When it comes to selling a house, there are a few different paths you can take. One option is to work with a realtor, while another is to sell the house yourself. Both have their pros and cons, so making the decision can be tricky. In this blog post, we’ll break down the pros and cons of selling a house without a realtor and help you decide what’s best for you.
Can I Sell A House Without A Real Estate Agent?
You are not legally required to have a real estate agent when selling a house, but using an agent is in your best interest.
What Are FSBO Listings?
FSBO listings are homes that are being sold by the owner, rather than through a real estate agent. Selling your home without an agent can save you thousands of dollars in commissions, but it also means that you’ll be responsible for all aspects of the sale, from marketing the property to negotiating with buyers. If you’re considering selling your home without an agent, it’s important to understand the pros and cons of FSBO listings before making a decision.
Pros of Using A Real Estate Agent When Selling A House
When you’re selling your home, it’s important to work with a professional who can help you through the process. A real estate agent will have the experience and knowledge to guide you through every step of selling your home. Here are a few reasons why you should use a real estate agent when selling your home.
The Sale Price is Often Higher
Many home sellers believe that they can save money by selling their home without the help of a real estate agent. While it is true that you will not have to pay a commission if you sell your home without an agent, this does not mean that you will necessarily get a better price. In fact, in most cases, homes that are sold with the help of a real estate agent actually sell for more than homes that are sold without an agent.
Your Home Will Be Listed At the Right Price
One of the most important aspects of selling your home is pricing it correctly from the start. Overpricing your home will likely result in few showings and even fewer offers, as buyers will perceive your home as being overvalued compared to similar properties on the market. On the other hand, if you price your home too low, you may end up leaving money on the table. So how do you determine what the right price is for your home?
This is where working with a real estate agent can be extremely helpful. A good agent will have a keen understanding of the local market and will be able to provide you with a comparative market analysis (CMA) that takes into account recent sales of similar properties in your area. They will also be able to give you an estimate of what they believe your home is worth based on their knowledge and experience.
While it’s ultimately up to you to decide what price you list your home at, it’s important to take into consideration all of the relevant factors involved before making a final decision. Working with a real estate agent can give you peace of mind knowing that you’re listing your home at a fair and competitive price, increasing your chances of finding a buyer quickly and for the best possible price.
More Publicity With A Real Estate Agent
The Multiple Listing Service (MLS) is a database of all homes currently for sale in an area that is only accessible to real estate agents and brokers. When you list your home with a real estate agent, they will input all of your home’s information into the MLS, which will then be distributed to all of the other agents in the area. This allows buyers who are working with an agent to see your home listed alongside all of the other homes on the market, increasing the chances that your home will be seen by potential buyers.
In addition to using the MLS to list your home, most real estate agents also have their own websites and social media accounts that they use to market their listings. By listing your home with an agent, you gain access to this increased online visibility. Not only that, but you also benefit from the years of experience and marketing expertise that your agent has to offer.
Real Estate Agents Are Experienced Negotiators
Think about it – when was the last time you negotiated a contract? For most people, it’s probably been a while, if ever. Real estate agents, on the other hand, negotiate deals all day, every day. They know how to read people, they know what objections to anticipate, and they know how to get the best possible deal for their clients.
If you’re thinking of selling your home without an agent, you may be missing out on thousands of dollars that an experienced negotiator could have saved you.
Real Estate Agents Take Care of the Paperwork
Selling your home without an agent means that the homeowner is responsible for taking care of all the paperwork themselves. This can be a daunting task, especially if you’re not familiar with the ins and outs of the real estate industry. Luckily, real estate agents are experts at handling paperwork and can take care of everything for you.
Below is a comprehensive list of all the documents you will need to sell your own home:
Original Sales Contract
Records of home repair and maintenance
Payoff amount for your mortgage (mortgage statement)
Receipts from any improvements
HOA documents (if applicable)
Warranties and manuals
Preliminary Title Report
Comparative Market Analysis
Seller’s Net Sheet
Final purchase and sales agreement
Contingency removal form
Home Inspection Report
If you decide to use an agent, they will help you with all of this paperwork.
Real Estate Agents Have Relationships With Other Agents in the Area
When you have an agent who has relationships with other agents, it can help to get your home sold quickly. This is because they will have a network of people who they can reach out to when your home is on the market. They can also let other agents know if you are looking for a specific type of buyer.
Real Estate Agents Can Help You Prepare Your Home for Sale
Real Estate Agents will be able to give you advice on what repairs need to be made, what improvements should be made, and how to stage your home so that it appeals to buyers. This can make a big difference in how much your home ultimately sells for.
Real Estate is a Full-Time Job
From the initial preparations to listing your home and hosting showings, there is a lot of work involved in getting your home sold.
Home sellers often underestimate the amount of work required to sell their home. In addition to the day-to-day tasks of keeping your home clean and presentable for showings, there are also larger projects that need to be completed before listing your home. These projects can be done by an agent when you choose to list your home with them.
Con of Using A Real Estate Agent When Selling A House
Paying Real Estate Agent Commission Fees
The most significant disadvantage of using a real estate agent is the commission that the agent will charge. Most agents work on a commission basis, meaning they will only get paid if and when the house is sold. Typically, agents charge a commission of 6% of the home’s final sale price. This can add up to a significant amount of money, particularly if the house sells for a high price.
While 6% is the average commission price, only around 3% goes to the listing agent. The other 3% will go to the buyer’s agent, which you will most likely have to pay even if you do decide to sell your house yourself.
As mentioned in the Pros section, sale prices are often higher when selling your house with a real estate agent. The extra money you make from the sale of your home may cover the cost of using an agent, which also saves you the time and energy of trying to sell your house yourself.
Selling your home can be a daunting task, but with the help of a professional real estate agent, you can feel confident that the process will go smoothly. Our team at Bernie Gallerani Real Estate has the experience and knowledge to guide you through every step of the selling process, from setting a price to negotiating offers. Don’t go through this process alone – let us help you today!
Our team has sold thousands of homes throughout Middle Tennessee. Even if you are looking outside of Middle Tennessee for a home, contact us, and we can give recommendations for some of the top real estate agents throughout the country.