Selling your home by yourself may seem like a good move on paper. You can save thousands of dollars in commission, but is it really worth it? Here's what realtors don't want to tell you about going solo.
Statistically, you will sell for more money with an agent
The National Association of Realtors, or NAR, does a lot of research on this topic. According to a NAR report, the average price of a home sold with the assistance of a licensed real estate agent sold for $250,000 while the average selling price of a For Sale By Owner or FSBO home was only $190,000. Instead of saving money by avoiding paying commission, you are getting short-changed on the value of your home and selling for less than what it's worth.
There are some real weirdos out there
When you sell with an agent, they deal with the weirdos. You do not have the time, patience, or disposition to deal with nosy neighbors who only want to see the inside of your home or people who have no intention of buying anything. Not only that, but you are also inviting complete strangers into your home. They may be perfectly fine with good intentions, and they may not be.
The paperwork can be a nightmare
A real estate transaction is not like a garage where you place a sticker with a price on the objects that you want to sell. It is a complicated business transaction involving hundreds of thousands of dollars. Every 't' needs to be crossed and every 'i' needs to be dotted correctly. Failure to fill out the paperwork correctly could be a nightmare. You could even be sued.
Real estate agents may not want to work with you
Even if you offer to pay the commission to any real estate agent that brings you a buyer, they still may not want to work with you. FSBO sellers are not professional real estate agents. A buyer's agent does not want to do their job and yours. They may just avoid the headache and steer their buyers elsewhere.
You will attract low-ball offers
There is something about an FSBO that brings out the deal makers. Just as you want to save money by avoiding commission, they want to save money by seeing how low you will go on your price. Do not be surprised at how insulting some of the offers may be. It goes with the territory.
Selling FSBO is often not worth the money that you think you will save. A good realtor can make all the difference.