Why FSBO Is Not A Great Idea: 5 Reasons to Hire A Real Estate Agent
Everyone likes to save money. If you are looking into selling your home, it may sound like choosing the For-Sale-By-Owner (FSBO) route could save you money on fees and commissions. However, this is one situation where what you don’t know *can* hurt you, and your bottom line. Homes sold through an agent sell for an average of 11% more than homes sold as FSBO. This means even with commissions, most sellers make far more with an agent than without one. Here are 5 more reasons to hire a real estate agent to sell your home.
1. It’s harder than you think! Selling a home yourself is far more difficult and time-consuming than you may realize. Not only is the pile of paperwork required a ton of time and effort, but the number of people you have to negotiate and coordinate with easily becomes overwhelming. As a FSBO listing, you are the one negotiating with the buyer, buyer’s agent, buyer’s attorney or title company (depending on state), home appraisers, home inspectors, banks and lenders.
2. Realtors have data you don’t. Realtors have data at their fingertips on sales trends in the area, sales prices of comparable homes in the neighborhood, mortgage rates and other data that they are already set up to access quickly and easily. You could spend hours researching to turn up half the data a realtor has with a few mouse clicks. Realtors use this data to help determine the best listing price to help your home sell quickly and for the most money possible.
3. Real estate agents are your gatekeepers. Having a real estate agent handling the sale of your home also means you have a gatekeeper that can weed out unqualified buyers, bargain hunters who look at FSBO like an item at a yard sale and scammers looking to profit from your inexperience. Simply put, a real estate agent protects your time, money, and safety by ensuring only true potential buyers are coming into your home.
4, Real estate agents have established sales and marketing channels to sell your home quickly. Realtors spend a great deal of time setting up networks, marketing channels, social media followings and other forms of community outreach that help their listings get noticed. They also have access to the Multiple Listing Service (MLS) that lets all other agents in the country know your home is available. FSBO sellers have to pay an agency to get their home listed on the MLS–typically costing several hundred dollars. That’s money that would be better invested in hiring an agent instead.
5. Scheduling and managing showings can be a headache! When selling your home, keeping things in “showing-ready mode” is hard enough. Now imagine dealing with scheduling, managing and tracking the outcome of all of those showings! Real estate agents have systems and processes set up to easily handle every one of these aspects of showing your home. All you have to do is keep things looking nice and be scarce when a potential buyer is viewing your home. So much easier!
Selling your home can be a far more complicated process than it appears. Hiring an agent provides benefits to your bottom line and your sanity that trying to sell on your own can’t beat. The experienced agents at Century 21 Broadhurst have a proven path to sell your home.