What do foreclosure, the state of Colorado, and “for sale by owner” have in common? More than you might think! Colorado has the third highest foreclosure rate in the nation for the first quarter of 2007, and with more than 6,000 homes in foreclusre, home owners on the margin may wonder: how can I save my house from foreclosure? For sale by owner, or FSBO, may be the answer.
It may be a challenge, but selling a home For Sale by Owner, or FSBO can save homeowners in Colorado from foreclosure. Real estate agents and their agencies charge a large commission for their services, and sellers can replicate these services with for sale by owner in order to avoid foreclosure. Let’s say a seller is selling their house for $200,000, and in order to get a real estate agent to help, the owner has to pay them 6% of the purchase price of the home. That is $12,000! Wouldn’t most owners do for sale by owner to save $12,000 and foreclosure?
To sell a house as a FSBO and to prevent foreclosure, there are a few steps Colorado sellers will need to take. Keep the home clean for showings. No buyer wants to walk into a dirty for sale by owner house. Take great pictures for marketing the home that is for sale–remember, avoilding foreclosure is key, and Colorado homes have great views as well. If the pictures are clear and at a good angle people will be more interested in the home, preventing your foreclosure. Make a flyer that emphasizes all of the qualities of the house for sale, the property, the great Colorado schools, the shopping, and the area in general. Put lots of color pictures in the flyer if at all possible to help with for sale by owner and avoiding foreclosure.
Advertise in Colorado and elsewhere! Newspapers are a good place to start, but the internet is crucial for FSBO sales. Craigslist is a perfect place to post a for sale by owner ad, and going directly to the Colorado city is key. Plenty of people prevent foreclosure by advertising on Craigslist, using for sale by owner methods in Colorado. Have plenty of open houses and advertise them in the local newspapers, on the internet, and with a sign in your front yard; don’t advertise that you’re working to avoid foreclosure, though. Put little signs up at the main road intersections to your neighborhood that say “house for sale by owner” or “FSBO,” and lead the potential buyers to your house with these types of signs; do whatever it takes to prevent foreclosure, nd remember that high winds in parts of Colorado may blow signs away.
Once FSBO sellers have people who are interested in purchasing your home (and keeping you from foreclosure in Colorado), find a quality title agency to handle the house sale needs. A title agency will work between the buyers and sellers as a middle man to make the transfer between the deed and the money for a FSBO, and can smooth the process as you avoid foreclosure. The lender of the buyer sends all of the paperwork to the title company who checks the status of the Colorado deed on the FSBO property and makes sure the sale will have no complications. Then once the papers are signed, the Colorado title agency gives the money to the sellers, and records the deed transfer to the county records division. The sale is complete, you avoid foreclosure, and the for sale by owner strategy sold your Colorado home.