How to Sell a House By Owner in Missouri

Why sell a house by owner in Missouri?

The top three reasons people cite for selling FSBO include: “did not want to pay a commission or fee” (44%); sold to a relative, friend, or neighbor (29%); or that the buyers contacted the seller directly (16%), according to NAR data.

To get a firsthand perspective on selling homes in Missouri, we spoke with top real estate agent Brad Gore in Branson, who works with over 74% more single-family homes than the average agent in his market.

Gore says Missouri FSBO sellers he encounters want to save money by not paying a commission. “Part of the American experience is always wanting to save money, but … they end up doing all the work themselves. Sometimes, unfortunately, they get a lot less [money for their home].”

2022 data from NAR shows that “FSBO homes sold at a median of $225,000, significantly lower than the median of agent-assisted homes at $345,000.” This NAR data contrasts the median prices among all FSBO homes (for which we have limited data) against all agent-assisted homes, regardless of distinctions like square footage. However, an independent study from 2016 to 2017 which does adjust for square footage, also shows a significant price difference: FSBO homes sold for an average of 5.5% less than agent-marketed sales.

As you can see, FSBO is a mixed bag. So, before we share our selling tips, let’s lay out some pros and cons to help you decide if this is the route for you.

Pros of selling a house by owner

• Ability to save on listing agent commission fees, usually around 3% of the sale price.
• You’re entirely in charge and can manage the sale as you please.
• No “go-between” in your communications with buyers.

Cons of selling a house by owner

• FSBO listings tend to sell for less, statistically speaking.
• Unless the seller already has a buyer lined up, FSBO listings can take longer to sell.
• Managing all communications and negotiations yourself is time-consuming. Not having a communication buffer can be a downside if the buyer pushes back or says negative things about your property.
• You’ll be negotiating without help from an expert, which could mean leaving money on the table.
• Setting the listing price is challenging — you may be tempted to go too high. You could also risk under-selling with a low price.
• Marketing your home is time-consuming.
• You’ll still have selling costs, which may include transfer taxes and settlement fees. Not having agent representation could also lead to paying more in seller concessions.
• You’re inviting unvetted strangers into your home every time you show it. Real estate agents have processes to confirm if home shoppers are legitimate.
• Without the help of an agent to guide you through the disclosure process, you may put yourself at legal risk to be held liable for potential future problems with your home.

“You don’t know what you don’t know,” Gore adds. “Realtors® have experience and training that’s far beyond what most people have in how the real estate industry works; everything from how title and closing should operate to analyzing the type of mortgage your buyer is bringing to the table and that affects the sale to local code enforcement and inspections. We know more and understand how the process works and how that affects the home sale.”

In spite of the cons, we’ll help you navigate the challenges of FSBO if you’re committed to selling your Missouri house without agent assistance. For some, selling a home FSBO is a challenge worth accepting, and success can be measured in more ways than one.

Steps to sell a house by owner

Next, let’s review the FSBO process step by step.

1. Prepare your house for sale

Whether you’re selling with an agent or FSBO, at a minimum, you’ll want to get your Missouri home into respectable shape before any showings to increase your chances of receiving a fair price. Here are a few standard tasks to add to the list.

Indoors

These efforts will go a long way toward impressing buyers looking for a home in Missouri:

• Declutter floors, shelves, and surfaces throughout the home.
• Make small fixes and repairs, like a leaky faucet or broken door handle.
• Lightly update with new light fixtures, faucets, or cabinet hardware.
• Refinish hardwood floors.
• Repaint bold walls (or those that look dingy) in a neutral color.
• Reduce furniture in crowded rooms — consider a temporary storage unit.
• Stage the home with final touches like fresh-cut flowers or a basket of fresh produce.
• Use rugs to define spaces and place them strategically.
• Deep clean until the house is sparkling.
• Open blinds or drapes to show off a great view and add natural lighting. Replace any dim, blown, or missing bulbs with bright bulbs.
• Have a dedicated space or room for an in-home office to make it appealing to a remote worker.

