The Truth About Selling Your Own Home

Real Estate

A lot of homeowners are convinced that if they’re willing to put in a little more effort on their own, they’ll end up turning a bigger profit when selling their home. While there are some rare examples where this may be true, the vast majority of evidence suggests otherwise. In most cases, people who sell their own home end up working way too hard and end up with less in their pocket than they would have by getting some help from a REALTOR®.

Take the road more traveled by

Only about eight percent of homes sold are for sale by owner (FSBO). This is no coincidence; the market knows how important it is to use a REALTOR® to ensure that business is done right. Additionally, about 38 percent of the homes that are listed FSBO end up going to someone who already has a relationship with the seller. This indicates that the house will probably be sold at a discount to help maintain or bolster a good personal relationship after the sale is made.

Why settle?

Taking the FSBO route is one that likely means that you’re going to end up working way harder than you need to and will end up with less to show for it. On average, homes go for 10 percent less when they’re listed by the owner. Additionally, if you’re in the 38 percent who sells to a friend, your home would be expected to sell for 36 percent less than its actual market value.

Experience matters

Studies show that 49 percent of FSBO sellers do not actively market their home. The 51 percent that do take the time to market their home tend to rely on yard signs and friends and family to do the bulk of the work. A REALTOR® understands the ins and outs of the industry and won’t leave things up to chance when marketing your house. Some of the leading struggles for FSBO sellers are getting the right price and understanding paperwork. This is the type of work a REALTOR® is extremely familiar with and can use their expertise to maximize the value of your home.

Understandably, giving away a cut of your earnings after a home sale can seem frustrating. However, consider how much more you cost yourself by not allowing a REALTOR® to help you sell your home.