Many home sellers are trying to figure out how they can compete with all the distressed properties on the market. According to the latest report by RealtyTrac the problem will only be worse in 2012 as they estimate that over 1 million foreclosures notices that should be filed this year will be pushed off until next year.
Listing a home for a flat fee may be the answer for some home sellers. Instead of paying a traditional broker 5-6% a home seller can skip paying the listing agent a percentage commission and just pay the agent that brings in the end buyer. The cost of this type of service ranges from $250-$399 and can help home sellers compete with distressed homes on the market.
We receive calls every day to that from home sellers that are underwater and trying to get their home sold without doing a short sale or going into foreclosure. Many have been listed with traditional agents and felt like the only thing left to do was keep reducing their price.
There are several other ways that I recommend to my flat fee mls clients. Many foreclosures need work so the best way to compete with them is to have your home "move in" ready. Many buyers see this as a huge benefit.
Short sales have their own issues as well. There is a huge uncertainty level with a short sale because the bank does not own the property but instead is being asked to forgive part of the load so that the owner can sell without going though the foreclosure process. Short sales are notorious for taking as long as 6 months to close. Many buyers simply drop out along the way.
So even though the market is tough and distressed properties make it tougher there are opportunities to successfully compete for buyer's attention and dollars and get your home sold.