Existing Home Sales - August, 2009

Yesterday the National Association of Realtors reported "existing home sales" dropped 2.7% from July. This is no surprise and should not be a shock. For the next 15-18 months, we will see months of increases along with months of decreases. Meaning, the industry as a whole will not see 12 straight months of non-stop increases. The weak economy, unsteady housing market, weak job prospects, and foreclosure volumes will combine to make the housing market uncertain and a bit unpredictable.

That said, I believe consumers have the opportunity and power to sell their properties if they know and understand their market. Today, more than ever, consumers who sell their home via the For Sale By Owner process have more access to resources, knowledge and information to correctly price their home. In this market, the consumer should monitor home inventory on a weekly basis and follow these basic steps:

• What new homes (similar to your home) decided to sell this week?
• What are the prices of homes similar to mind?
• Visit your competition - see what "selling" features they have.
• Understand how many foreclosures are listed in your neighborhood (this will likely lower final sales prices but check the price of these properties too.
  
• Finally, find out what homes similar to yours, sold for in the past month or two.
• Note: Every consumer has access to this information via the internet - it is freedom of information and quite empowering.
  

In this market, selling For Sale By Owner gives you and extra 6% of pricing power against your competition. Example: If you competition is listed at $300k, price your home at $295k. Your competitor who is using an agents will only take home $282k ($300 - $18k in commissions) so you come out way ahead.

Build confidence & empower yourself -

FSBOs Finding Success in Selling Own Homes

As previously discussed, the real estate brokerage industry has highlighted the benefits of selling "by owner." The average ForSaleByOwner.com seller saves $12,750 in commission and utilizes our online marketing tools to attract buyers and get their home sold. Here's what some of our recent sellers have told us about their experience with ForSaleByOwner.com.

"Awesome service ... in today's economy and market, people are on the lookout for the best deal for the money. ForSaleByOwner.com is just that deal! Thanks for helping me sell my home!" - Jarett in Cabot, Arkansas

"Nothing negative to say. Placed the ad on forsalebyowner.com on Sunday and received an offer on Monday. Can't complain about that!" - Bryan in Cary, North Carolina

"We got several calls from interested buyers. More than we did when our home was on the market with (a Realtor) for 5 months. We have been speaking nothing but good things about your service and will continue to talk you up. We will be doing this again. I guarantee it! " - Tania in Converse, Texas

"Extremely pleased with service. Saved over $10,000 in Realtor fees! Would highly recommend!" - Patrick in North Olmsted, Ohio

"We were very satisfied with the service. It just shows that selling a home on your own is much easier than the use of an agent of which most had no clue on how to price in this market." - Edward in Jersey City, NJ

"Great service, great product, very effective. I had a purchase and sale agreement within two weeks. Thanks." - Ethan in Veradale, West Virginia