Although real estate agents do a lot of the legwork when it comes to selling a home, it is an added expense. It is not necessary or mandatory to use a realtor, however. There is a lot that goes into selling a house so you will be left with your hands very full if you decide to go this route.
You’ll have to be extremely organized and filing loads of paperwork shouldn’t bother you. If your time is limited or you aren’t the type that can dot all the i’s and cross all the t’s then this isn’t likely to be a good idea for you. If you are the type that loves to do things yourself then selling a house yourself will save you money and you will learn a lot from the experience.
In this article, we will go over what it takes to sell a house yourself so you can decide if it’s the right move for you.
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Sell to a company
The easiest and fastest way to sell a house eis to go through a house buyer company. You’ve surely seen many billboards saying “Sell my house fast!” If you’ve wondered if they’re legitimate, the answer is yes, but you have to go with a trusted company.
The way that it works is that there are companies that will come and pay cash for your house and then resell it themselves. Usually they take houses that need some repairs so they can fix them up and flip them.
You won’t need to deal with any viewings or open houses. You can sell it as is and get money right away. In many cases you can also set your closing date so you can time a move into a new house better.
If you really just don’t want to pay the real estate agent fees and you don’t have the time or resources to puthe house on the market yourself then this is an ideal way to go.
Be realistic about the price
If you do decide to go out on your own and test the market rather than sell to a company then you have to set the right price. Of course, everybody wants top dollar for their house. Without the unbiased eyes of a real estate agent who can set an accurate price, it is difficult to come up with a number that is not exaggerated. If you have time to wait then maybe you can get your asking price. However, if the house is overpriced it can take a long time to sell since the first few weeks are crucial.
Have an independent inspector come and look through the house to see if there are any major flaws that would cause a potential buyer to balk at the price. Then you have a choice of fixing the problems or selling as is at a lower price.
Be a marketer
Putting a for sale sign in front of the house is not going to be enough to get the house sold quickly. It will take casting a wide net to get the word out there.
Part of this is going to be paying for a Multiple Listing Service, or MLS. This will put the house on multiple websites that can be found by people searching your area. It costs $400 for a year and could pay for itself quickly by matching the right buyer to your house.
You can also try to get more eyes on the listing by doing some social media posting. Get the word out among your friends and ask them to share the listing with their friends. This can spread out quickly and may result in a sale that costs nothing.
Advertising on social media is usually very inexpensive and can reach the exact right people that can also lead to some interested buyers. If you do go this route then make sure to hire a professional photographer to take the pictures for your posts. And drone footage video will also create an impression that helps those ads get to the right people.
Pay for limited broker services
There are ways to save on broker fees and still not have to do all of the work that goes into selling a home. Many offer limited services such as filing some paperwork and reviewing contracts. You could even have one do a market analysis so you can come up with an accurate and realistic asking price for the house.
Why selling a house with a real estate agent is better than selling on your own?
Selling a house with a real estate agent brings more to the table than most homeowners realize. If you’re sitting on the fence about hiring or not a real estate agent, here’s what professionals will offer:
Knowledge
Just because you’re not aware of the problems that come with selling without a real estate agent doesn’t mean that you will have a smooth selling process. A real estate agent’s knowledge is, in fact, unparalleled with what you can find out from reading one or two articles on selling houses.
Agents are in the know about what the internet doesn’t tell consumers. They can give input that you cannot find online. Real estate agents know how to use the data for a smooth selling process; they will only put properties on the market only when both the seller and the property are ready.
Time
We all know that time is money, so you should ask yourself if you have it before trying to sell your house on your own? Can you be there and present your home to possible buyers, if asked? Are you able to work your schedule at work around the showings? What if you are on vacation and need to go back for a determined buyer? Cash buyers aren’t frequent, and you cannot risk losing one.
What we’re trying to say is that you need to dedicate time and effort to the showings. Don’t forget that you also need to answer all the questions that interested buyers might have. Will you be hesitant or able to answer them all and move forward with the selling process?