“The number one thing that we see buyers notice first isn’t necessarily the style of the home or how the home is arranged, but the cleanliness of a home,” Gore explains. “Do a really good deep clean and make the home feels and looks as fresh and new as possible. If you want to go a step beyond that, a good coat of paint does wonders. It can make a home look fresher, newer, and brighter.”

Outdoors

Data from HomeLight’s 2022 Top Agents Insight Report shows that, on average, “Buyers will pay 7% more for a house with great curb appeal versus a home with a neglected exterior.”

Some important curb appeal upgrades can include:

• Mow the lawn and pull weeds.
• Apply fresh mulch liberally.
• Upgrade your landscaping. Consider a new walkway, flowerbed, or shrubs.
• Add a fresh coat of exterior paint.
• Install a new garage door if yours is looking old or not working properly.
• Check for weather damage from storms–loose shingles, gutter damage or driveway crack.
• Clean and power wash outdoor decks and patio spaces.
• Make sure air conditioning is maintained as Missouri summers are hot and humid.

“I think the biggest thing is curb appeal,” Gore says. “The very first impression that a buyer is going to get when they see your home is that front door. A fresh coat of paint on the front door can make a huge difference. Put some effort into landscaping, too.”

2. Do the homework necessary to set a competitive price

You’ve arrived at a critical moment in your FSBO process: setting a listing price. You don’t want to leave money on the table, yet you want to encourage activity on your listing.

Before listing a home, an agent usually conducts a comparative market analysis (CMA). This is a highly-detailed study of “comps” — similar homes nearby that have sold recently, are pending, on the market, or were previously listed but taken off the market. Some may have even been pulled off the market without a sale.

“Especially in this market, the single most important piece when you’re listing a home is to get the pricing right,” Gore says. “Buyers right now are not willing to spend more than what they feel they’re going to be able to afford in the long term. They want to stay within budget even though inventory is low.”

One common mistake FSBO sellers make is overpricing their property. “If you price yourself too high, and you’re competing with homes that have more square footage than you do, buyers are going to notice, and they’re going to look at the homes that have the higher square footage numbers,” Gore cautions. “They’ll probably leave your home off the list or look at it for comparison purposes.”

Without an agent, you’ll miss out on the complexity of a full CMA and the know-how to interpret it.

However, with a little time and money, you can set a competitive price yourself.

Conduct your own “CMA Lite”

It’s time to roll up your sleeves and research.

Start with an online home value estimate

As a starting point, look at several online estimators for your home’s value. HomeLight’s Home Value Estimator aggregates publicly available data such as tax records and assessments, your home’s last sale price, and recent sales records for other properties in the same neighborhood.

We also add a new layer of information to our estimates using a short questionnaire. Tell us a few details about your Missouri home, such as:

• How much work does it need?
• What type of home is it (single-family, condo, townhouse, or other)?
• Roughly when was your house built?
• Are you planning to sell soon?

Using these insights, we’ll provide you with a preliminary estimate of home value in under two minutes.

Whether you use Zillow, Chase, Realtor, or Redfin to get a home value estimate, think of any online home price tool as a first step (not your only source of truth) — and recognize that the data used may be limited.

Narrowly filter your search for comps

When you’re ready to find comps, you can choose from sites like Zillow, Trulia, Redfin, or Realtor.

You’ll want to filter your searches to the area very near your house (within blocks if possible) and with similar characteristics. If you’re not finding any comps, expand your search map.

You’ll also want to filter results by details like:

• Listing status (look at recently sold, pending, and active)
• Number of bedrooms
• Number of bathrooms
• Square footage
• Home type (single-family, condo, etc.)

Beyond the above criteria, the more houses you find with floor plans and an age similar to yours, the better.

Use a site like Zillow to collect your data

As an example, let’s take a look at how to filter your search for comps on Zillow.

• Navigate to Zillow.
• Type in your address. If a pop-up with your home’s specs appears, close it.
• Filter by “sold.” Yellow dots should appear on the map surrounding your house.

• Now, filter by the number of bedrooms and bathrooms and check the box “Use exact match.”

• Next, filter by home type.

• Next, select the “More” box. Here you can specify square footage, lot size, year built, and — crucially — the “sold in last” (time period) category.

