While this year has seen a strong seller’s market, it doesn’t hurt to use every…
It’s tempting for home sellers to take the For Sale by Owner (FSBO) route. Real estate commission is typically 5-6% of the home’s sale price. Commission rates can vary by agent and location. While saving between 5 and 6 percent of the final selling price is appealing, it requires a significant amount of time and expertise.
Should you sell your home without an agent? Here are some reasons to consider using a real estate agent.
1. Convenience and Saving Time
Real estate agents do a lot of work for you behind the scenes. They are licensed professionals who have access to the multiple listing service (MLS) where your home will be listed, posted to online sites, and accessible to your buyer’s agent.
- Real estate agents gather the information needed to list the house on the MLS.
- They market your home to potential homebuyers.
- Agents negotiate on your behalf with buyers and their agents.
- Agents set up events like open houses, the date/time of the closing, etc.
- Real estate agents help review paperwork and make sure everything is in order.
In other words, they put in the time and effort to earn that commission check! Real estate agents work hard so you don’t have to. This gives you more time to do other things associated with the home selling/buying process. Saving money on the agent fee may not be worth the extra effort of handling all aspects of the sale yourself, especially for those who haven’t previously sold a home. After all, you already have a lot on your plate, right?
You’re on the hunt for your next home while juggling other important tasks like cleaning up your home, packing your belongings, lining up the movers, saying goodbye to nearby family and friends, or wrapping up your job (if leaving for another one), etc. Even if you’re just moving down the street, you have a lot going on.
By having a real estate agent, you can focus on the things you need to do while they focus on selling your home.
2. Take Advantage of Their Expertise
Real estate agents act as a liaison between buyers and sellers and know firsthand all the hard work that goes into selling a home. This includes soliciting calls from interested parties, answering questions, and setting up appointments with potential buyers.
Fortunately, that is a good thing for you as the client. It means you are working with someone who is experienced in the real estate world.
- Real estate agents are experts at negotiating.
- They know how to market your home and get top dollar for it.
- They know what kinds of things will deter buyers and help you address them before they become a problem.
- Agents make sure you don’t accidentally skip a step, say something wrong, fill out paperwork incorrectly, etc.
Agents provide you with the expertise you need to make sure the transaction goes smoothly.
3. Fewer Showings and More Headaches
In the real estate industry, the For Sale By Owner name can have a bit of a negative connotation with agents because they may associate FSBO with “bargain”. It is more likely for a seller who lists as FSBO to find buyers who may be unqualified or bargain hunters passing through. Also, when possible, buyer agents tend to avoid working directly with home sellers.
- It’s difficult for a buyer’s agent to know whether the homeowner will be easy to work with.
- The owner may be trying to save money by listing FSBO, so it could be assumed there will be pushback on fixing anything around or in the home.
- A buyer’s agent may think the homeowner could take advantage of shortcuts to save money.
These are some reasons why a buyer’s agent could deter their client from looking at For Sale By Owner homes, leading to fewer showings of your home and more headaches overall.
Conclusion – Should You Sell Your Home Without an Agent?
For many homeowners, especially those who have not previously sold a home, the advantages of hiring a real estate agent at the cost of paying a commission may be worth it. It’s important to take the time to do necessary research while weighing the pros and cons to figure out which option is best for you.
Selling and buying a home is an ordeal. If you have any questions let us know and we can help! Please let us know what we can do to help with your mortgage needs. Call us at (844) 824-5626 – we look forward to hearing from you.