How to Sell a House By Owner in South Dakota
When it’s time to move, it’s likely you’ll need the proceeds from your home sale to buy your next house. To save on agent commissions, some intrepid homeowners in South Dakota decide to take the helm of this transition and figure out how to sell a house by owner.
These DIY adventurers are taking the road less traveled. Of the millions of homes sold each year, only a small number of sellers (about 7%) choose to list “For Sale By Owner,” known as FSBO. Of those, 57% already know the buyer, according to data from the National Association of Realtors (NAR).
In this guide to selling FSBO in South Dakota, we’ll cover the ins and outs of selling by owner in The Mount Rushmore State. We’ll look at the complete process to prepare, market, and close the sale of your home without the assistance of a real estate agent.
Editor’s note: No matter how you choose to sell your home, if you’d like to consult with a top real estate agent first, HomeLight can introduce you to highly-rated professionals in your South Dakota market. Our research shows that the top 5% of agents sell homes for 10% or more than average agents.
How does selling by owner (FSBO) work in South Dakota?
FSBO (pronounced fizz-bow) is a method of selling your home without the help of a real estate professional known as a listing agent. In a FSBO transaction, the seller assumes the duties that would normally be handled by the agent, such as pricing the property, marketing the home to potential buyers, arranging showings, and negotiating and closing the deal.
In a traditional home sale, the seller typically pays a Realtor fee or commission amounting to roughly 6% of the sale price. The commission is often split with the buyer’s agent, for example, 50/50 or 60/40. That 6% is usually deducted from the seller’s proceeds at closing.
By selling FSBO, the seller can remove the cost of the listing agent’s commission, which might be about 3%. However, they may still need to offer the buyer’s agent commission. This depends on the arrangements of the sale.
