If you are considering selling your home on your own, this article is for you. I hope you will find the information presented relevant and helpful. Please dont hesitate to contact me with any questions: Email or (520) 909-8757

Selling a home is by most standards a complex and time consuming task with relatively high stakes in the department of liability and dollars. Your first consideration should be if you can perform the task safely and competently. Then next step is to balance out the monetary gain in savings versus the time, effort, risk and cost required.

SKILLS NEEDED:

• Marketing flair in text, photography and desktop publishing (brochures)
• People & communication skills
• Analytical ability to seize up market and trends
• A flair for legalese & contractual matters – attention to details
• Organizational skills, ability to follow time & deadlines
• Negotiation skills – verbal & written
• A basic understanding of home financing
• Knowledge of disclosure and fair housing laws
• Ability to stage a home for sale

TOOLS NEEDED:

• Access to databases for sold property (Sunday paper R.E section or Recorders office)
• Current listings and housing market statistics (available through this website under the
  Search Feature and Investor section)
• “For Sale Sign” w/flyer box 
• Fax, printer, PC (w/Internet access + text and photo editing software), cell phone, camera, various folders & binders

Some of the skills and tools needed can and should be outsourced to: Escrow officer/Title company, Attorney, Marketing and office services, Home stager.

CONSIDERATIONS

Close to 25% of all homes that sold in Tucson last year was by the owner. Almost half of them reported that next time they would likely hire an Agent, and 30% were unhappy with the results they achieved. According to NAR (National Assoc. of Realtors) the two main obstacles facing a private seller are: 1) Lack of exposure 2) Failure to price home correctly. Let’s focus here first.

Exposure
Exposure is you biggest challenge. More than 75% of all home sales go through the MLS (Multiple Listing Service) - exclusive to licensed Real Estate professionals. In today’s market a web presence is extremely important, particular in Tucson where a great deal of our buyers are out of state. Search the Internet for “For sale by owner” websites where you can list your property. In addition to "For Sale sign", have a flyer box attached to its pole and use only color pictures on the flyer. Also post your flyers at any bulletin board available throughout your community.

Run ads in the classified Real Estate section and make sure they can be viewed online. Consider advertising your home on Craig’s list and Ebay. Next let everybody in your sphere of influence know that you are selling your home. A great way to improve your chances will be to advertise that you are willing to pay a fee to a Real Estate agent who successfully brings you a qualified buyer.

Pricing
The other challenge is how to price your home right. Failure to do so will outright cost you money either from not selling, or from selling below potential. According to NAR private sellers get an average of 11% less for their home. One reason for this is that many buyers perceive a “For sale by owner” as a prime target for “low balling” as they know upfront that the seller is saving commission and that the seller has no representation to negotiate for them.

You can hire an appraiser to execute an appraisal, cost $250-300. But even better - Fill out the form on the property Valuation page and I will promptly get back to you with a free comparative market analysis. A home doesnt have one single right price, instead a price range can be established. One end of the range will be if you need to sell fast whereas the other end will be a maximum price that can be sustained by the current market. For more resources see: Property valuations.

Once a pricerange is established, you need to work out some strategies that will give the buyer options and incentives. For instance: Will you "carry back" ? (Seller provided financing to buyer), will you pay any of the buyers closing cost? Will you include the patio furniture & washer/dryer or provide a 1-year home warranty? Be prepared to negotiate - it's not about standing your ground, but knowing the ground you stand on. 

FINAL THOUGHT

Selling your own home is a complex and time consuming task, but you can do it with hard work. Your overall success rate highly depends on the market. In a roaring sellers market (Tucson 04-05) homes sell fast with little effort in marketing / exposure while in a buyers market (Tucson 06-07-?) selling takes much more effort. When you balance out the pros & cons of selling your own home, an important consideration should be how you can safely navigate the increasingly legalese environment in which a Real Estate transaction takes place. By hiring an Agent, you potentially transfer liability to a licensed insured professional but an attorney may also fit that particular role at a pro hour rate.

Best of luck!