Wouldn’t you like to save a little money when selling your home? Sure, everybody wants to save. And when selling homes, FSBO (for sale by owner) has been aired as a way to save money when selling your home. But recent stats suggest the opposite. In 2015, 8 percent of sellers were FSBO (for sale by owner) , down from the nine percent of 2012. Statistics by realtormag also indicate that the normal FSBO home sold for and average $39,000 less than a realtor promoted home.
Hence, even though real estate FSBO sale may save you 6% in commission, it may not be a wise move, considering the fact that you may sell the house for less and you may not be able to handle challenges that may come up. Plus, you might still need to pay a listing agent 2% commission to list your house in the MLS.
Real estate agents get paid to market and sell your house for the best possible price. They are experts in negotiation, have undergone training and still take further courses to represent your interests as a seller.
THREE IMPORTANT THINGS REAL ESTATE AGENTS DO FOR HOME SELLERS
The valuation of a property is the most important aspect of selling a home. It is very difficult to do without a lot of experience and MLS access. With no MLS access, it is very difficult to get information on recently sold properties.
You might try active listings on sites like Zillow. The problem is that the active listings can be overpriced and you don’t know how much these houses eventually sell for. Only licensed agents have access to the MLS, and would be able to find out how much houses comparable to yours have sold for.
Every house is different, because every house has different characteristics and location. A realtor is an expert at determining the value based on these characteristics.
A REAL ESTATE AGENT KNOWS HOW TO DEAL WITH A LOW APPRAISAL
Most buyers apply for a loan when buying a house and there is a good chance the bank will demand an appraisal. Problem arises when the appraisal on the property comes in too low. We see appraisals come in low constantly with increasing home prices. An agent has learned how to be proactive to help the appraiser and also knows how to dispute the appraisal if it comes in too low.
There’s a distinct art to marketing a home appropriately. You can’t just stick a home in the MLS and await for offers to come in, if you don’t price it too low. But you run the risk of your home either staying on the market for an extended period of time which can bring added stress to you and your family or you could be losing valuable money for the sale of your home. An agent is aware of how to take the best pictures, setup virtual tours, create the best brochures, what websites to make use of, which publications and papers to market in and much more. Realtors also know people who might be interested in your property. Many times a realtor will have buyers looking forward to a house exactly like yours.
Sure you can sell a home yourself but one really has to weigh whether it is worth it for the added time and effort to do it yourself and run the risk of making a mistake in selling at the right price and that you have all your legal i dotted and t crossed so that you are not leaving yourself open and ensuring there is no legal action that can be taken against you at a later date.
Remember that a Real Estate agent is a trained professional and has had to study and take exams to make sure they cover all the bases with the sale and purchase of your home. So you do get value for any money they get paid in Commission.
Greg Clarke Kelowna Royal Lepage Realtor
#1-1890 Cooper Rd., Kelowna, BC,