The Tenant texted me ...

[rayinpenn]

A few days ago tenant sent me a text and indicated she will be moving out around 9/1; It is great news as we had decided that we don't want to be in the Landlord business any longer. Plus my son will graduate HS in June and I'd like to be free to move. It brings up a number of questions..

1. For sale by owner? The three floor condo is 5 minutes away in one of the best school districts in Pennsylvania. It is in a cozy little community with lots of trees, private parking and has new appliances, windows, doors and granite countertops. (It has some beautiful tile work done by yours truly) It should sell easily. I'd rather my kids had the $15K then the real estate broker...

2. Last time we repainted and fixed up it was a huge task - the tenants were destructive. The Mrs. and her twin sister(1/2 owner) did all the painting. I also replaced interior doors, repaired walls, bathrooms etc. I'm forbidden to paint as they are perfectionist. Even though I'm feeling great at 62 (with a new knee) still working full time and the Mrs and her sister both are 59. Are we up to a major paint and cleaning job? The last time I heard a few 'never agains'. The current tenant is a nice lady who has kept the place up so there shouldn't be major issues... After a few years I'd expect the normal Just paint, wall ding repairs and cleaning...

3. Hire a handy person and put some money in the local economy? Clean it and sell it as is?

I'd welcome your constructive advise\thoughts ...oh and Monthly carrying costs are minimal, no mortgage I think it is worth slightly under a quarter of a million.


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[EastWest Gal]

A house in our upscale neighborhood in a fantastic school district had a For Sale by Owner sign in front of it for about 9 months. Meanwhile other houses in the neighborhood sold like hot cakes. Then they got a Berkshire Hathaway agent. It sold in 3 weeks.

Get a real estate agent. They do the work, including the nightmare paperwork, they get a 6% commission. My opinion only.


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[athena53]

I'd talk to a realtor before any fixups/updating. They can tell you what features/colors sell (yes, buyers can be EXTREMELY superficial) and can give you an idea of what a professional cleaning might cost. We had ours professionally cleaned and I was a bit disappointed; typically they have their list of stuff they do and that's what they do. Period. If there's a smudge on the wall and the walls aren't in their routine, the smudge stays. Ours also seemed to spend an inordinate amount of time vacuuming carpets that had either been professionally cleaned or newly-installed within the last few weeks. They also totally ignored the basement storage area, which I'd done a good job of clearing out, but which still needed sweeping and vacuuming.

 

[target2019]

It might pay off to hire an RE to manage the property. Then you are shielded from texts and calls. It could provide some income in future years.

 

[rayinpenn]

Get a real estate agent. They do the work, including the nightmare paperwork, they get a 6% commission. My opinion only.

Standing back and letting others do the work is appealing. However my experience in Pennsylvania it appears the tittle company does the paperwork and I could hire a lawyer for a grand or two..


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[rayinpenn]

It might pay off to hire an RE to manage the property. Then you are shielded from texts and calls. It could provide some income in future years.

A great idea but I am done with it. We all just want it gone... I don't want a property 1000 miles away

 

[ivinsfan]

Standing back and letting others do the work is appealing. However my experience in Pennsylvania it appears the tittle company does the paperwork and I could hire a lawyer for a grand or two..


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A realtor will do more then handle the paperwork....if you want it gone, hire one, get their ideas on what needs to be done cosmetically, ask them about handymen they would recommend and bingo it can be put in sale condition before the end of fall selling season and the holidays.

 

[Teacher Terry]

I would hire someone to paint it neutral colors and to clean it. Painting is a lot harder then cleaning so if you want to save some $ I would do that. You need it to be on MLS so you have exposure. Not sure if it can be done without a realtor but you should look into it.

 

[Mulligan]

I would hire someone to paint it neutral colors and to clean it. Painting is a lot harder then cleaning so if you want to save some $ I would do that. You need it to be on MLS so you have exposure. Not sure if it can be done without a realtor but you should look into it.

Im sure its more successful in places other than mine...But anytime I see a FSBO sign up in a yard, I laugh. Because I know in 2 months there is going to a new second sign put in the yard....Compliments of the newly signed real estate agent.


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[Fermion]

We sold our house FSBO as-is condition in 18 hours. Just another point of view to the "pro agent" posts so far.

 

[EastWest Gal]

A realtor will do more then handle the paperwork....if you want it gone, hire one, get their ideas on what needs to be done cosmetically, ask them about handymen they would recommend and bingo it can be put in sale condition before the end of fall selling season and the holidays.

I agree. My point is that the real estate agent will sell the house--will make recommendations on how to make it the most presentable. Then the agent will do the advertising, do the showing, all that time and effort.

Don't forget, time > money.

 

[rayinpenn]

The house is a very neutral beige.. The kitchen with stone and new appliances is better then what's out there. The new Windows, doors and white crown crown molding makes this condo a delight. What's more important is the school district and lack of comparable inventory. $250k is considered a starter and is very low for this town... It will sell of that I'm sure... But I've never sold on my own before...

