Steps to sell a house by owner

Next, let’s review the FSBO process step by step.

1. Prepare your house for sale

Whether you’re selling with an agent or FSBO, at a minimum you’ll want to get your Louisiana home into respectable shape before any showings to increase your chances of receiving a fair price. Here are a few standard tasks to add to the list.

Indoors

These efforts will go a long way toward impressing buyers looking for a home in Louisiana:

• Declutter floors, shelves, and surfaces throughout the home.
• Make small fixes and repairs, like a leaky faucet or broken door handle.
• Lightly update with new light fixtures, faucets, or cabinet hardware.
• Refinish hardwood floors.
• Repaint bold walls (or those that look dingy) in a neutral color.
• Reduce furniture in crowded rooms — consider a temporary storage unit.
• Stage the home with final touches like fresh-cut flowers or a basket of fresh produce.
• Use rugs to define spaces and place them strategically.
• Deep clean until the house is sparkling.

Johnson says, “Go to one of the big paint companies and find out what the color of the year is and apply a coat of fresh paint. It’s an update that makes people see the home as more modern.”

Outdoors

Data from HomeLight’s 2022 Top Agents Insight Report shows that on average, “Buyers will pay 7% more for a house with great curb appeal versus a home with a neglected exterior.”

Some important curb appeal upgrades can include:

• Mow the lawn and pull weeds.
• Apply fresh mulch liberally.
• Upgrade your landscaping. Consider a new walkway, flowerbed, or shrubs.
• Add a fresh coat of exterior paint.
• Install a new garage door if yours is looking old or not working properly.
• Pressure wash the outside of your home to get rid of spiderwebs.
• Soft wash the roof to clean the dirtiness of Louisiana hurricanes and humidity away.

Johnson says, “We’re impacted by hurricanes down here. Sometimes a roof looks like it’s in rough shape and really it’s just dirty because we’re so humid – we have so much humidity down here – and if you soft wash your roof it can look brand new. People will see that there’s nothing wrong with it.”

2. Do the homework necessary to set a competitive price

You’ve arrived at a critical moment in your FSBO process: setting a listing price. You don’t want to leave money on the table, yet you want to encourage activity on your listing.

Before listing a home, an agent usually conducts a comparative market analysis (CMA). This is a highly-detailed study of “comps” — similar homes nearby that have sold recently, are pending, on the market, or were previously listed but taken off the market. Some may have even been pulled off the market without a sale.

Johnson notes, “FSBO sellers in Louisiana tend to misprice their home because they don’t understand the market. When they overprice the home, it’s going to sit on the market. When they finally come to me to list it, [potential buyers] have already grown tired of looking at the home.”

Without an agent, you’ll miss out on the complexity of a full CMA and the know-how to interpret it.

However, with a little time and money, you can set a competitive price yourself.

Conduct your own “CMA Lite”

It’s time to roll up your sleeves and research.

Start with an online home value estimate

As a starting point, look at several online estimators for your home’s value. HomeLight’s Home Value Estimator aggregates publicly available data such as tax records and assessments, your home’s last sale price, and recent sales records for other properties in the same neighborhood.

We also add a new layer of information to our estimates using a short questionnaire. Tell us a few details about your Louisiana home, such as:

• How much work does it need?
• What type of home is it (single-family, condo, townhouse, or other)?
• Roughly when was your house built?
• Are you planning to sell soon?

Using these insights, we’ll provide you with a preliminary estimate of home value in under two minutes.

Whether you use Zillow, Chase, Realtor, or Redfin to get a home value estimate, think of any online home price tool as a first step (not your only source of truth) — and recognize that the data used may be limited.

Narrowly filter your search for comps

When you’re ready to find comps, you can choose from sites like Zillow, Trulia, Redfin, or Realtor.

You’ll want to filter your searches to the area very near your house (within blocks if possible) and with similar characteristics. If you’re not finding any comps, expand your search map.

You’ll also want to filter results by details like:

• Listing status (look at recently sold, pending, and active)
• Number of bedrooms
• Number of bathrooms
• Square footage
• Home type (single-family, condo, etc.)

Beyond the above criteria, the more houses you find with floor plans and an age similar to yours, the better.

Use a site like Zillow to collect your data

As an example, let’s take a look at how to filter your search for comps on Zillow.

• Navigate to Zillow.
• Type in your address. If a pop-up with your home’s specs appears, close it.
• Filter by “sold.” Yellow dots should appear on the map surrounding your house.

