Should you sell your home on your own?
Many home owners consider selling their home without the help of a real estate professional but in reality very few sellers choose to attempt it. As a REALTOR® I am obviously biased. By working with a well-trained team of professionals to assist in the process, legal and transaction, the seller and their assets are better protected.
What do most Home Sellers do?
According to the National Association of Realtors in 2022:
10% of sellers sold their home with without the help of a Real Estate agent in 2022
1/2 of those sellers sold their home to a buyer they knew
Only 5% homes were sold without the use of a real estate agent to a buyer that the seller did not know
87% of sellers used the professional services of a real estate agent to sell their home.
Selling your own home, also known as "for sale by owner" (FSBO), can be a option if you are comfortable handling the process on your own and have the time and resources to do so. However, it's important to carefully consider the pros and cons of FSBO before making a decision.
Pros of FSBO:
Selling your home to someone you know: If you are selling your home to someone you know or to a buyer who contacted you directly, you may be able to save the real estate brokerage fees that are typically paid to the seller and buyer agents. If you choose this path, you will need extra assistance from an attorney who specializes in real estate to not only represent you legally but to also guide you through the paperwork and process.
You may feel more in control over the process: When you sell your own home, you have more control over the sales process, from pricing and marketing to negotiating offers and handling the paperwork.
Cons of FSBO:
It can be time-consuming: Selling a home requires a lot of time and effort, including preparing the home for sale, marketing it to potential buyers, and handling the paperwork and legal aspects of the transaction. If you're not prepared to devote the necessary time and effort, FSBO may not be the best option for you.
You may not get the best price: Real estate agents are trained to price homes accurately and market them to potential buyers. If you're not familiar with the local real estate market and don't have the necessary skills and expertise, you may not be able to get the best price for your home.
It can be more stressful: The process of selling a home can be stressful, especially if you're not familiar with the legal and financial aspects of the transaction. If you're not comfortable handling these tasks on your own, FSBO may not be the right choice for you.
You still may be on the hook to pay real estate brokerage fees: If the buyer for your home working is with a real estate agent, they buy may ask you to pay the buyer’s brokerage fee at closing.
Increased legal risk: Real estate professionals are responsible for keeping up to date on the legal aspects of listing, showing and selling your home including understanding the obligations of the Fair Housing Act. Additionally REALTORS® are required to abide by and keep current on the REALTOR® Code of Ethics to protect consumers, clients and members of public.
Personal safety risk: An necessary aspect of selling your home to someone you do not know is to allow strangers inside your home. Most real estate professionals follow best practices and have policies to reduce the risk associated with allowing strangers inside your home.
Overall, whether or not FSBO is the right option for you will depend on your individual circumstances and comfort level with the process. If you are selling your home to someone you know, FSBO may be an option. However, if you're not comfortable handling the process on your own or don't have the time and resources to do so, it may be worth considering hiring a real estate agent to assist you.
If you are considering selling your home on your own, give me a call first. We can talk about the selling process and the pros and cons of your particular situation!
