FSBO, or for sale by owner transactions are seen in sellers’ markets when the homeowner wants to maximize their profits by not having to pay a commission to a real estate agent. Sounds great doesn’t it? You’ll be doing all the work so you will be the one getting all the money. You might want to think again. FSBO isn’t all its cracked up to be.
Why should you hire a real estate agent? Simple, they are the expert! Agents will ensure that you receive the maximum profit for your home. Statistics show that working with an agent will usually increase your profit enough to cover the commission vs. selling on your own.
What about marketing? Sure, you can post your home to your personal social media profiles, free classified services, and stick a sign in your yard. However, you still won’t receive the exposure your property needs to be sold. Realtors have access to the multiple listing service (MLS), can reach out to their network of other realtors and their clients, and so much more. How will you set the price?
How are you going to set the price of your home? Are you going to use an online tool that doesn’t know about your areas current market conditions? Did your neighbor “say” they received an offer of X amount on their home? These are very unreliable ways to set your home price and you could be leaving thousands of dollars on the table. What if you end up pricing to high? Your home will sit on the market for too long. Buyers are likely to pay a much lower price when the home has just been languishing on the market. Agents are the expert! Not only do they have excellent knowledge of your markets current conditions they can provide accurate home value based on comprehensive market analysis. Your realtor will ensure that your home is priced just right to ensure you receive maximum profit without leaving anything on the table.
Ready for showings? FSBO sellers don’t realize how much time and effort it takes on their part to coordinate multiple showings. You’ll be spending your precious time dealing with looky-loos (people with absolutely no intention of buying the house), sharks (investors looking to flip your home), and in between all that you might get someone interested in purchasing. A realtor will handle all the scheduling and weed out unsuitable offers. Agents are also more likely to receive valuable feedback from potential buyers that they might otherwise feel uncomfortable sharing directly with the seller. This can make following showings stronger.
Get ready for stacks of paperwork. Offers, counteroffers, addendums. The closing process can have page after page of complicated paperwork. If you don’t know every law and required paperwork for your location you are opening yourself up to lawsuits. Your agent will take care of all the paperwork to ensure you avoid future liability.
Do you have more questions about how a real estate agent can help you? Give The One Group Utah a call today!