Bucks, Montgomery, & Philadelphia County Homes

For Sale By Owner


For sale by owner is a challenging endeavor that you shouldn't manage alone. Click on the links below for important information about selling your home and then request your FREE FSBO First Aid Kit today.

 

Tips on Pricing Your Home
Open House Tips for FSBOs
Is Your Buyer Qualified?




  1. How to Show Off Your Home 
  2. Open House Tips for the 'For Sale By Owner'
  3. Pricing to Sell
  4. Purchase & Sale Agreement
  5. Seller's Property Disclosure Statement
  6. Personal Property (Bill of Sale)
  7. Association/Assessment Fee
  8. Special Stipulations
  9. Lender Notification Form
  10. Seller Net Sheet
  11. Buyer Net Sheet
  12. Mortgage Information Sheet
  13. Home Inspection Information
  14. How to Evaluate a Home for Moisture Issues
  15. Amendment to Remove Inspection Contingency
  16. Lead Paint Disclosure
  17. Copy of the HUD1 Settlement Statement

Tips for Pricing Your Home
  • Consider comparables. What have other homes in your neighborhood sold for recently? How do they compare to yours in terms of size, upkeep, and amenities?
  • Consider competition. How many other houses are for sale in your area? Are you competing against new homes?
  • Consider your contingencies. Do you have special concerns that would affect the price you'll receive? For example, do you want to be able to move in four months?
  • Get an appraisal. For a few hundred dollars, a qualified appraiser can give you an estimate of your home's value. Be sure to ask for a market-value appraisal. To locate appraisers in your area, contact The Appraisal Institute (www.appraisalinstitute.org) or ask me for a recommendation.
  • Ask a lender. Since most buyers will need a mortgage, it's important that a home's sale price be in line with a lender's estimate of its value.
  • Be accurate. Studies show that homes priced more than 3 percent over the correct price take longer to sell.
  • Know what you'll take. It's critical to know what price you'll accept before beginning a negotiation with a buyer.
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Open House Tips for FSBOs

Advertise your open house. Ideally you should advertise both the weekend before and the weekend of the open house. Check with the local paper to see when their ad closing deadlines are.

Create a property summary sheet. This sheet gives prospective buyers an overview of your home. Include dimensions for each room, copies of a property survey, summaries of utility costs and property taxes, and a list of when capital items such as roofs and furnace were added.

Develop a sign-in form for prospects' addresses. You'll ideally want both phone numbers and e-mail addresses to follow up with prospective buyers.

Put up signs. One or two days before the open house, place directional signs at major intersections within three to four blocks of your house. Be sure you check on anti-sign regulations in your area.

Get your house ready. Remove clutter, clean your house, wash your windows, add flowers, turn on lights, open draperies and blinds, remove valuables and breakables, confine pets, turn on soft music, and set up a table for your property fact sheet near the entrance.

Develop a follow-up sheet. Getting feedback on your home from prospects who attended your open house will give you a better understanding of how to make your home more appealing to buyers.

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Is Your Buyer Qualified?

Unless the buyer who makes an offer on your home has the resources to qualify for a mortgage, you may not really have a sale. If possible, try to determine a buyer's financial status before signing the contract. Ask:
  1. If the buyer has been pre-qualified or pre-approved (better) for a mortgage. Such buyers will be in a much better position to obtain a mortgage promptly.
  2. Does the buyer have enough money to make a down payment and cover closing costs? Ideally, a buyer should have 20 percent of the home's price as a down payment and between 2 and 7 percent of the price to cover closing costs.
  3. Is the buyer's income sufficient to afford your home? Ideally, buyers should spend no more than 28 percent of total income to cover PITI (principal, interest, taxes, and insurance).
  4. Does your buyer have good credit? Ask if he or she has reviewed and corrected a credit report.
  5. Does the buyer have too much debt? If a buyer owes a great deal on car payments, credit cards, etc., he or she may not qualify for a mortgage.

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All reports reprinted from REALTOR Magazine Online by permission of the NATIONAL ASSOCIATION OF REALTORS. Copyright 2003. All rights reserved. www.REALTOR.org/realtormag
Aaron B. Feldman