Ammunition for FSBO encounter

**johnnuzzo** · 01-01-2008, 06:06 AM

When trying to list a house from a FSBO, be sure to get information FIRST on many banks' new underwriting guidelines concerning FSBOs.
Especially in the Sub Prime arena, banks are instituting additional guidelines when financing a FSBO.
First check with a knowledgeable Mortgage Broker to get some data.
For instance, Wilmington Financial mandates that the Loan Officer include information concerning FSBOs on all applications. They are underwritten differently because of the disproportionate foreclosure rate of FSBOs vs. Realtor listed properties.
Some banks mandate TWO appraisals in certain parts of the country.
Obviously, a FSBO owner does not yet know these facts.
You can inform them that without the services of a knowledgeable Realtor, they could be in for a lengthy and bumpy ride dealing with Buyers.
Check this out with your trusted Loan Officer.

**thedeallocator** · 01-02-2008, 02:00 AM

Thanks for the idea of using financing to convince FSBO.
Sometimes using a home seller's to-do list convinces a home owner that they need to use a Realtor to sell their home. I will surely add this financing tip to my arsenal.

**rama1** · 01-05-2008, 07:28 AM

Originally Posted by paulsps

You can use many tools and services to help you do this, including setting up a single property site just for them - they'll think you are great and this starts to create the relationship.

This is a good idea, especially with so many website building software around. However, from client's stand point, it will be a really a pleasant surprise. Thank you for the tip!

**johnnuzzo** · 01-14-2008, 06:07 PM

Most FSBOs have no ideaz about a Pre-Qualification letter.Every Tom, Dick and Harry drops by to "Steal" the house.
Bring over to the FSBO a Loan Officer with whom you have a relationship.
Have the Loan Officer offer to pre-screen all potential buyers of the FSBO.
This will put your Loan Officer in good with the FSBO.
MAYBE, that is a MAYBE, your Loan Officer, if smooth, can open the door for you, the Realtor.
Then MAYBE you both will get a piece of the pie.

**Orlando MLS** · 01-14-2008, 06:34 PM

They aren't going to sell anything and need real estate agents. The FSBO sites just suck for them unless they are selling rock bottom cheap. But great comment nonetheless, that is good advice.