How to Sell a House By Owner in Mississippi

When the time comes to move, some tenacious homeowners in Mississippi are eager to take over the reins of their home sale and figure out how to sell a house by owner.

With millions of homes sold each year, a modest portion of sellers — about 7% in 2021 and 10% in 2022 — choose to list “For Sale By Owner” (or FSBO — pronounced fizz-bow). Of those, 50% already knew the buyer of the home, according to data from the National Association of Realtors (NAR).

In this guide to selling FSBO in Mississippi, we’ll cover what can be the most difficult aspects of selling by owner in the Magnolia State, including the steps that might be harder than you think. We’ll also provide a comprehensive overview of the full process to prep, market, and close on your home without the assistance of a real estate agent.

Note: Once you’ve seen what’s required, you can roll up your sleeves and get started with your FSBO sale. Or — in the event you’d prefer to work with a real estate agent — HomeLight would be happy to introduce you to highly-rated professionals in your Mississippi market who can help you command top dollar and provide a low-stress selling experience.

How does selling by owner (FSBO) work in Mississippi?

Disclaimer: This blog post is intended for educational purposes only. HomeLight recommends that you look into the real estate regulations for your area and consult a trusted advisor.

FSBO is a method of selling your home without the involvement of a listing agent. In a FSBO scenario, the seller assumes the responsibilities that would normally fall to their agent, such as pricing the home, marketing it to potential buyers, arranging showings, and negotiating the deal.

In an agent-assisted sale, the seller typically pays a commission amounting to around 6% of the sale price, which is then most often split 50/50 with the buyer’s agent. That 6% is deducted from the seller’s proceeds at closing. By selling FSBO, a seller can eliminate the cost of the listing agent’s commission (so around 3%), though they may still need to offer a buyer’s agent commission.

Buyers’ agents will expect compensation for the work they do to bring a buyer to a sale, such as arranging showings and helping to tee up and qualify the buyer. Plus, when a seller isn’t working with an agent, the buyer’s agent may end up carrying more of the weight to get the deal to the finish line, which may result in them prioritizing working with a listing agent who will share the workload vs. a FSBO listing.

Next: Consult our guide on who pays closing costs when selling a house by owner for more details.

Finally, a FSBO sale does not mean that a seller won’t need any professional assistance. In Mississippi, sellers are required to hire a real estate attorney, and FSBO sales typically warrant legal and professional oversight of some kind to avoid an abundance of legal risk.

Most people who sell by owner will need to hire an attorney to review and prepare key documents and make sure paperwork is filled out properly, such as the seller’s disclosures. We’ll address what disclosures are required when selling a house in Mississippi later in this post.

All house sales require marketing. When working with a listing agent, they’ll handle this part. With the FSBO route, it’ll be on the homeowner. This includes finding a way to get the home listed on the MLS (multiple listing service), any social media advertising, and even the “for sale” signs for your home, all of which have specific rules and best practices. In Mississippi, even yard signs have specific rules you must follow or risk a fine.

Why sell a house by owner in Mississippi?

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 Mississippi, we spoke with Sarah Renken, a Pass Christian, Mississippi agent, who has over seven years of experience.

Renken says for the Mississippi FSBO sellers she encounters often misunderstand what they’re saving vs. losing out on, because “based on the national average, even though they’d be paying 3% to 6% in commission, [as a result of selling FSBO] they’re losing out on 10% to 20% of what they could have gotten on their house because they don’t know the exact market value of what they could be getting.”

Statistically, the difference in proceeds can be even higher.

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 earlier independent study that does adjust for square footage also showed 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.
• Possibility of finding a buyer without an agent, saving an additional 3% of the listing price.

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 because the entire marketing process is created from scratch vs being part of a proven system.
• 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.
• Without the help of an agent to guide you through the disclosure process, you may put yourself at legal risk of being held liable for potential future problems with your home.
• Every step of the sales process is your responsibility, from finding a photographer to the MLS listing to marketing to planning and hosting open houses to negotiating to all the paperwork involved. Expect to spend dozens or even hundreds of hours of your free time on this process.

In spite of the cons, we’ll help you navigate the challenges of FSBO if you’re committed to selling your Mississippi 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 Mississippi 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 Mississippi:

• 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.
• Cover scuffs on floors or walls and remove stains from fabrics.
• 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.

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 or pressure wash it to make it look new.
• Install a new garage door if yours is looking old or not working properly.

