Home Sellers
The Benefits and Disadvantages of Selling Your Home Without a Realtor®
Hello HomeHunters! Thinking about selling your home on your own, aka For Sale By Owner (FSBO)? This is something that many homeowners think about when deciding to put their home up for sale. It is a valid question and something that more people should be informed about. There are positives and negatives when it comes to selling a home without a Realtor®. To be truthful, there are more negatives than positives, but that is not to say that it cannot be done. If you are truly committed to selling your home on your own, here are some pros and cons to expect from the process.
Pro #1: Money Saver
When using a Realtor®, they will normally receive a commission on the sale of your home. This can be a very significant amount, especially if your house is selling for a high price. If you choose not to use a Realtor®, you will not have to pay this fee. If you are nervous about selling your home on your own, you can always ask a Realtor® if they will lower your price or work with a discount real estate broker.
Pro #2: Full Control
Selling your home on your own lets you be in control of the whole process. You can control all aspects, including price, showings, photographer, and any other necessities that home selling requires. If you are someone who likes to be involved in all aspects, for sale by owner is something to think about.
Pro #3: Devoted Attention
When you sell your home without a Realtor®, you can devote all your time to the sale and be involved in every decision. You can show your home when you are available and talk to buyers whenever they call. Having time to dedicate to selling your home is helpful, but if you are not available most days for calls and showings, having an agent would benefit you greatly.
Con #1: Wasted Time
It takes a good amount of time to sell a house, which can be frustrating and stressful for sellers. If you choose to sell your house on your own, you will need to put extra time and effort into the selling process. Researching everything that goes into selling a house and then committing yourself to the process takes much longer than it would when working with an agent. Your home needs to be inspected, repaired if necessary, photographed, listed, and shown. You need to be prepared to put in the work needed to sell your home in a timely and efficient manner.
Con #2: Unknown Knowledge
Selling a home takes expertise that many people do not have. There are many aspects to home buying that are foreign to sellers, including purchase agreements, closing documents, and state laws related to real estate transactions. If you do not cover certain legal obligations, there could be repercussions in the future.
Con #3: Marketing Experience
Listing your home online is easy, but marketing your home to potential buyers takes a lot of work and experience. Good marketing ensures that your listing is noticed by potential buyers that are a good fit for your home. A Realtor® can get the word out across their network of other agents with clients looking for a home in your area.
Con #4: Risk of Failure
Selling your home without a Realtor® is difficult and can come with a handful of problems. Here are some reasons why for sale by owners fail to reach their home selling goals:
- Wrong listing price
- Not making the home accessible to the buyer’s schedule
- The home was not ready to be sold, this includes broken items or incorrect staging.
- Bad marketing
- Not knowing how to qualify a buyer to ensure they can afford a mortgage
Selling a home for sale by owner is hard to do and comes with many risks. The time and effort to sell your home on your own may not be worth it in the end. Contact our team at HomeHunt to discuss your options and learn more about the pros and cons of selling your home on your own.