 

[Souschef]

I had a Real Estate license, and was well equipped to handle a deal. However, I lived an hour and a half away, and it was worth my time to have a realtor deal with everything.
We got 2 offers a week after it was lasted, and my Realtor handled all the details.
It was well worth the commission I paid.

 

[Sunset]

A house in our upscale neighborhood in a fantastic school district had a For Sale by Owner sign in front of it for about 9 months. Meanwhile other houses in the neighborhood sold like hot cakes. Then they got a Berkshire Hathaway agent. It sold in 3 weeks.

Get a real estate agent. They do the work, including the nightmare paperwork, they get a 6% commission. My opinion only.


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Mine only charged me 5% , and after I had signed I easily found ones that would do it for 4%.
Then there are the discount brokers who do it for 3%
Then your MLS listing cost for do it yourself is $500 (but you will need to pay 2% to buyer agent.

The nightmare paperwork is forms pre-printed, easily handled by the lawyer which will be needed anyhow.

 

[travelover]

We sold our house FSBO as-is condition in 18 hours. Just another point of view to the "pro agent" posts so far.

Depends on the market. My next door neighbor sold quickly FSBO, but sold for $150,000 less than a smaller / older house next to them that was sold by an agent a few months later. Not saying FSBO is good or bad, but under pricing will definitely move a home fast.

 

[ivinsfan]

The house is a very neutral beige.. The kitchen with stone and new appliances is better then what's out there. The new Windows, doors and white crown crown molding makes this condo a delight. What's more important is the school district and lack of comparable inventory. $250k is considered a starter and is very low for this town... It will sell of that I'm sure... But I've never sold on my own before...

This is the biggest problem with FSBO, everyone thinks their place is exceptional and perfect. They can't all be right

 

[Mulligan]

This is the biggest problem with FSBO, everyone thinks their place is excetional and perfect. They can't all be right

Plus I imagine there are a few potential buyers uncomfortable dealing with the home owner themselves.


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[Fermion]

I dunno, our buyers were pretty happy we did so much legwork to get their flood insurance quote reduced from $5,100 a year to $380. Their agent made one phone call and gave up. I took over then.

My opinion of agents is very very low.

 

[Mulligan]

I dunno, our buyers were pretty happy we did so much legwork to get their flood insurance quote reduced from $5,100 a year to $380. Their agent made one phone call and gave up. I took over then.

My opinion of agents is very very low.

Well one thing is obviously sure. If one is torn which method to sell, starting the FSBO route first will eliminate the doubt either way. As there will always be the agent option later.


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[Fermion]

Well one thing is obviously sure. If one is torn which method to sell, starting the FSBO route first will eliminate the doubt either way. As there will always be the agent option later.


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True. Going the other way could open you up to a lawsuit if your timing is off.

 

[SomedaySoon]

We got a fair value range for our house from two local real estate agents and used this information to put a "Make Me an Offer" listing on Zillow. Got a hit in two weeks. They agreed to pay the high end value less 5% we would have had to pay an agent. Lawyer took care of the rest....... If it hadn't sold in three months we would have given the listing to one of the agents we dealt with originally.....

 

[Mulligan]

True. Going the other way could open you up to a lawsuit if your timing is off.

I have read some nasty stories there. Listing expires, house sells FSBO afterwards, and the agents come back with legal action whether it was determined to be an up and up FSBO transaction or not. So definitely the safer play is FSBO first.


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[ivinsfan]

Well one thing is obviously sure. If one is torn which method to sell, starting the FSBO route first will eliminate the doubt either way. As there will always be the agent option later.


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That is true but with the place sitting empty and fall/winter not that far away, that's not foolproof either. It could cost you some money in long run, you would still have to pay the agent and have downtime and costs, and maybe miss peak selling season.

 

[Sunset]

With OP being 1,000 miles away, being listed on the MLS will be very important and unless an agent is involved how will the place be shown ?

My view is 5% commission is the max one should consider, and many are lower.

I just sold a place it it was nearly 1,000 miles away, it would have been impossible without an agent, she did things like:
- show the house.
- visit the house after a buyer agent showed it, and locked up the windows and doors that were forgotten, turn on/off the water (it was winter).
- Turned on/off lights as needed after a showing.
- Told me someone was parking in the driveway (without permission), and posted a sign to stop that (issue was if they hit the garage door, it would cost me $850).

 

[Cobra9777]

Many years ago, I bought a FSBO with no buyer's agent. It was a piece of cake. Title company handled all paperwork and closing. Buyer hired a lawyer to look everything over; I did not. The negotiation process was simple and I was able to get a better price because the seller paid no agent.

Every subsequent transaction we've done involved an agent. But honestly, when you look at the compensation vs time and level of effort, it's hard to justify. I'm not sure I'd go full FSBO on a sale. I'd want it on MLS for sure. Might offer 2-3% to a buyer's agent. And I'd use a lawyer this time.

Agents do bring value to the process. There's no doubt about that. I just question whether the standard 5-6% comp is commensurate to the value they bring, especially on a larger transaction. I'll probably use one of the lower cost options next time we sell, but not full FSBO.