Homes sold by owners are advantageous to both the seller and the buyer. If the house being put up for sale sells for $200,000, for example, and the common commission rate varies up to six percent of the sale price, then both the buyer and seller can save $12,000, money that would have been used for managing an agent. commission. And if the property owner spends a lot of time finding a prospective buyer for their home instead of spending weeks or months looking for an agent, chances are they’ll get rid of their property in a shorter amount of time.
There are various reasons why a person may sell their home. The owner may want to obtain financing for a new house, obtain a large amount to finance the mortgage of the property that is for sale, or simply want to move to another place.
Homeowners who adopt the “For Sale By Owner” method of selling assume the role conventionally played by the bank or mortgage company. Such a process, when followed, is advantageous to both the seller and the buyer. Naturally, homeowners contact real estate agents who will handle the transaction for them. But when homeowners manage the sale themselves, they can save on commission costs and also offer a good package for buyers who need to buy new homes but are having trouble getting bank loans.
For myriad reasons, many people find it difficult to obtain bank loans due to the stringent requirements imposed by these lucrative lenders. They may have the funds ready in their pockets and have steady jobs to support the monthly payments, but find it difficult to settle for a bank loan. With the sale of a home by the owner, the process becomes much easier.
So it’s no wonder homes for sale by owners are so highly sought after. If you are a seller, you save a lot of money because you never have to pay commission costs. If you are a buyer, you can buy a house and a lot without the terrible burdens of tremendous bank interest.
