BUYER'S GUIDE SERIES: Finding A FSBO

When searching for a home, many buyers think the best deals are properties that aren’t listed on the MLS, especially those labeled "FSBO" (For Sale By Owner). You might see a FSBO sign in front of a house and think it’s a hidden gem. After all, without an agent involved, it’s tempting to assume the owner will offer a bargain price. But in reality, FSBOs are rarely the steal you imagine.

While some FSBO listings are on the MLS (thanks to limited service agents), they still come with unique challenges. Owners often overestimate their property’s value, and their asking prices can be inflated—sometimes even higher than what comparable homes are selling for in the market. After all, they're aiming to "cut out the middleman" (the real estate agent), but they often don’t pass those savings onto you, the buyer.

So, should you avoid FSBOs altogether? Not necessarily. In fact, it’s still worthwhile to explore these properties—especially if one fits your needs and budget. However, approaching a FSBO requires a little finesse. This is where having a skilled real estate agent by your side can make all the difference.

If you come across an FSBO that piques your interest, take down the contact information and address, then let your agent do the rest. Experienced agents know exactly how to approach FSBO sellers, what to say (and what not to say), and how to negotiate the best deal. This can dramatically increase your chances of securing a favorable outcome.

In summary, FSBOs are not automatically a "deal of a lifetime." However, with the right strategy and the guidance of a seasoned agent, they can still be a viable part of your home search. Remember, let the professionals handle the negotiation, so you can focus on finding your perfect home.