Is it good idea to sale by owner?

[Brandon Herron]

I'm currently selling my family home (due to divorce) that's been on the market for at least 90 day's. We are looking to take the property off the market and maybe install some new flooring in living area and possibly take down some unsightly wall paper. We weren't too satisfied with the realtor and I was wondering if it is a stretch to list the property as FSBO at a considerably lower price? I've researched selling on my own but I was looking to see if I could get some feedback from people who may have had experience with this method.

[Steve Vaughan]

I sell by owner, but whether you should or not depends on your experience level, disclosure knowledge and knowing comparables and how to price it.

I guess you found out what price not to ask? I took retail ask price, reduced out commissions and discounted for repairs and asked an a la carte price for my rental sales. For example, I took a house I knew would list in perfect condition for $249k and sold it FSBO for $226k. If the buyer wanted a realtor and/or closing costs, they could add it to the price.

This house had a dead  backyard, sprinkler system and fence gate issues, roof, water heater and some smalls I didn't want to deal with.  I was willing to exchange equity for not working on my 36th freaking rental. That's why I'm selling the stupid thing.  I found a first time buyer with a realtor that wanted $4k in closing costs, so they paid $10k over 'asking' at $236. I was woohoo glad they had a good buyers agent. Wouldn't have happened without her. 1st time buyers are too skittish.

I did the same with a 2nd FSBO. This one had no agent and i wish they did. Lots of handholding and tracking them down for signatures, coordinating with lender and title, etc. I may write a blog post about how to survive the results of a 52 pg inspection report with a first-time, unrepresented buyer on a house that needs a roof next year, a water heater and has lead paint on backside of the facia. I ended up leaving $1800 In an envelope in a kitchen drawer. LOL

These were just long time rentals I didnt need max price for and I only put them on CL and Zillow.  At the ready, prepared by me were a proper PSA and my required seller disclosures (property condition and lead paint) just like a listed seller would have.   

If my 'family home' that I am making retail condition, I may try it solo for a couple weeks, then list with a quality realtor. Lower the price and try it before removing wallpaper and doing a bunch of work. My buyers liked my no haggle a la carte pricing method. Good luck!