Homes for Sale by Owner

When you come across an advert that offers a home for sale by owner, you may be on to a really good deal. People who sell their own house are either in a real hurry to sell, or want to save themselves the commission they would have to pay a real estate broker.

What these people don't realize is, that a real estate broker offers usually the additional savy needed to get most for a property. They know how to make a property look good and sell them for max price.... Owners usually don't. Therfore: When you see homes for sale by owner ads, you should investigate further and check out the offer.

Check out the condition of the home for sale

Best take a friend with you who knows a lot about construction and home maintenace. Usually the houses offered for sale by owner are not in prime shape, small, often even only cosmetic touch ups have not been done. That means, you will have to put a little work into these houses, if you make the deal. But that also means you can add up the cost, add to it a generous amount and then negociate this total for renovations and refurbishing as a deduction from the asking price.

Find the current going prices for homes in the area

Make sure you also know the going rates for properties in the neighbourhood. Make sure you only look at paid prices, not the initial asking price! Ther can be hughe differences between these two values.

Make sure the home does not have negatives

Check out the development plans the community might have for the area. New roads? A new industrial plant in the area? Shops, etc. The plans might mean positive or negative development for the area and a corresponding increase in value or devaluation of the property.

Also make sure you check out the pollution records for the area. Is the ground OK, or have there been problems and the home is built on unsafe ground? Most areas and governments nowadays have records that are public and you can look them up just to make sure.

It's always a good idea to throw in the qestion "And why are you selling?" at a moment when the owner is a bit off-guard. You might learn what the real reason for his selling the house is.