How to Sell a House By Owner in Minnesota
2 min read
Selling a house and moving can be expensive. To make it all work, you want the highest proceeds from your home sale, which you’ll likely need to buy your new house. Some enterprising homeowners in Minnesota decide to take the helm of their home sale and figure out how to sell a house by owner.
In this guide to selling FSBO in Minnesota, we’ll cover the ins and outs of selling by owner in the North Star State. We’ll give you an overview of the entire process, from preparing and marketing your home to closing the sale — all without the assistance of a real estate agent.
Unlike some posts, we won’t sugarcoat this DIY endeavor. Selling a house by owner typically takes a herculean effort unless you already have a buyer lined up — someone you know, like a friend or family member. But it can be a rewarding experience, especially for those who want full control of their home sale.
Editor’s note: No matter how you choose to sell your home, if you’d like to consult with a real estate agent first, HomeLight can introduce you to top-rated professionals in your Minnesota market. Based on sales data, the top 5% of agents sell homes for 10% or more than average agents.
How does selling by owner (FSBO) work in Minnesota?
Disclaimer: This post is intended for educational purposes. HomeLight recommends you research your area’s real estate regulations and consult a trusted advisor.
FSBO is a method of selling your home without the involvement of a listing agent. In a Minnesota FSBO transaction, the seller assumes the responsibilities that would normally fall to their agent, such as pricing the home, marketing it to potential buyers, arranging showings, and negotiating the deal.
This hands-on approach is not for everyone. Among the millions of homes sold each year, only a small slice of sellers — about 7% — choose to list “For Sale By Owner,” or FSBO. Of those, 57% already know the buyer of the home, according to the National Association of Realtors (NAR).
In a traditional home sale, the seller traditionally pays Realtor commission fees amounting to roughly 6% of the sale price, which is typically split 50/50 between the seller’s and buyer’s agents. That 6% is deducted from the seller’s proceeds at closing. By selling FSBO, a seller can potentially eliminate the cost of the listing agent’s commission (about 3%), though they may still need to offer a buyer’s agent commission.
