Don’t Sell on Your Own Just Because It’s a Sellers’ Market

In the current market, you might be tempted to try to sell your house on your own instead of working with me or another Realtor. With so few homes on the market right now, buyers are eager to snatch up any house that comes to market. This makes it even more tempting to sell by yourself and on your own. Let’s look at why that’s a mistake and could actually cost you more and reduce your proceeds.

According to the Profile of Home Buyers and Sellers published by the National Association of Realtors (NAR), 41% of homeowners who tried to sell their house themselves did so to avoid paying a commission or fee. But even in the current market, selling on your own likely means you’ll net a lower profit than when you sell with my help.

The NAR report explains this about for-sale-by-owner homes (FSBOs):

“FSBOs typically sell for less than the selling price of other homes; FSBO homes sold at a median of $217,900 in 2020 (up from $200,000 in 2019), and still far lower than the median selling price of all homes at $242,300. Agent-assisted homes sold for a median of $295,000...Sellers who began as a FSBO, then ended up working with an agent, received 98 percent of the asking price, but had to reduce their price the most before arriving at a final listing price.”

When the seller knew the buyer, that amount was even lower, coming in at $176,700 (See graph below). That’s a lot of money to risk losing!  When you focus only on what you might save, you risk missing what you might earn.

Realtors are trained negotiators. We have extensive market insight because we are involved in more transactions in a year than you might be in a lifetime. Plus, my expertise and help can alleviate much of the stress of selling. My job is to increase the perceived value of your home to get you the best price, establish a pricing strategy that will net you the most proceeds, get your home the most effective market exposure, negotiate the best contract terms for you, and manage the transaction so your experience is as seamless and stress-free as possible. I am your advocate.

Bottom Line

If you’re ready to sell your house this year and you’re thinking about being a FSBO, call me first. If you’re already trying to sell your house on your own and are re-considering, call me. We’ll get you on track to a smooth and profitable sale.