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August 05, 2006


Bonnie Erickson

August 7, 2006

That's an interesting thought regarding FSBOs. The problem I've had with FSBOs has been that I end up doing the work for the FSBO seller's side but I don't get paid for it. If the FSBO seller has prepared all the disclosures, ordered point of sale inspections and made required corrections, arranged for the title to be updated, etc., then they have earned their savings. If they have not done the things a REALTOR would have done for them and the buyer's agent has to do all the work, the agent should be paid the extra commission. My experience has been that I negotiate for a lower sales price, end up doing the work of two REALTORS and my buyer clients get the savings.

Leanne Paynter

August 7, 2006

I found one of your last lines rather interesting: "What the public needs to remember is that the rehabber's profit is their "salary" for the labor and time they invest in the project." I guess "for-sale-by-owners" (FSBOs) feel the same way in that their "salary" comes in the form of commissions saved via doing the work themselves, but buyers don't care about that and oftentimes deduct the seller's savings from the offer price, which is why FSBO properties often sell for less than they would've had a Realtor been involved. I have a couple of Realtor friends who became Realtors after they had a terrible experience selling their homes themselves because they didn't anticipate potential problems that a good Realtor would've been able to prevent. Of course, it's not impossible to save money as a FSBO but sellers should be prepared for the myriad of issues that can pop up and affect their bottomline.

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