• Scroll down and select to view houses that sold in the last 30 days.
• If you find there are not many results in your area, try expanding to 90 days. However, the further back you go, the less relevant the comps.
• If necessary, click the plus or minus buttons to widen the search area.
• Once you’ve collected data for sold houses, revise or restart the search to view active and pending listings, as well.

Invest in an appraisal

If you want to further reduce guesswork, top agents recommend paying an appraiser to provide a professional opinion of value for your home. An appraiser will combine recent property data, research of the surrounding market, and information collected from a walkthrough of your home to determine an appraised value. For a single-family home, an appraisal will likely cost $500 to $600 — well worth it to avoid possibly over- or underpricing your house by thousands.

“Getting an appraisal if you’re in a FSBO situation can pinpoint a price because that appraiser will have access to some of that information,” Gore says. “They’ll be able to pull some of that information and find comparables very close to your home and make those minute adjustments. The appraised value does not always translate to the sales price. But it can help give you a little bit more clarity on where the market for your home actually is.”

Make sense of the research

Compare your home’s features against the nearby comps you collected. Hopefully, the houses you studied give an indication of an appropriate price range for your home. From there, you can make dollar adjustments based on characteristics that add value (patios, curb appeal, an extra bedroom) versus detracting from it (a busy street, deferred maintenance, less square footage).

Consider the differences and similarities of comps with the appraised value of your home to choose a price that will encourage activity (too high and it may seem out of reach to many buyers), but will also maximize your profit.

A fenced backyard, deck, or rec room are some of the most valuable home features in Missouri.

3. Photograph your home

Listing photos are powerful, either pulling in buyers for showings or keeping them away.

To give your listing an edge, consider hiring an experienced real estate photographer. While they may charge as much as $140 to $180 an hour,

While quality, professional photos are a crucial part of an effective home listing or social media marketing post, Gore says you can enhance your home’s visual appeal even more if you go a step further. “Buyers really want to see videos. Walk through the house and give them an idea of what the spaces look like. You’ll get far more interest with videos than you will with any other type of social media.”

But if you do go the DIY route, make sure to:

• Use a good camera with a wide-angle lens.
• Pay attention to lighting.
• Include a photo of every room.
• Take multiple pictures of living areas, kitchens, and bathrooms.
• Try shooting different angles.

Review our guide on how to take quality real estate photos for further guidance.

4. Create a detailed, compelling listing

Along with stellar photos, you’ll want to craft an informative and compelling listing. Leverage both the listing description (a paragraph or two highlighting key features) and the property details to show potential buyers all about your home and what makes it desirable.

Tell a story with your description

Draw in potential buyers with a powerful listing description that tells a story about your Missouri house, including details like:

• Your home’s most unique and desirable features, like a breakfast nook or sunroom
• Recent upgrades like a kitchen or bathroom remodel or new roof or HVAC system
• High-end appliances, materials, or finishes
• Outdoor features like a pool or patio
• Neighborhood features and amenities
• Nearby parks, walking trails, restaurants, and attractions
• Highlights in major metropolitan areas (St. Louis, Kansas City, and Springfield), such as best BBQ restaurants, sporting venues, and cultural opportunities.

The listing description is a chance to sell the home and surrounding areas and describe what a photo may not be able to provide. Write an attention-grabbing headline and emphasize the most desirable features of your home, such as its amenities, as well as what the surrounding area offers, such as hiking trails and great restaurants close by.

Lastly, and this is crucial: specify in your description the commission a buyer’s agent will receive from the proceeds. Most agents don’t want to show their clients properties from which they’d receive a paltry commission. When you list in the MLS, you must include a buyer’s commission. It can be as little as $1 but recognize that may limit your buyer pool as buyers’ agents typically expect to be compensated for their efforts. If you choose not to list in the MLS so you can forego the buyer commission, you’ll seriously limit the exposure your home will get.

Don’t skimp on the property details

Aside from writing the description, you may be prompted to enter information like:

• Age of the home
• Square footage
• Architectural style (i.e., split-level, rancher, craftsman)
• Appliances included
• Exterior building materials
• Flooring types
• HOA fees
• School zone information
• Lot size

Many real estate agents and potential buyers really do read this “fine print” on your listing — so include accurate details, and plenty of them.