If you want to reduce guesswork further, top agents recommend paying an appraiser to provide a professional opinion of value for your home. An appraiser will combine recent property data, research of the surrounding market, and information collected from a walkthrough of your home to determine an appraised value. For a single-family home, an appraisal will likely cost $500 to $600 — well worth it to avoid possibly over- or underpricing your house by thousands.

If you get an appraisal, you need to be ready to sell your home soon. Johnson explains, “appraisals are only good on the day it’s done, and it’s an evaluation and just an opinion from the person doing the appraisal that day. I’ve seen appraisers value a home at a certain amount, then when I list the home for $30,000 higher than the appraisal, they appraise it for my listing price.”

Make sense of the research

Compare your home’s features against the nearby comps you collected. Hopefully, the houses you studied give an indication of an appropriate price range for your home. From there, you can make dollar adjustments based on characteristics that add value (patios, curb appeal, an extra bedroom) versus detracting from it (a busy street, deferred maintenance, less square footage).

Consider the differences and similarities of comps with the appraised value of your home to choose a price that will encourage activity (too high and it may seem out of reach to many buyers), but will also maximize your profit.

Johnson says, “A feature of your home that adds value is land. People want land and a home. Buyers want more space now to enjoy their home. Things that I see reduce the value of a home is if they’re in a flood zone. Flood insurance is getting more expensive, so being in a flood zone detracts from the value of your home.”

3. Photograph your home

Listing photos are powerful, either pulling in buyers for showings or keeping them away.

To give your listing an edge, consider hiring an experienced real estate photographer. While they may charge as much as $140 to $180 an hour.

Johnson describes home photography’s power, “Buyers have one shot of looking at your house and deciding that they want to go see it. People take eight seconds when looking at a photo to decide if they want to see your house or not. If you take cellphone photos or dark photos, you’re not getting the exposure you need. Buyers will look, and then pass over it. Real estate is a numbers game, and professional photos drive traffic.”

But if you do go the DIY route, make sure to:

• Use a good camera with a wide-angle lens.
• Pay attention to lighting.
• Include a photo of every room.
• Take multiple pictures of living areas, kitchens, and bathrooms.
• Try shooting different angles.

Review our guide on how to take quality real estate photos for further guidance.

4. Create a detailed, compelling listing

Along with stellar photos, you’ll want to craft an informative and compelling listing. Leverage both the listing description (a paragraph or two highlighting key features) and the property details to show potential buyers all about your home and what makes it desirable.

Tell a story with your description

Draw in potential buyers with a powerful listing description that tells a story about your Louisiana house, including details like:

• Your home’s most unique and desirable features, like a breakfast nook or sunroom
• Recent upgrades like a kitchen or bathroom remodel or new roof or HVAC system
• High-end appliances, materials, or finishes
• Outdoor features like a pool or patio
• Neighborhood features and amenities
• Nearby parks, walking trails, restaurants, and attractions
• Research words in other listings to see what people are looking for in a house. For instance, Johnson says some Louisiana buzzwords include: no carpet, granite or block countertops, farmhouse style, and open floor plan.

Johnson says, “You need a strong listing description. The internet has changed how people shop for houses, but it also changed how agents look up houses in the MLS. Now we look for all of the buzzwords. Buyers and agents know specifically what they’re looking for.”

Lastly, and this is crucial: specify in your description whether a buyer’s agent will receive a commission from the proceeds. Most agents don’t want to show their clients properties from which they’d receive no commission. You can decide not to offer a buyer’s agent commission, but recognize that doing so could limit your buyer pool as buyers’ agents typically expect to be compensated for their efforts.

Don’t skimp on the property details

Aside from writing the description, you may be prompted to enter information like:

• Age of the home
• Square footage
• Architectural style (i.e., split-level, rancher, craftsman)
• Appliances included
• Exterior building materials
• Flooring types
• HOA fees
• School zone information
• Lot size

Many real estate agents and potential buyers really do read this “fine print” on your listing — so include accurate details, and plenty of them.

For example, we know Louisianan buyers place a premium on land. To highlight that feature of your property, Johnson says your listing should include, “The number of acres of your property. Buyers usually look for a certain size of property, and they’re specific when searching.”

5. List your home online

It’s finally time to post your Louisiana home online. While you can create FSBO listings for free on popular search sites, you’d have to painstakingly post site by site, and your listing wouldn’t reach the majority of buyers and agents.

