SIOUX FALLS, S.D. (KELO) — While the start of school has brought a slight slow down to the real estate market, Sioux Falls is still seeing a sellers market with homes in high demand.
Throughout this busy summer of home sales, a new way to sell has popped up in Sioux Falls.
“We wanted a ranch style with a walk out,” George Lipetzky said.
Lipetzky and his wife are settling into their newly built home in Harrisburg after selling their long-time home in Sioux Falls.
“We were thinking about selling it on our own,” Lipetzky said.
While looking into the process, Lipetzky discovered the new FSBO Homes office in Sioux Falls.
“FSBO is for sale by owner,” FSBO Homes Sioux Falls owner Mitch Klein said.
Mitch Klein is the local Sioux Falls owner of the company that started in Iowa and is quickly growing across the Midwest.
“We surround you as a seller with the professionals to really get the job done from the beginning to the end throughout the entire process,” Klein said.
FSBO provides an attorney to go over all of the legal documents involved with selling a home along with an inspection, appraisal and professional photos for your online listings.
“The listing looked great, they did the photographs and had the virtual tour they were able to create a floor plan of our house,” Lipetzky said.
“The same day that it went on Zillow we got contacted within hours, someone came over and looked at it…and that’s who we ended up selling to.”
Selling his home himself within a few hours, all for FSBO’s flat rate of $3,000.
“Our average savings in the Sioux Falls area is just north of $15,000, that’s what they’re saving in commissions,” Klein said.
Which is a primary motivation for sellers.
“I think we saved money doing it through FSBO homes and we got pretty much what we listed it at,” Lipetzky said.
“We think as professionals that they’re going to make more money putting it on our MLS, Multiple Listing Services,” Realtor’s Association of the Sioux Empire President Rick Trapp said.
Along with negotiating a higher sale price, Rick Trapp with the Realtors Association of the Sioux Empire says skipping an agent’s commission comes at a high cost for the seller.
“Time is precious, I mean very precious, you take time off, by putting it on yourself, then they don’t show up the clients, and then try ty reschedule and don’t show up again,” Trapp said.
And while FSBO Homes service helps take away some of the strain of selling your home yourself, Klein agrees this option does come with some work.
“If you’re gonna sell your home on your own, you’re still setting your own price, you still are showing your own home and you still are negotiating the sale price of your home and all of the conditions around there,” Trapp said.
In this hot housing market, another challenge can be coming up with a list price. Realtors say that’s where their professional experience can make a big difference, but FSBO says getting an appraisal done before listing your home yourself can give sellers a good idea of how to price their home.