Many sellers considering selling their homes themselves to avoid paying commission to a Realtor. Today I’m here to talk about why that’s not the best idea.
Today I’m with my listing partner Amy Moser to discuss some of the dangers of trying to sell your home by owner.
Many sellers consider selling their homes themselves to save on the 5% to 6% commission that comes with using a real estate agent. But statistically, homes sell for more money when they’re represented by a Realtor. According to the National Association of Realtors, they sell for 16% more than if they were a For Sale By Owner property.
When you list with a Realtor, your home is put on the Multiple Listing Service (MLS) and exposed to thousands of Realtors who are working hard to find suitable properties for their clients. Additionally, most serious buyers are working with a Realtor because it doesn’t cost them anything to do, as the commission is paid by the seller.
If you’re trying to sell your home by yourself, you have all of your personal contact information out for anyone to look at. Without an agent, there is no one to screen these individuals before they call and ask to walk through your home. According to Amy, these sort of buyers are usually looking for the best deal, the biggest discount, and won’t qualify for traditional financing, so they’re looking for someone to carry their mortgage, which will be you.
Most people are not that brutally honest.
When you hire a real estate agent, you have access to all the most current real estate contracts, legal disclosures on your property, representation on what is included and not included, and reduced liability if the deal falls through. By working with a Realtor, you will be able to avoid buyers that prey on sellers who don’t have representation.
The last piece that I want to talk about is that selling a home is a lot of work. “There are many parts prior to even getting an offer on your home,” Amy says. Some of these parts include marketing for your home, and then a checklist of items that need to be taken care of that protect you as the seller during the process, like inspections and appraisals. “Very few real estate transactions go through without any hiccups,” Amy says.
Another benefit to hiring an agent is they can act as a buffer to receive any feedback on the home after showings. Most people are not that brutally honest and feel uncomfortable telling a seller about things they think the seller should improve on to their face. Having an agent to take in that information and communicate it to the seller can help get the home sold faster and for more money.
If you have any additional questions about the benefits of hiring a professional Realtor, or you’re looking to buy or sell a home, give me a call. I’d be happy to help!
Also, take a look at our latest 360 degree home tour! You can explore each corner of the listing at Morningwood Way as if you were there in person. Click here to check it out.
