Selling Your House? 5 Reasons You Shouldn’t For Sale By Owner!

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In today’s market, with homes selling quickly and prices rising, some homeowners might consider trying to sell their home on their own, known in the industry as a For Sale by Owner (FSBO). There are several reasons this might not be a good idea for the vast majority of sellers.

Here are five of those reasons:

1. There Are Too Many People to Negotiate With

Here is a list of some of the people with whom you must be prepared to negotiate if you decide to For Sale By Owner:

  • The buyer who wants the best deal possible

  • The buyer’s agent who solely represents the best interest of the buyer

  • The buyer’s attorney (in some parts of the country)

  • The home inspection companies, which work for the buyer and will almost always, find some problems with the house

  • The appraiser if there is a question of value

2. Exposure to Prospective Purchasers

Recent studies have shown that 89% of buyers search online for a home. That is in comparison to only 20% looking at print newspaper ads. Most real estate agents have an internet strategy to promote the sale of your home. Do you?

3. Results Come from the Internet

buyers-using-an-agent-KCM

Where do buyers find the home they actually purchased?

  • 44% on the internet

  • 33% from a Real Estate Agent

  • 9% from a yard sign

  • 1% from newspaper

The days of selling your house by just putting up a sign and putting it in the paper are long gone. Having a strong internet strategy is crucial.

4. FSBOing has Become More and More Difficult

The paperwork involved in selling and buying a home has increased dramatically as industry disclosures and regulations have become mandatory. This is one of the reasons that the percentage of people FSBOing has dropped from 19% to 8% over the last 20+ years.

5. You Net More Money when Using an Agent

homeowner-frustrated

Many homeowners believe that they will save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real estate agent’s commission. The seller and buyer can’t both save the commission.

Studies have shown that the typical house sold by the homeowner sells for $210,000 while the typical house sold by an agent sells for $249,000. This doesn’t mean that an agent can get $39,000 more for your home as studies have shown that people are more likely to FSBO in markets with lower price points. However, it does show that selling on your own might not make sense.

Bottom Line

Before you decide to take on the challenges of selling your house on your own, sit with a Coldwell Banker Advantage real estate professional in your marketplace and see what they have to offer.

Keeping Current Matters

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About Coldwell Banker Advantage

This is Where Home Begins…No place has a better story than home. It begins with the first turn of the doorknob, but stays with us long after we’ve moved on and locked the door behind us. Perhaps you desire to buy, sell or relocate to Michigan’s Great Southwest, our Award Winning Brokerage Firm and Professionally Trained Agent’s are dedicated to being your trusted source of innovative solutions in today’s ever changing and challenging real estate marketplace. Our team is dedicated to creating exceptional services and experiences to all that we serve. So, whether you’re just starting your home buying search, or are ready to move to your next, contact us today and Discover Your Coldwell Banker Real Estate Advantage.
This entry was posted in Coldwell Banker, Coldwell Banker Advantage, Condos, For Sale By Owner, Home Buyer, Home Sellers, Millennial Buyers, Millennial Sellers, Millennials Buyers, Real Estate, Real Estate Agents, Relocation, Residential Real Estate, Sell, Smart Home Technology, Smart Homes, Southwest Michigan, Technology in Homes, Uncategorized, Where Home Begins and tagged , , , , , , , , , , , , , , , , , , , , , , , . Bookmark the permalink.

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