Should I sell my own home or use a Realtor?

Selling

Everyone wants the best price and most return on their investment when selling their home, right? That may make it very enticing to sell your home as “For Sale by Owner, ” or FSBO…you won’t have to pay a Realtor commission to sell your home, which puts more money in your pocket, right? That may not necessarily be the case. Let’s look at the pros and cons of both FSBO and Realtor represented homes:

 

For Sale by Owner

 Pros:

• Potentially avoiding paying a Realtor commission

Cons:

• Potential lack of expertise to accurately price your home.
• Paying for professional photos, ranging from $125-$400.
• Attracting qualified buyers
• Buyers think they can “lowball” and offer you a much lower price than your asking for
• Need to be present to show your home at any given time that a buyer wants to see it
• Safety concerns when showing you are alone and showing your home to a stranger
• Potential difficulty with negotiations before and after inspection
• Need to pay the buyer’s Realtor commission if you offered that, typically 2.7% - 3%. If you don’t offer to pay a buyer’s Realtor commission, you are less likely to get buyers that are represented by a Realtor coming to your home.f_4734263.jpg

 

Realtor

 Pros:

• They look at the market in your area to help you determine the best price potential
• Typically get a higher price for your home vs. FSBO
• Provide staging advice/assistance to bring your home to the best showing potential
• Pays for professional photos that show your home in the best light possible
• Sign in your yard to help attract buyers who are driving and looking for a particular neighborhood to buy a home in
• Networks among agents for attracting buyers to your home
• Hosts Open Houses to attract buyers
• Shows your home for you at any time requested by a buyer (and approved by you)
• Listed on multiple websites including the MLS
• Negotiates after the inspection is done for potential problem areas.

Cons

• Pay between 5-7% commission on sale price of home
The majority of FSBO end up listing with a Realtor due to the frustration of not selling.