For Sale By Owner - FSBO


DEFINITION of 'For Sale By Owner - FSBO'

A method of selling property without the use of an agent or broker. Generally, the reason that the seller does not use the services of an agent or broker is because they want to avoid paying a hefty commission for the transaction.


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BREAKING DOWN 'For Sale By Owner - FSBO'

The most common for-sale-by-owner transaction occurs in the real estate market when a homeowner wishes to avoid paying a large commission when selling their property. By not using a real estate agent, the seller assumes all the responsibilities of completing the transaction.

Depending on the experience of the seller, avoiding the commission can be a wise financial decision. Those who have little knowledge about the transaction, however, can find it very stressful and may be better off using a qualified real estate agent.

  1. Open House

    A scheduled period of time in which a house or other dwelling ...
  2. Commission

    A service charge assessed by a broker or investment advisor in ...
  3. Real Estate Agent

    A person with a state/provincial license to represent a buyer ...
  4. Agent

    1. An individual or firm that places securities transactions ...
  5. Broker

    1. An individual or firm that charges a fee or commission for ...
  6. Realtor

    A real estate professional who is a member of the National Association ...
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  1. Does an FHA loan require a down payment?

    Federal Housing Administration (FHA) loans require down payments, which can be as low as 3.5% of the total purchase price ... Read Full Answer >>
  2. Can a 401(k) be used for a house down payment?

    A 401(k) retirement plan can be tapped to raise a down payment for a house. You can either borrow money or make a withdrawal ... Read Full Answer >>
  3. Do banks offer FHA loans?

    Many major U.S. banks, including Well Fargo & Company, U.S. Bancorp, Bank of America and Flagstar Bancorp, offer Federal ... Read Full Answer >>
  4. Does the FHA provide construction loans?

    The Federal Housing Administration (FHA) does provide construction loans for both new construction and rehab projects. The ... Read Full Answer >>
  5. Can I borrow from my annuity to put a down payment on a house?

    You can borrow from your annuity to put a down payment on a house, but be prepared to pay an assortment of fees and penalties. ... Read Full Answer >>
  6. Can I take my 401(k) to buy a house?

    Once you reach 59.5, you can use the funds in your 401(k) retirement savings account to buy a house or any other expense ... Read Full Answer >>

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