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For Sale By Owner Founder Contradicts Biz Model

Amid all of the recent gloom-and-doom headlines related to the debt crisis, here’s some entertaining real estate news for your Tuesday.

Colby Sambrotto, founder and former chief operating officer of, tried to sell his 2,000-square-foot, two-bedroom New York apartment himself through online listings and classified ads, but after six months of sitting on the market, he sought the help of a real estate broker.

Jesse Buckler with Bond of New York said he told the seller the apartment in the Lion’s Head building was priced too low and wasn’t drawing the right buyers.

“At first he wouldn’t let me increase the price,” Buckler told the Wall Street Journal. “I told him I know what I am doing – the market is picking up.”

By May, it went into contract, he said, after attracting multiple offers. It closed in the last few days for $150,000 more than the original asking price.

For more about online real estate services, including a spotlight of a new local site for renters, click here.