While most of us who decide to sell our home will use a real estate agent, some may consider selling on their own. There are many risks & obstacles to selling your own home that you should consider before deciding to take this route. Even as a Realtor, I would ask another agent to represent me. This alleviates a lot of emotional aspects of selling your own home, that can truly cloud your decision on price & negotiating. It gives you that objective viewpoint, as well as additional knowledge to ensure that the best price is achieved. But, of course, what else would an agent say? So, you decide for yourself.....Here are just a few of the most common potential downfalls of selling your own home.
Setting the Wrong Price - In the world of real estate, setting a good asking price is absolutely critical. Owners frequently have a difficult time setting a realistic sales price, even if they have paid for an independent appraisal. Impartially evaluating your home and all it's shortcomings (and selling points) is a lot to ask. An overpriced listing can linger on the market and necessitate later price drops. An under priced listing can either scare off wary buyers or can result in a closing price significantly below market value.
Under Exposure - Attracting serious buyers requires much more than a classified ad and a sign in the front yard. Many of the marketing avenues that agents utilize are costly or require resources that the average homeowner just doesn't possess. Between 75 and 80 percent of buyers use the Internet during their home search. Savvy agents come equipped with a strong Internet presence that draws online buyers to your listing.
Lack of Marketing Experience - Most of us are not practiced in the art of promotion, and don't possess a great deal of knowledge or perspective when it comes to marketing real estate. A skilled real estate professional knows the techniques to make your home competitive with comparable properties in the local marketplace.
Buyer Wariness - Some buyers will avoid a FSBO listing for fear either there is "something wrong" with the property or that the asking price will not be based on current market trends.
Buyer Haggling - A FSBO listing can attract buyers out to find a "deal". These individuals are more likely to see the listing price of a FSBO property as merely a starting point.
Failure to Disclose - Failing to disclose or fully disclose any defects in your home is huge liability for any seller. Improper disclosure or nondisclosure usually results in lawsuits, an unpleasant prospect for all parties. Licensed real estate agents are required to stay up to date on all mandatory local, state and national disclosure requirements.
Commission to Buyer's Agents - Nine out of ten homebuyers use a real estate agent in the search process. If a potential buyer is using the services of an agent, their commission will generally be taken out of the selling price.
Lack of Negotiating Experience - One of the most important services real estate agents provide is the negotiation a sale. Working without an intermediary makes it much more difficult to keep emotion out of the process. Sellers without representation can employ the help of a real estate attorney, but their primary function is to ensure that the contract is not marked by errors or omissions.
Now it's up to you to decide.