To give your home the most exposure, pay to have your home put on your local MLS (multiple listing service) — a platform agents use to share properties with one another as well as major real estate sites. Posting there will feed your listing to buyers’ agent databases and to common sites buyers use.

Only licensed real estate agents and brokers who are MLS members can post to the MLS. However, you have two options to gain access: paying an agent to post for you or using a FSBO platform online.

Pay an agent to list your home on the MLS

A local agent may be willing to list your house on the MLS for a flat fee, without any other involvement in your real estate transaction. If you decide to go this route, make sure you ask whether the fee includes updating your listing if necessary.

Use a FSBO platform with an MLS option

There are a variety of paid websites that you can use to list your Louisiana house online as “for sale by owner.” These sites offer packages ranging from about $100 to $400 for just a listing, or a larger flat fee of $3,000 to $5,000 that includes any number of additional professional marketing services.

Some of these companies display their rates on their websites, but others won’t quote a fee until you input your address or select an area of the country. A few examples include:

• ISoldMyHouse.com
• FSBO.com
• Houwzer
• Clever Real Estate
• Homie Real Estate
• Assist-2-Sell
• Help-U-Sell

It’s important to note that most of these companies serve FSBO sellers nationwide, which can cause challenges if the assisting representatives don’t understand the local market trends in your Louisiana neighborhood.

Whatever you choose, read the fine print carefully: some sites may have hidden fees or even take a percentage off your sale — a detour you’d rather avoid on the FSBO route.

Not willing to pay for the MLS?

If you’re determined to save money by foregoing the MLS, creating a free FSBO listing on Zillow might be your top option. You can post videos and unlimited photos, and get fairly wide exposure via Zillow and the Zillow-owned Trulia.

6. Market your home

Now it’s time to spread the word about your Louisiana home.

Experienced agents like Charlotte Johnson know that posting a home on the MLS is just the beginning of the marketing phase. A successful home sale requires a deliberate and targeted marketing plan to reach the right buyers and attract the best offers.

Johnson says, “People are moving to Louisiana from Colorado, New York, and Iowa. I specifically target these areas using a report that highlights these states that people are exiting in favor of Louisiana. They want to know about low property taxes, that our weather isn’t twenty degrees below zero, and we don’t have four feet of snow.”

Here are some of the steps you can take to market your home:

Place a nice FSBO sign by the road

Consider getting a custom yard sign rather than purchasing a generic one you write on with a Sharpie. You can order a custom sign on a site like Vistaprint with your contact information, plus a stand, for as little as $25 plus shipping. Note that some MLS providers may have rules about whether you can post a FSBO yard sign while your home is on the MLS.

Share on social media

Share your home across social media — and ask your friends to share, too.

Johnson says, “I use targeted Facebook advertising. I do a lot of advertising on that social media platform. The house just pops up on their feed. People from Colorado and New York say ‘Wow, this $300,000 house would’ve been $800,000 here. I’m moving.’ Lower property taxes and cost of living enables people to live on their retirement.”

Hold an open house

Try these strategies for a successful open house event:

• Share details on Facebook and Nextdoor.
• Update your MLS listing with the open house details (if you’re able to as part of paying the flat fee), or update your DIY FSBO listing.
• Place open house signs at nearby intersections.
• Tidy up the house before potential buyers come through.
• Pass out info sheets with the address, bullet points about the house, your contact info, and perhaps one photo.
• If you can, collect visitors’ info — then follow up later to ask if they have any questions.

Find more expert tips for how to hold an open house at this link.

7. Manage showings

If your marketing is successful, your next step will be to show the home to prospective buyers. Welcome to the busiest phase of the home sale process. According to Johson, a major reason some FSBO sellers switch to an agent is that they underestimated the time, energy, and expertise needed to manage this crucial step.

Johnson says, “You have one chance to impress buyers with your home, and they’re not going to be as impressed by the things in your home because you have a vested interest. It’s extremely difficult and you have to say goodbye to your personal life. Real estate is time sensitive, and if you don’t have time to show your house when someone needs it, you’re going to miss out on a sale”

To manage the logistics of showings:

• Respond to inquiries ASAP.
• Set end times if you need to fit many showings in one day. This will also create a sense of demand and urgency for buyers to place offers.
• Remove or secure valuables.
• Make sure the home is clean and tidy for showings.
• Follow up with buyers’ agents after showings to get their feedback.
• Johnson advises, “FSBO sellers have to avoid overselling the home. Buyers pick up on that.”

