For Sale By Owner Website Challenges RE Brokers

A recent article by the New York Times reveals the for sale by owner (FSBO) website: FSBO Madison is out performing my local real estate brokers in selling their homes. Most real estate brokers charge 6% of the sale of a home as compensation.

I understand that Internet promoted real estate generated 60 Billion dollars in sales. Most brokers are using the MSL online to market real estate with ancillary promotional efforts like Yahoo and Pay Per Click (PPC) programs.

I know first hand that search engine listings can out perform traditional real estate listings in both local and major newspapers like the Montclair Times, Star Ledger, and even the New York Times. Our real estate listing last year with the search engine Google out performed ads in the above mentioned media almost ten to one.

The ability for home owners to sell their homes directly without going through a broker using web sites and search engines is an encouraging trend I hope will only increase. Cudos to the FSBO Madison entrepreneurs Ms. Miller and Mary Clare Murphy for their vision and success.