Yes. Today’s uptick in demand for homes driven in part by historically low mortgage rates has resulted in an under-supply in the market. This may increase the demand and marketability of your home, reducing or eliminating the need to enlist the services of a real estate agent to market your property.

Historically, agents made money when they sold your house. Traditional real estate commission is a percentage of the selling price – usually 5 or 6 per cent. When you sell your house privately, you won’t need to pay any selling agent commission. That gives you more options for pricing your house. You could price it the same as a house being sold through an agent and keep more money.

The average real estate commission rate in the State of Minnesota is 5.10%. The average listing price for a home in Duluth for the week ended January 18th, 2012, was $236,000. The average commission savings would be $12,000.

The first step is to contact a lawyer who can advise you about reasonable and achievable terms in a transaction. The next step is to contact the owner and discuss these terms. Either you or the seller can then prepare a purchase agreement, and your lawyer can help you with the process to ensure your interests are protected.

List your house with DuluthHouses.com.

Keep your house neat and clean and ready to show to prospective buyers.

Complete the Property Condition Disclosure Statement available free of charge by DuluthHouses.com (click here). The statement asks questions about your house and property.

Negotiate an agreeable selling price and possession date with the buyer.

Instruct the buyer to formalize their offer with a Purchase and Sale Agreement – preferably prepared with the assistance of their lawyer.

Allow your house to be inspected. This is often a condition of a successful sale agreement, especially for older homes. An average inspection will cost approximately $300.

Hire a lawyer to complete the sale transaction, and protect your rights.

Contact the owner and arrange to see the house.

If you like the house and wish to submit an offer to purchase, contact a lawyer to prepare an Agreement of Purchase and Sale – a sample Agreement of Purchase and Sale has been provided by DuluthHouses.com.

Ensure your offer contains any necessary conditions, i.e. subject to financing; subject to satisfactory house inspection, etc.
Bring the offer to the seller.

Negotiate an agreeable selling price and possession date with the seller.

Ensure any agreed upon amendments to the original Agreement of Purchase and Sale are reviewed and drafted by your lawyer.
Allow your lawyer to complete the transaction, and protect your rights.

All information contained herein is deemed accurate but is not guaranteed and may be subject to errors and omissions.

DuluthHouses.com will not be liable or responsible for any damages caused by use of this information.