Selling your home on your own, also known as "For Sale By Owner" (FSBO), can seem like an appealing way to save on commission fees. However, without professional guidance, numerous legal pitfalls can turn your home sale into a costly and stressful experience. Here are some potential issues to consider before deciding to go solo.

Contractual Mistakes

One of the most common issues FSBO sellers face is making mistakes in the sale contract. Real estate contracts are complex documents that require precise language. A single error could lead to disputes with the buyer, delays in the process, or even legal action. Without proper knowledge, sellers may unintentionally violate state laws or overlook necessary disclosures, leading to serious financial consequences.

Disclosure Failures

 In California, sellers are legally required to disclose certain details about the property, including any defects, past repairs, or environmental hazards. Failing to make these disclosures or providing inaccurate information can expose sellers to liability. Buyers may demand repairs, price reductions, or even sue for damages if they find that the property wasn’t properly represented.

Fair Housing Violations

While it may not be intentional, FSBO sellers sometimes unintentionally violate fair housing laws. These laws prohibit discrimination based on race, color, religion, sex, familial status, disability, or national origin. A real estate attorney can help ensure your listing and interactions with potential buyers comply with these regulations, avoiding legal repercussions.

Title Issues

Ensuring that the title to your home is clear and free of liens is essential in any property sale. FSBO sellers may overlook this step, especially if there are issues with the title that need to be addressed before closing. Working with a legal professional can help identify potential problems before they derail the sale.

While selling your home without a real estate agent can be financially rewarding, it's essential to understand the legal risks involved. Failing to address these issues correctly could end up costing you much more in the long run. By seeking legal advice, you can ensure that your sale goes smoothly and legally, avoiding potential complications down the line.