5. List your home online

It’s finally time to post your Missouri home online. While you can create FSBO listings for free on popular search sites, you’d have to painstakingly post site by site, and your listing wouldn’t reach the majority of buyers and agents.

To give your home the most exposure, pay to have your home put on your local MLS (multiple listing service) — a platform agents use to share properties with one another as well as major real estate sites. Posting there will feed your listing to buyers’ agent databases and to common sites buyers use.

Only licensed real estate agents and brokers who are MLS members can post to the MLS. However, you have two options to gain access: paying an agent to post for you or using a FSBO platform online.

Pay an agent to list your home on the MLS

A local agent may be willing to list your house on the MLS for a flat fee, without any other involvement in your real estate transaction. If you decide to go this route, ask whether the fee includes updating your listing if necessary.

Use a FSBO platform with an MLS option

You can use various paid websites to list your Missouri house online as “for sale by owner.” These sites offer packages ranging from about $100 to $400 for just a listing, or a larger flat fee of $3,000 to $5,000 that includes any number of additional professional marketing services.

Some of these companies display their rates on their websites, but others won’t quote a fee until you input your address or select an area of the country. A few examples include:

• Houzeo.com
• mlsmyhome.com
• ISoldMyHouse.com
• FSBO.com
• Houwzer
• Clever Real Estate
• Homie Real Estate
• Assist-2-Sell
• Help-U-Sell

It’s important to note that most of these companies serve FSBO sellers nationwide, which can cause challenges if the assisting representatives don’t understand the local market trends in your Missouri neighborhood.

Whatever you choose, read the fine print carefully: some sites may have hidden fees or even take a percentage off your sale — a detour you’d rather avoid on the FSBO route.

Not willing to pay for the MLS?

If you’re determined to save money by foregoing the MLS, creating a free FSBO listing on Zillow might be your top option. You can post a video and unlimited photos, and get fairly wide exposure via Zillow and the Zillow-owned Trulia.

6. Market your home

Now it’s time to spread the word about your Missouri home.

Experienced agents like Gore know that posting a home on the MLS is just the beginning of the marketing phase. A successful home sale requires a deliberate and targeted marketing plan to reach the right buyers and attract the best offers.

Create a wide-reaching marketing strategy that encompasses paid advertising, social media, physical signs, and open houses. The goal is to reach more buyers, which will increase the odds of receiving more offers.

Here are some of the steps you can take to market your home:

Place a nice FSBO sign by the road

Consider getting a custom yard sign rather than purchasing a generic one you write on with a Sharpie. You can order a custom sign on a site like Vistaprint with your contact information, plus a stand, for as little as $25 plus shipping. Note that some MLS providers may have rules about whether you can post a FSBO yard sign while your home is on the MLS.

You should also check the laws in your community and your HOA’s rules about posting signs. For example, your town or HOA may limit the size or placement of for-sale or open-house signs

Share on social media

Share your home across social media — and ask your friends to share, too. Many Missouri home shoppers are likely to look at the MLS, Zillow, Facebook, and Instagram, so you want to post on these sites and others that can add to your overall buyer fishing net.

It can also be helpful to follow real estate agent accounts to see their social media strategies to get additional ideas about what works and doesn’t work in your Missouri market.

Hold an open house

Try these strategies for a successful open house event:

• Share details on Facebook and Nextdoor.
• Update your MLS listing with the open house details (if you’re able to as part of paying the flat fee), or update your DIY FSBO listing.
• Place open house signs at nearby intersections.
• Tidy up the house before potential buyers come through.
• Pass out info sheets with the address, bullet points about the house, your contact info, and perhaps one photo.
• If you can, collect visitors’ info — then follow up later to ask if they have any questions.

Find more expert tips for how to hold an open house at this link.

7. Manage showings

If your marketing is successful, your next step will be to show the home to prospective buyers. Welcome to the busiest phase of the home sale process. According to Gore, a major reason some FSBO sellers switch to an agent is that they underestimated the time, energy, and expertise needed to manage this crucial step.

“Showings are tough when you’re doing it on your own,” Gore says. “One of the tough parts is you have to carve out the time to be there when an individual wants to view your home… Realtors understand that you have to show a house when the buyer wants to see it. So we’re going to take that time to show them the house.”