Renken advises that sellers “Don’t do anything major because you don’t know if that’s going to be your potential buyers like. They may come in and change it anyway.”

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.

“We pull the comps from the immediate area and let the seller know what it could be worth. Over the last few years, people were just consistently listing higher and higher and higher because people were getting outbid, but we’ve gotten back to normal,” explains Renken.

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 Mississippi 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 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.

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.

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, good photos are key to selling your home for a good price.

Renken emphasized that sellers should always “Use professional photos because people are moving to Mississippi from all over now and start with the photos. You want your online photos to be best because nine times out of 10, that’s where your buyer is checking first.”

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 Mississippi 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
• Proximity to the beach or any lakes

Renken advises that sellers “talk about what you like about the house and what you like about the area because those will be some of the first questions buyers ask.”

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.

For sellers in southern Mississippi, listing proximity to the beach or other amenities is key to getting more interest and a better sales price. Renken advises her clients to prominently advertise their proximity to the beach. “It’s important for someone to include down here, even if you’re 20 or 30 minutes away. Some people like to know that they are within driving distance.”

5. List your home online

It’s finally time to post your Mississippi 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 Mississippi 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:

• 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 Mississippi 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 Mississippi home.

Experienced agents like Renken 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.

“The more people that the house gets in front of, the more likely you are to find a buyer,” Renken explains, which is why she recommends all sellers invest time and energy into marketing. Agents will handle this for clients, but FSBO sellers need to make sure their houses are marketed correctly.

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.

Share on social media

Share your home across social media — and ask your friends to share, too.

“In the last few years, it’s been easy, but now we’re having to get back to running ads on social media to get the property out there to get it seen,” Renken shared.

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 Renken, 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.

A successful showing can be the most critical step for a successful home sale — the first impression that can make or break a deal.

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.

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

You’ve got your first offer — congratulations! Before signing anything, take a moment to consider whether this offer works for you.

Here are key considerations when considering an offer on your Mississippi 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 Mississippi, a residential property seller is generally required to disclose the condition of the home to the buyer as soon as practicable and possible before the transfer of title.

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 Mississippi, you can expect to disclose any significant defects or issues you’re aware of concerning:

• Appliances (washer, dryer, refrigerator, range, disposal, jetted tubs, etc.)
• Electrical systems (light fixtures, garage door openers, smoke, and burglar alarms, etc.)
• Water and sewer systems (plumbing, water heater, irrigation, well, septic, water source, etc.)
• Heating and cooling system (central air, furnace, fireplace, propane tank, etc.)
• Roof (age, leaks, number of shingle layers, etc.)
• Hazardous conditions (methane or radon gas, lead paint, mold, asbestos, etc.)
• Safety concerns around amenities (pools, fireplaces, etc)
• Other disclosures (foundation problems, walls, soil history, land use, encroachments, zoning or code violations, moisture or water problems, damage from wind, termites, or rodents, history of infestations, flood zone or wetlands, etc.)
• Any warranties or permits associated with any improvements or changes made to the house during ownership.

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.

Mississippi is one of several states that require FSBO sellers to hire a real estate lawyer to help close their sale.

Even if Mississippi didn’t require it, it would be 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. Having a real estate attorney on your side will ensure you’ll minimize your legal and financial risk, plus simplify the process for yourself.

Real estate attorney fees can vary depending on location and how much help you want or need. In Mississippi, the average rate for a real estate attorney is $254 per hour — well worth it for professional guidance in closing one of life’s largest legal transactions.

FSBO mistakes to avoid in Mississippi

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.
• Being too fixated on any one detail, especially the price.

Renken explains that “One of the most common errors FSBO sellers make when selling a home in Mississippi is not being flexible, which can delay or even kill a deal.”

As the market is recalibrating, demand is dropping, and there isn’t a line of buyers rushing to snap up the next available house. Renken has encountered several sellers who either aren’t working with an agent or aren’t listening to their agent. These sellers often expect a super high sales price and refuse to be flexible and negotiate, which is killing deals and delaying their home sale.

Alternatives to selling by owner in Mississippi

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.

Interested in such expertise? HomeLight can connect you to top-performing agents in your Mississippi market. 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 Mississippi 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 in as few as 48 hours, 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 Mississippi home?

Unless you already have a buyer lined up, selling a house by owner in Mississippi 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 Mississippi market.

Writer Hayley Abernathy contributed to this story.

Header Image Source: (Austin Goode / Unsplash)