Should I sell my own property?

Not paying commission to an agent sounds like a great way to save money on a home sale, right? Well, before you jump on the FSBO (For Sale By Owner) train and try to DIY what could be the biggest financial transaction in your life, there are a few things to keep in mind. Full disclosure: I’m a REALTOR, and selling homes is how I make my living, so I’m not exactly unbiased. But it’s no secret that FSBO listings aren’t as straightforward as you might think. Here’s why:

Selling a property is A LOT of work. As the seller, do you have time to do all the marketing, have professional photos/videos/3D virtual tours/floor plans/marketing materials done, talk up the place to other agents so they’ll show it, advertise on social, host open houses and showings, follow up with all the buyers and buyer agents who have shown interest, run around and do the mountain of paperwork that comes with selling a home? If you do, go for it, but it’s not straightforward and most people are already busy. Adding what is essentially a full-time job on top of that? It’s a lot.

You could be leaving serious money on the table. FSBO properties typically sell for less than they would with an agent. So while you might save on the seller agent commission, that can be small potatoes compared to what a talented agent with a solid marketing plan, a strong network and the ability to leverage multiple offers against each other can achieve for you.

You need to really understand real estate. Having an in-depth understanding of the market is vital to a successful sale. Everything needs to be very carefully thought through. Price too high and your property will sit. Price too low and you could send the wrong signals. A low price will only generate a bidding war if it has been widely marketed and lots of people are interested (spoiler alert: you get that with great representation). Otherwise, you’re selling yourself short and shooting in the dark.

You need to be a marketing machine. Marketing is everything: 92% of buyers start their home searches online and you only get one chance to make a first impression. Your marketing (staging, styling, photos, virtual tour, social media, videos, etc.) are the force that drives traffic and makes you stand out. If you don’t stand out? Buyers will probably skip over to the next listing.

FSBO listings don’t attract agents. Fair or not, the perception among agents is that people who are selling their own properties are difficult to deal with and think they can do everything on their own. As a result, agents are less likely to bring their clients to see those properties.

You still have to pay commission to the buyer’s agent. An agent will bring clients to see your property. Which means paying them a 2.5% commission. So you’re really only saving the commission that would go to a seller’s agent: also 2.5%. Plus, think about all the work they’ll be taking off your shoulders.

A good agent pays for their commission...and then some.

You’ll get more than 2.5% in value when you work with the right agent. That’s why people work with REALTORS®: if you want the best result, you hire the best people. From marketing expertise to strategic pricing, slick staging and marketing, paperwork, negotiation and guidance when the offers are on the table, having them take all that off your shoulders for a stress-free experience makes them worth every penny. (Not to mention the higher price they’re more likely to get for the sale.)

But one thing to note: not all agents offer the same level of service, so meet with a few to be sure you’ve found the right one. And another thing: going with someone who’s offering discounted commission isn’t much different than listing your property yourself. Ultimately, you get what you pay for. Working with a great agent is an investment that pays off.

As always I’m here if you have questions. Reach out anytime, I’d love to help.