Gore also points out that you don’t want to spend your time showing your home to unqualified buyers. “You don’t want to let a stranger that you don’t know wandering around your home by themselves… One of the benefits of a Realtor is that our board, our code of ethics, and the way that we do business, means we all take responsibility for what happens when we’re showing homes. If there is an issue, we are happy to take care of it.”

To manage the logistics of showings:

• Respond to inquiries ASAP.
• Set end times if you need to fit many showings in one day. This will also create a sense of demand and urgency for buyers to place offers.
• Remove or secure valuables.
• Make sure the home is clean and tidy for showings.
• Follow up with buyers’ agents after showings to get their feedback.

Should you be present for showings?

If you’d rather not be present for every showing, consider using a lockbox with a code to let buyers’ agents enter the house. This is standard industry practice among agents. To ensure you’re working with someone legitimate, use Google or sites like arello.com to check their real estate license number.

With unrepresented buyers, plan to be on the property for the showing. During a showing, we recommend you:

• Point out a few highlights of the house.
• Let buyers look without hovering.
• Be prepared to answer questions.
• Avoid the temptation to tell all — let the house and listing do the talking.

If you are able to be present during showings, keep things organized by setting appointments in a calendar and follow up with potential buyers afterward. Try to remain detached and neutral if a potential buyer shares their feedback.

8. Evaluate offers, negotiate a deal, and make disclosures

You’ve got your first offer — congratulations! Before signing anything, make sure buyers are prequalified by a mortgage lender before going under contract.

“When it comes to evaluating an offer, you need to look at all the things that they’re asking for,” Gore cautions. “Many times we see people asking for things a little outside of what the contract says, like personal property, or they might ask for certain repairs or for an amount of closing costs to be paid, and that might include paying for inspections or appraisals.”

He adds that there is no limit to what a buyer can ask for in a written contract. “You have to vet every single thing and make sure that it’s going to fit into your ability to sell the home. Is it going to get you the price that you want? Is it fair? Did they ask for something that you can’t do? You have to be very careful.”

Here are key considerations when considering an offer on your Missouri home:

• Vet potential buyers by requiring a mortgage pre-approval letter or proof of funds.
• Require everything in writing.
• Remember, you can counter-offer and negotiate.
• Look for a good real estate attorney. (See the next step!)

Property condition disclosure

In Missouri, a residential property seller is generally responsible for disclosing the condition of the home to potential buyers but is not required. Missouri is one of the few states with disclosure laws that don’t follow caveat emptor or “buyer beware,” making it the seller’s responsibility to disclose details about a home’s conditions.

Whether required by law or not, some sellers may prefer to provide the disclosures before an offer has even been presented so that a prospective buyer is more informed beforehand and less likely to withdraw from a deal later on.

In an agent-assisted sale, your listing agent would likely provide you with the required disclosure form(s). However, as a FSBO seller, you can find the form online.

What will you be asked? In Missouri, you can expect to disclose any significant defects or issues you’re aware of concerning:

• Heating, ventilation, and air conditioning (HVAC) (air conditioning, heating, fireplace, CO detectors, insulation)
• Electrical systems (light fixtures, garage door openers, central vacuum system, TV/cable, phone wiring, etc.)
• Plumbing and appliances (water heater, jetted bathtub, sauna or steam room, swimming pool, hot tub, etc.)
• Water source/treatment (well, purification, etc.)
• Sewage (septic, lagoon, sewage lift system, etc.)
• Roof, gutters, and downspouts (roof age, roof leaks, etc.)
• Exterior finish (siding, etc.)
• Additions and alterations (contractor work, room addition, structural modification, etc.)
• Soil, structural, and drainage (footings, foundation, sub-floor, interior or exterior walls, roof structure, decks/porches, drainage, dampness, flood hazard, etc.)
• Termites or wood-destroying pests (termite/pest control report)
• Hazardous substances/other environmental concerns (asbestos-containing materials, mold, lead, radon, etc.)
• Insurance (property damage claims, etc.)
• Roads, streets, and alleys (recorded or unrecorded road/street/alley maintenance agreement)
• Subdivision/homeowners association (written subdivision or HOA restrictions, rules, violations, existing or proposed special assessments, etc.)
• Condominium, co-op, or shared cost development
• Lakes and ponds/waterfront property (boat docks, slips, and lifts)

If in doubt about a problem with the home’s condition, most top real estate agents would recommend you disclose it. If you know of an issue and choose not to disclose a major problem, and that defect is later discovered, you could be held liable for damage or subsequent costs.

