Selling a home takes a lot of preparation and work, and it’s not as easy as it would seem to be. The process of selling your home should be treated with seriousness, as this will make the difference between getting a good deal or a bad one. By selling a home without the help of a realtor, it is possible to save money on commissions, but this shouldn’t be the only factor in your decision to go with a realtor or sell the property yourself.
Before making your choice, make sure that you know what the home selling process involves, so you can decide if you can handle it yourself or hire a realtor. Weigh in the advantages of each option before making a decision. This article will present the most important pros of selling by owner or by realtor, helping you make the best choice.
Advantages of Selling Your Home by Owner
If you are considering selling your home yourself, then you should know that this comes with some pretty appealing advantages, both financial and practical. Here is why selling by owner is a great choice:
- Save money. Real estate commissions can be fairly large, but they can be avoided by selling your home without hiring a real estate agent. For example, a 6 percent commission on a $180,000 house will be over $10,000, and that’s a significant amount of money you would be saving if you handled the sale yourself. Some of the selling costs may even be tax-deductible, so you will be saving some money there, as well.
- Sell faster. When selling by realtor, there is a big chance that your home won’t sell as fast as if you did it alone. This may be caused by the fact that the price will probably have to be higher in order to compensate for the realtor’s commission. The buyer will offer less when finding out that you are using a realtor, which will probably lead to negotiations that can further delay the sale. An overpriced house will sit on the market a lot longer, and possibly lead buyers to believe that there is something wrong with it since it hasn’t sold yet.
- Market immunity. Selling by owner won’t be very difficult in both buyer’s and seller’s markets. In a buyer’s market, by selling your home on your own, you can afford to be more competitive with the price, and sell faster than owners who have hired a real estate agent. Selling by owner in a seller’s market allows you to hold on to a maximum amount of equity.
- More convenient. When selling your own home, you can schedule appointments whenever it is more convenient for you; you don’t have to keep your home extra clean just in case an agent wants to show it on short notice and you don’t have to leave the house while an agent is showing. Knowing when someone is going to come and see the house will save you a lot of hassle and will allow you to prepare your home in time for the showing without being hurried.
- Less stressful. Finding a new home and moving is stressful enough, without having to worry if your real estate agent is doing their best to sell your home. By being in control when selling your home, you will have fewer things to worry about because you will be the one who is meeting the potential buyers and finding out how interested they are. Not having to wonder what is going on all the time or why no one has made an offer yet will save you headaches.
Advantages of Selling Your Home by Realtor
There are many advantages to using a realtor in order to sell your home. The biggest benefit to working with a professional is that you don’t have to go through the complex process of selling a home on your own, which requires much more of your time and energy. Realtors have the necessary training and experience to deal with the complex and often intimidating details of selling a home. Here are some of the most important advantages of working with a realtor when selling your home:
- Pricing your home easier. Real estate agents have proper knowledge of the current housing market conditions, meaning that they will know what similar properties are selling for in the area. Knowing how much to ask for your home without having it sit for months on the market is really important when selling. With their marketing resources and real estate connections, a realtor can better establish what the best asking price for your home will be.
- Better exposure. Selling by realtor will help get your home more exposure on the market. Your realtor will know how to do this best, whether by creating flyers or posters, having an open house, or by other means. He or she can also use his contacts in the real estate industry network to get the word out about your property.
- More security. When selling a home on your own, you will have to show it to potential buyers. While this can be very convenient, you must keep in mind that you are inviting strangers in your home. A real estate agent has experience in dealing with buyers, and they will usually screen them through their real estate agency before allowing them to see your home.
- Less emotional involvement. Selling your home can be a very emotional process, which can interfere with good decision making, causing you to sell your home for less than it’s worth or holding on to it because no one will buy it at the price you think it’s worth. Having a professional that has no emotional involvement and looks out for your best interests might be the better choice when selling your home.
As you can see, there are advantages to both selling your home by owner and by realtor. In the end, it is up to you to figure out your situation and decide if you want to go through the home selling process alone or with the help of a professional. Either way, you should inform yourself as much as possible on this matter so you make the best decision for you and save as much money as possible.