Questions about selling
The real estate industry has done an excellent job of scaring people into thinking they would be crazy, or stupid, to sell or purchase a home privately.
The reality is, is that you don’t need to use an agent to sell your home. If anything, it will complicate the process, because it adds a middle person to a process that doesn’t require a middle person. All you need to do is find a buyer, agree with them on a selling price, and the conditions of the sale of the home, and take the agreement to a lawyer.
There is a way to determine an asking price for your home, give or take a few thousand dollars. You don’t need to know what houses in your neighbourhood sold for last month, or last year. You only need to know what you are competing against right now.
These days, in the age of the internet, it is very easy to see what you will be competing against. First, take a drive around your neighbourhood, or community, and write down the addresses of homes for sale that are comparable to yours. Go online, and find out how much they are asking. Go to Real Estate Websites. Look for similar properties in your neighbourhood, or your community, and find out how much they are asking. These are the properties you will be competing against. Not against the properties that were sold 2 or 3 months ago. So you can do all of the research yourself, quite easily. Make sure your home is priced competitively with the properties you will be competing against. Set a price that is competitive, and reasonable, and make sure it is ready to show to prospective buyers.
Here is some more information on how to set the asking price for your home.
You will find a buyer by letting people know that your home is for sale. You can put a For Sale sign on your front lawn, or in a window. You can advertise on For Sale By Owner websites. You can hold Open Houses. You will want to do everything you can to make sure as many people as possible know that your home is for sale, and then, to give them every opportunity to see your home, and to make sure they are impressed when they do come by to take a look.
It is pretty much the same thing that a real estate agent does when you hire her to sell your home. She puts a sign on the front lawn, or in the window, posts the listing on the internet, and waits for a buyer to contact her. The nice thing about doing it yourself is you will be in control of the process, and you will know exactly what kind of response your efforts are receiving.
Selling a property isn’t much different than selling anything else. You need to find a buyer, and agree on a price and conditions with them. The only difference with selling a property, is that once you have an agreement, you will need a lawyer, and the buyer will need a lawyer, to make sure you get the money from the sale of your property, and that the buyer gets the title to the property. You can if you want to, but you don’t need to involve a real estate agent in the sale of your property or home.
You will! And why not? After all, no one knows your home better than you. When a buyer comes to see your home, make them feel welcome, and show them around. Or, let them wander around on their own. Answer any questions they might have, and ask them what they think. Make sure they know about the features of your home that you love, about improvements you have made, or anything else you feel they should know when they are considering the purchase of your home. For some reason, the real estate industry never wants the seller and buyer to meet. Instead of negotiating directly with the buyer, the industry wants all negotiations done by two third parties, one supposedly fighting for the highest possible price, and the other fighting for the lowest possible price. Why not just deal directly with the buyer yourself?
The only paperwork that needs to be completed is an Offer to Purchase Form. It states the Seller’s Name, the Buyer’s Name, the Property Address, the agreed-upon Selling Price, and the conditions attached to the sale. Example – “appliances and window coverings are included, the pool table in the basement is not included.” It will also include things like how long the buyer has to put the financing in place to purchase the home, and whether a home inspection is required as a condition of the sale. Once completed, and signed by the buyer, the seller, and a witness, you take it to your lawyer, and the lawyer will look after everything after that. It’s pretty straight-forward. And it can all be done at your Lawyer’s Office if you like, just to make sure everything is done exactly right.
The typical Real Estate Commission Fee Structure in Saskatchewan is that Real Estate Agents will share 6 % of the first $100,000 of the Selling Price of a Property, 4 % of the 2nd $100,000, and 2 % of everything after that. Here are some examples of how that would work.
- Sale Price – $200,000 – Real Estate Commission – $10,000 + GST + PST = $11,100
- Sale Price – $300,000 – Real Estate Commission – $12,000 + GST + PST = $13,320
- Sale Price – $400,000 – Real Estate Commission – $14,000 + GST + PST = $15,540
- Sale Price – $500,000 – Real Estate Commission – $16,000 + GST + PST = $17,760
Our success is measured by whether you get views on your listing. We sell advertising, so we measure our success in stats. We can promise if you advertise your home for sale on saskhouses.com that lots of people, and potential buyers, are going to see your home. We provide you with all the tools you will need to sell your home. The rest is up to you. Which is why we are For Sale By Owner not for sale by saskhouses.com.
From past experience, we can tell you that the success rate of saskhouses.com sellers is comparable to the success rate of people who use an agent to sell their home. When the housing market is hot, lots of houses sell, and often, they sell very quickly, with or without the help of an agent. When the market is cold, it is much harder to sell, and it often takes longer to sell, with or without the help of an agent.
At saskhouses.com, we have had lots of customers come to us after months of trying unsuccessfully to sell their properties with the help of an agent. On the flip side, we have also have customers leave us and use the services of an agent after months of trying to sell their properties privately. Sometimes they come back again a few months after that!
The bottom line is that there is no easy, quick, magic, or guaranteed way to sell your home. The process is the same, whether a person uses an agent or not. The home is advertised, buyers respond (hopefully) to the advertisements, negotiations are undertaken, and hopefully an agreement is reached.
Questions about Buying
Buying a home is easy and uncomplicated with saskhouses.com. You can start by searching our database of homes to find a home or homes you are interested in. Then, call or email the sellers, and arrange a viewing. If you like what you see, you can make the seller an offer, either verbally or with an Offer to Purchase Form. Make sure you’ve done your research, so you know that the home you are purchasing is competitively priced with similar homes in the neighbourhood or community.
Yes, it is is safe to buy a home privately. Make sure you have done your research to ensure that the property is priced competitively. You can hire a home inspector to make sure there aren’t any unseen issues with the home, and you can make a home appraisal a condition of the sale to make sure the property is worth what you are paying for it. Your lawyer will ensure that all of the legal details involving the sale of the home are looked after.
Yes, there is no reason that you shouldn’t be able to deal directly with the seller of the home. For some reason, the Real Estate Industry does not want sellers and buyers to meet. But meeting the seller can often give you a good idea of how well the home has been cared for, and when you buy privately, you do get to meet the seller. The seller can provide information about their home that a third party agent might not have.
Homes are not mysterious objects. We have all lived in them all of our lives. You probably know just as much about homes as anyone else, and if you have concerns, there are professionals who can help you.
If you have concerns about the condition of the home, you can hire a home inspector to make sure there aren’t any issues you aren’t aware of. In fact a home inspection is often a condition of sale.
And just like when you buy using an Agent, the sale will need to be finalized by a Lawyer. It is the Lawyer who makes sure the Seller gets the money, and the Buyer gets the Title to the Property, and it is the Lawyer who will make sure there aren’t any unseen legal issues with the purchase of the home.
There is no exact science to determining how much a home is worth. If you are interested in a home, we encourage you to compare the asking price of that home with the asking price of similar homes that are for sale in the neighbourhood, or community. Do your research. All the information you might need is readily available on the internet. Once you’ve done your research, you should be able to pretty confident in determining what an appropriate asking price should be for a property you are interested in.
When you’re ready to start shopping, there are lots of homes for sale privately, and commission-free: Saskatchewan homes for sale
