Along with the rising number of things that homemakers can do for themselves today as the DIY trend on practically everything continues to soar, there is also an increasing number of homeowners who decide to go DIY on their home sale. FSBO, or For Sale By Owner, supposedly presents tons of benefits for the Malaysian homeowner, the most dominant one being the fact that they won’t have to share the spoils with the real estate agent’s commission which can get quite a burden to some.
These homeowners brave all the responsibilities and demands of home selling and try to compete with the many professionals in the real estate market.
Buying a FSBO home or a unit from Binjai Residency does have its benefits for you, the buyer. For one, it is almost always easier to directly transact with the owner over having to go through a middle man (the real estate agent) for practically everything. The homeowner, after all, could make all the right decisions spot on; the agent would have to make a call to confirm, deny, etc. Another reason is the great possibility that a house sold FSBO is sold slightly lower than a house sold via an agent. After all, there’s no commission to worry about.
Reasons Why Should NOT Buy a FSBO Home
But while it may sound perfect enough, is it really the best way to buy a Malaysian house? These reasons might make you think otherwise about buying a FSBO house:
- The homeowner may not be knowledgeable enough about a real estate sale. Selling a house may require more things than just selling the house itself. When it comes to the technical stuff, a regular homeowner may not exactly have adequate amounts of knowledge. This could be a problem if the papers, the mortgage, or some other technical thing gets complicated.
- They may sell their house much higher than its fair market value. Some homeowners translate their love and emotional attachment to the house in its selling value, therefore putting a much higher asking price on the house than its actual value. It may become a big problem if they insist on it and negotiating would be a very, very difficult challenge.
- They may exaggerate on the sales talk. Unless you’re dealing with a homeowner with a professional sales background experience, the FSBO seller might exaggerate on the sales pitch simply because they don’t know any better. This is not a problem until they try to sugarcoat the underlying problems of the house and you may never know about it until you come face-to-face with it.
- The whole process might take much, much longer. With their relative inexperience, they may not know the ins and outs of the whole real estate selling process. They don’t have liaisons or messengers to do the small paperwork; they even possibly have kids to take to school on a daily basis; and more importantly, they don’t have enough connections to shorten the whole process for them and so it just might take a while.
Buying a house, FSBO or not, is always a matter of weighing the odds. Weigh in on the good and the bad of FSBO buying, it may just be the thing for you…or not. Try to get a Real Estate Lawyer and ask these questions. Good luck.