Should you be present for showings?

If you’d rather not be present for every showing, consider using a lockbox with a code to let buyers’ agents enter the house. This is standard industry practice among agents. To ensure you’re working with someone legitimate, use Google or sites like arello.com to check their real estate license number.

With unrepresented buyers, plan to be on the property for the showing. During a showing, we recommend you:

• Point out a few highlights of the house.
• Let buyers look without hovering.
• Be prepared to answer questions.
• Avoid the temptation to tell all — let the house and listing do the talking.

Johnson says, “Buyers don’t even like looking at a home where the owner is there. A lot of people just shy away. They don’t want to feel uncomfortable looking at the house when the owner is present. People who don’t shy away from it are usually not motivated buyers, but are just looking or even getting ideas for things to do for their own house.”

8. Evaluate offers, negotiate a deal, and make disclosures

You’ve got your first offer — congratulations! Before signing anything, Johnson says, “there is no use to start a negotiation process unless the person can actually buy your home.”

In addition, Johnson explains, “You need to know that the loan is good, or they have the cash in the bank if they’re paying cash.”

Here are key considerations when considering an offer on your Louisiana home:

• Vet potential buyers by requiring a mortgage pre-approval letter or proof of funds.
• Require everything in writing.
• Remember you can counter-offer and negotiate.
• Look for a good real estate attorney. (See the next step!)

Property condition disclosure

In Louisiana, a residential property seller is generally required to disclose the condition of the home to the buyer before they make an offer. If the seller provides the disclosure form after the buyer makes an offer, the buyer can terminate any real estate contract, or withdraw the offer up to 72 hours after they receive the form.

In real estate, there is a tendency to protect the buyer, and Louisiana follows this trend by not being a caveat emptor (buyer beware) state.

Whether required by law or not, some sellers may prefer to provide the disclosures before an offer has even been presented so that a prospective buyer is more informed beforehand and less likely to withdraw from a deal later on.

In an agent-assisted sale, your listing agent would likely provide you with the required disclosure form(s). However, as a FSBO seller, you can find the form online.

What will you be asked? In Louisiana, you can expect to disclose any significant defects or issues you’re aware of concerning:

• Land: Length of ownership, lot size acres, servitudes or encroachments, vested rights, and wetland designation by the Army Corp of Engineers under §404 of Clean Water Act
• Termites, wood-destroying insects, and organisms: Damage to the property, repairs, or lack of repairs to damage
• Structures: Age, additions, alterations, permits, age of each structure’s roof, and any defects or damage in the structure (roof, walls, floor, attic, ceilings, foundation, basement, etc.)
• Plumbing, water, gas, and sewage: Defects regarding plumbing system, piping, gas service, water heater, or sewage supply source
• Electrical, heating and cooling, appliances: Electrical, heating and cooling system, fireplace, permanently installed or built-in appliances, and security system
• Floor, flood assistance, and flood insurance: flooding, water intrusion, accumulation, or drainage issues, flooded by rising water, flood zone classification, and if the home carries flood insurance or is receiving federal disaster assistance or part of the Road Home Program
• Miscellaneous: Building restrictions, restrictive covenants, historic district, usage or safety conflicts, government liens or taxes, pending litigation, HOA membership, animal or pet presence, the presence of hazardous materials (asbestos, radon, mold/mildew, formaldehyde, meth labs, etc.) and other possibly hazardous situations, such as Solution mining injection wells

Louisiana also has a mandatory disclosure form for the presence of lead-based paint and/or lead-based paint hazards.

If in doubt about a problem with the home’s condition, most top real estate agents would recommend you disclose it. If you know of an issue and choose not to disclose a major problem, and that defect is later discovered, you could be held liable for damage or subsequent costs.

9. Close the sale — with professional help

Time to button up that deal.

While some states require that FSBO sellers hire a real estate lawyer to help close their sale, Louisiana does not.

However, it’s still a good idea to invest in the services of an experienced attorney as you close one of the biggest and most complex deals of your life. By doing so, you’ll minimize your legal and financial risk, plus simplify the process for yourself.

Johnson says, “You don’t need an attorney, but you may get one if you want to get the title. Somebody needs to run the title.”

Real estate attorney fees can vary depending on location and how much help you want or need. In Louisiana, they generally range from $100-$485 per hour — well worth it for professional guidance in closing one of life’s largest legal transactions.