Title Services for Minneapolis St. Paul Homes For Sale by Owner
While most residential real estate transactions involve real estate agents retained by one or both parties, as many as 15% of Minnesota real estate transactions are made without professional real estate broker or agent assistance. The primary reason this is done is so the seller can avoid paying commissions on the selling price of a home. Homebuyers are attracted to these For Sale By Owner (FSBO) properties by the idea that they may pay less for the property.
When a seller offers a property for sale without the use of an agent, the transaction can be more confusing for all parties. Instead of having an experienced professional agent show the home to prospective buyers and act as an intermediary during negotiations, the parties in the transaction have to do their own showing and negotiating. Often, important legal requirements are forgotten, and misunderstandings can occur.
Still, these transactions are not at all uncommon. Real estate experts recommend that both buyers and sellers consult with attorneys who specialize in real estate to make certain all legal requirements are met. This will help protect both parties.
Title Insurance Services For Minneapolis St. Paul FSBO Transactions
In FSBO transactions, a Title Services Company, like Trademark Title Services, performs the same services in these transactions as they do in more typical agent-assisted transactions. In a FSBO transaction, the Titles Services Company will handle all the normal processes, as described in other pages on this web site, but also can facilitate the transaction in the following ways:
- Assist with Preparing A Purchase Agreement – Once basic negotiations on price and other issues have taken place, the parties can meet at the Title Company Office and prepare a formal Purchase Agreement. It’s important to remember that the Title Company cannot provide legal advice about the transaction, but can make certain that the Purchase Agreement is prepared correctly, and can answer non-legal questions. As an alternative, the Purchase Agreement can be prepared by the attorneys for either or both parties.
- Communicate Directly with Both Parties – In a normal agent-assisted transaction, most communications about the Title process are made through the real estate agents handling the transaction. In a FSBO transaction, the Title Services Company will communicate directly with the principals. You need excellent communications with the Title Services Company.
- Arrange And Manage The Closing – The closing process will be much the same as with an agent-assisted transaction. The Title Services Company, however, must be prepared to explain more issues than in a normal transaction.
For FSBO Real Estate Transactions – Choose The Right Title Services Company
Choosing a Title Services Company for FSBO transactions is very important. Not all Title Services Companies have extensive experience in these transactions. Some companies, too, don’t welcome the extra work and handholding that’s frequently involved when real estate professionals are not involved in the transaction. You need a Title Services Company that has handled many of these transactions and one that enjoys the additional challenges these FSBO real estate sales often present.
Minneapolis St. Paul Best Choice in FSBO Title Insurance Services
At Trademark Title Services, we’ve managed the title services needs for many For Sale By Owner transactions. Our staff includes members who have had careers as real estate agents, and we’re always more than happy to explain every aspect of our services to buyers and sellers. We’ll communicate with both parties regularly as the title process continues, and make sure progress is smooth. Our professionalism, communication skills, and impartiality makes us an ideal partner in successfully completing real estate transactions where buyers and sellers choose to handle the process themselves. We’re also happy to work with attorneys retained by buyers and sellers. You can count on Trademark Title Services to handle your FSBO sale or purchase in the same professional way we handle all transactions.