Any veteran agent knows that far-away look that comes over a buyer when they're riding in your car and they spot a FSBO sign. It's a discreet little bitty glint that only a ready, willing and able buyer can produce. If you haven't experienced this yet, it happens something like this... there's a slight shifting of both eyes to one side of their face, it's completed inconspicuously without moving their head even one inch towards the direction of that black and orange yard sign. Then the buyer's eyeballs shift in their sockets and slightly pop out for a better look. Next comes the silent measured breathing and that hush that sweeps over the car, which can be deafening while they are trying to memorize the phone number. Not one single word is normally uttered until you pass far enough way from that sign.
It does not matter if they like the house or not, there is just some sort of magical, magnetic attraction to those 4 orange words on that sign, which are FOR SALE BY OWNER. This trance-like episode actually happened to a buyer I was working with just last Monday. Fortunately he fully recovered and quickly. As we passed it, I immediately pointed out the sign, by saying, "Hey Look there's a FSBO, right next door to the house we are going to look at!" I also asked, should we go get a brochure? What do you think he said? You don't have to answer; it was obviously yes. Over the years I have found it is best to give the go-ahead, acknowledge it and get the FSBO sign out of the way. Just like a bad furnace or a home that needs a new roof, this un-invited sign on my tour could be managed too.
Funny thing was... the asking price on the FSBO was the highest of all the homes we looked at in the course of 2 days and 10 homes. An expressed concern of the buyer was that if he likes that home, would he have to pay even more. As it was not listed, so it may not include a commission for me. I explained that this might not be the case; many do pay a buyer's agent's fee. Upon peeking in all the windows, because no one was home, it became apparent the home would not make the cut. Being a little satisfied about that, I was happy that I would not have to do the un-represented seller job for free. Merrily back on tract, we were able to seriously look over the last two homes we actually came to see. Sure enough, the last listing was the best and the home-buyer's decision was made.
Later when I had time to reflect, I thought fortunately the buyer's prior glimpse at that .99¢ dueling sign wasn't sufficient to capture and tempt his attention from the listing sign, right next door, we were on our way to see.
Are you searching for homes to buy in Viroqua or Vernon County Wisconsin
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Mary
I have seen that look in buyers eyes.
Sincerely
Tom Braatz
Hi Tom, Yes, I would bet with all the listings you generate you would have seen that look too.
To this day I will show FSBO homes to my buyers, but every time I do, it always seems to be the most expensive or the worst of the homes.
Still no offers written on a FSBO in 6 years.
Todd: It used to be that FSBO would be below market price, however the trend seems to now be the opposite. I cannot recall if I have ever sold one either?
It funny I was just talking to one of my referral partners about this. She and I did a transaction a couple of years ago where she wrote the offer to purchase for the buyers of a FSBO. She was under a buyer's agency agreement and negotiated a sweet heart deal for them. The funny, and do not mean funny ha ha, more sad thing about it is to this day they feel like they were screwed over. She helped them negotiate a deal well below the ask price, heck it was below the assessment as well and this was in the heat of the seller's market. They just lamented over the 2.4% she negotiated into the deal. I have tried to explain why and how much she actually saved them, but they refuse to hear it. Sometimes no good deed goes unpunished.
Warmly,
Travis Egan, Delavan, Wisconsin
Hi Travis, Interesting reply, glad the buyer I worked with did not like the FSBO, as I would feel awful if they felt that way after getting them a great deal.