Presentation
In real estate, presentation is crucial, and how a house looks can seal the deal as much as it can throw the clients off. You can make a first impression just once. Real estate agents know how to prepare houses for sale. They can stage the property professionally. Some hire professionals for photography, video, drone, and even 3D showings. Are you able to do that the same? Do you have an eye for how a space will look on camera?
Negotiation experience
Let’s say you’re able to get an offer. What do you do next? Do you take it, do you wait? Real estate is an energetic market, and you need to know how to handle several offers to get the best price.
Some terms and conditions could be less advantageous for you—it’s not information you can find online. Do you have the skills to keep a client interested in negotiating the price? Will he walk away?
When it comes to negotiating, you need to get the perfect balance between protecting your interests and working with the buyer so that you can find the middle ground and seal the deal. If you lose a deal, it’s because you didn’t know how to negotiate.
Marketing
How do you plan to advertise the property? Do you know anything about your buyer demographics and your neighborhood? How will sellers reach the buyers?
You need to have access to predictive analytics and promote the listing to other agents in the community and social media. It’s also important to know the print media most suited for your property. Will you go local, or do you plan to reach out nationally or internationally? In today’s world, an agent in New York City can buy a property in China—real estate has never been so easy to work.
Inspection and repair know-how
Even real estate professionals may have difficulties with this one, as house inspections can be the most challenging part of selling. You need to know what to expect with house inspection and identify the items that need repair or replacement. You also have to know which house improvements are crucial for selling your house. If you don’t manage the necessary repairs, you might lose a buyer or end up paying for the repairs after selling.
Managing the transaction
Let’s say you have a buyer- do you know what to do next? Where do you go for the closing process? Have you asked yourself if the buyer’s financing is stable? I
Accuracy for the closing process
The closing protocol is a complex process, and many details are established at the moment. Things like when do you have to move out of the house are just one of them. In some markets, the owner has to move out by the day of closing. There’s also the situation when you have several days to move out after the closing.
The condition of the house when you move out can also impact the closing. Do you leave it sparklingly clean or not? What happens if the movers damage something when you move out? Who pays for the damage?
All things considered, selling a house without an agent is like throwing caution to the wind and the commission as well. It’s risky, and you might spend more than if you had hired a natural agent to protect your best interests.
Selling the house on your own? Here are more tips!
If you’re determined to sell the house without a real estate agent, you need to do due diligence and learn as much as possible about selling properties. Along with setting the price right or working with a broker, there are other tips to try:
Advertise
You can list your property on FSBO for $100 for one year and the listing will automatically show on the real estate websites. You can also try to enlist your house on Patch and StreetEasy. Consider signing up for a Multiple Listing Service to reach more people. It’s only $400 per year, and real estate agents use it as well.
Have patience
Don’t lose hope when the first open house doesn’t lead to positive results. Go over the asking price, double-check the marketing materials and seek that your home is widely listed.
Provide with a detailed description of your home
Always add photos (exterior and interior) when listing your house. We recommend you hire a professional to take the best pictures possible. The listing has to include price, age of the home, location, number of rooms, bathrooms and bedroom. If you’ve made home improvements recently (a new water heater or a new roof), don’t forget to specify it.
Frequently Asked Questions
Do you save money buying a house without a realtor?
Even if many professionals don’t recommend it, forgoing a partnership with a real estate agent will save you a significant amount of money. You might save at least 6% of the purchase price of your home between buyer and seller agent’s commissions.
Is it possible to negotiate closing spending with the seller?
It’s possible to negotiate the closing costs with the seller. Some sellers agree to cover a portion of the closing costs.
Is it mandatory to sell the house with a real estate agent?
No rules require you to sell your home with a real estate agent. For example, in 2019, around 11% of the people decided to sell their properties outside of the multiple listing service (MLS). They went with a listing for sale by the owner (FSBO).
What does a broker do when selling a house?
Seller’s brokers can identify the market values of the property. They can list and show properties, talk with sellers about offers and offer guidance in the offer process.
How much is the broker fee?
90% of homes on the market today are purchased with help from a broker or a real estate agent. Typically, agents charge a 6% commission on the listing price when selling a property. The buyer’s agent, the seller’s agent, and the brokers will split the commission.
