Sell My House Working with Real Estate Agents and FSBO

Question 1

What does FSBO stand for in real estate?

Accepted Answer

For Sale By Owner

Answer

Fixed Sale By Owner

Answer

Federal Sale of Building Ordinance

Answer

Final Settlement By Offer

Question 2

What is the primary reason sellers choose FSBO over using a listing agent?

Accepted Answer

To avoid paying the listing agent's commission, typically 2.5–3% of the sale price

Answer

FSBO homes sell faster on average

Answer

FSBO sellers get higher prices on average

Answer

Real estate agents are legally prohibited in some states

Question 3

What is a listing agreement and what does it obligate the seller to do?

Accepted Answer

A contract between the seller and a real estate agent authorizing the agent to market and sell the property, typically for a set commission and timeframe

Answer

A purchase contract between buyer and seller

Answer

An agreement with the MLS to list the property

Answer

A contract with a title company to conduct closing

Question 4

What is a buyer's agent and does the seller typically pay their commission?

Accepted Answer

An agent who represents the buyer; the seller traditionally pays the buyer's agent commission from sale proceeds, though this is evolving

Answer

An agent who represents the seller's interests; commission is paid by the buyer

Answer

An agent who works exclusively for banks on foreclosures

Answer

A dual-agent who represents both parties with no commission

Question 5

What is 'dual agency' in real estate and what risk does it pose to sellers?

Accepted Answer

When one agent represents both buyer and seller in the same transaction, creating a potential conflict of interest

Answer

When two listing agents share a listing

Answer

When a seller hires two separate agents

Answer

A legal requirement in states with buyer protection laws

Question 6

What is the MLS (Multiple Listing Service) and why is access to it important for home sellers?

Accepted Answer

A private database where agents list homes for sale, giving the listing maximum exposure to buyer's agents and online portals

Answer

A government database of all foreclosed properties

Answer

A mortgage lending service for home buyers

Answer

A monthly market report published by the National Association of Realtors