9. Close the sale — with professional help

Time to button up that deal.

While some states require that FSBO sellers hire a real estate lawyer to help close their sale, Missouri does not.

However, it’s still a good idea to invest in the services of an experienced attorney as you close one of the biggest and most complex deals of your life. By doing so, you’ll minimize your legal and financial risk, plus simplify the process for yourself, especially when legal paperwork is involved.

Real estate attorney fees can vary depending on location and how much help you want or need. In Missouri, they generally range from $300 to $350 per hour — well worth it for professional guidance in closing one of life’s largest legal transactions.

FSBO mistakes to avoid in Missouri

On your FSBO journey, watch out for these major pitfalls:

• Missing out on the MLS.
• Forgetting or refusing to pay the buyer’s agent commission.
• Over- or under-pricing.
• Letting your house sit on the market too long.
• Not getting enough marketing exposure.
• Being overly fixated on any one detail.
• Not showing your home’s full potential if you don’t declutter and remove personal decor.

“Pricing is paramount,” Gore adds. “It really will be the determining factor between getting an offer and possibly just getting people that look but never actually put anything on paper.”

Alternatives to selling by owner in Missouri

If you decide you don’t want the hassle or pressure of FSBO, you’ve got other solid options.

Enlist the help of a top-rated real estate agent

Ultimately, the services and price gains you can get with an experienced real estate agent may put more money in your pocket than FSBO. A proven agent is also better equipped to help you achieve your selling and moving timelines.

In addition, since some sellers are not well versed in the legal intricacies of selling a home, Gore also advises gathering a team of experts to help.

“You have to be very careful. That’s one of the tougher parts about reading an offer is it’s a lot of legalese,” Gore cautions. “We tell folks that are going to go for sale by owner to get a lender, CPA, attorney, and title company that you trust and will advise you. Make sure that when they go through a contract that you understand what all of the points of the contract are going to require of you as a seller.”

Interested in such expertise? HomeLight can connect you to top-performing agents in your Missouri market who have built a network of trusted local professionals. Our free tool analyzes over 27 million transactions and thousands of reviews to determine which agent is best for you based on your needs. It takes only two minutes to receive your matches.

Request a cash offer to buy your Missouri home

If you’d like to skip the sale prep altogether — plus avoid paying agent commissions — you can opt to sell your home “as-is” to an all-cash buyer instead.

For a low-stress experience, consider requesting a cash offer from HomeLight’s Simple Sale platform. Tell us a few details about your home, and within a week, we’ll send a no-obligation all-cash offer your way. If you decide to accept the offer, Simple Sale sellers have the ability to close in as little as 10 days.

Without leaving the Simple Sale platform, you’ll also be able to compare your cash offer to an estimation of what your home would sell for on the open market so you can make an informed decision.

Ready to sell your Missouri home?

Unless you already have a buyer lined up, selling a house by owner in Missouri requires a significant investment of time and effort. You’ll need to pull your own comps, capture excellent pictures, create a listing, market the house online, field inquiries, host showings, negotiate, and close the deal. And that’s after preparing the house itself.

You also have to consider that FSBO listings tend to sell for less than agent-assisted sales. An experienced agent who knows the area can make recommendations for targeted upgrades to help you maximize your sale price and get a premium offer. This can help to offset or, in some cases, more than make up for the cost of commission — while saving you time and headaches.

If you choose to go FSBO, you should have a good idea now of what to expect from the process.  Otherwise, our internal transaction data at HomeLight shows that the top 5% of real estate agents sell homes for as much as 10% more than average, and we’d be happy to introduce you to some of the best agents in your Missouri market.

Writer Hayley Abernathy contributed to this story.

Header Image Source: (Olga Subach / Unsplash)