must then assume responsibility for the entire process. They have to fill out disclosure forms without guidance and advertise the property using their own resources. Therefore, homeowners might worry that a FBSO listing would increase how long it takes them to sell the property.
What is the average turnaround time between when someone lists their property FSBO and when they have an accepted offer and a pending closing scheduled?
FSBO properties often sell more quickly
There is something to be said about cutting out the middleman in terms of efficiency. Real estate agents have restrictive schedules that can increase the timeline for getting prospective buyers into a property. Paperwork negotiations between agents could also potentially increase the timeline for selling a home.
FSBO properties can therefore end up under contract more quickly than those listed with an agent. According to home sales data from 2020, the average FSBO owner in the United States sold in just two weeks. That is actually a week faster than the average sale time for properties listed by professional real estate agents.
The right help makes all the difference
Foregoing an agent who may slow down the sale process and take a flat percentage of the sale price may be a smart choice, but sellers don’t want to take on the risk of a real estate transaction without any form of legal support whatsoever.
Having help putting together paperwork and reviewing offers can make a big difference for those listing their property FSBO in terms of both efficiency and accuracy. Knowing what to expect before listing a property FSBO can take some of the risk and frustration out of an upcoming real estate transaction.