Selling a home without the help of a real estate agent, also known as FSBO or “for sale by selling owner,” has often been viewed by home sellers who prefer to do so as beneficial in many ways. The main of those benefits has always been the amount that would have to be paid in the form of an agent commission, which the owner would not have to pay, “saving” or withholding the money for personal and other uses.
In addition to the above, there are other reasons, many of which have been deemed beneficial, why a homeowner might decide to sell their home or investment property without a real estate agent. Among those reasons or benefits are:
• Reduced price for a faster sale
• Direct negotiations with the buyer
• Marketing and sales without pressure
• Higher percentage of the sale price
Reduced price for a faster sale
Some home sellers realize, as they have once been buyers, that the goal of a home buyer is to make the best deal (paying the least amount of money) possible on a house, in the same way that most Home sellers expect the highest price for a home purchase. house they are selling; Consequently, the price of a house with the commission of the realtor subtracted is in many cases more attractive than a price that includes the commission. Based on this understanding, the homeowner makes a profit by offering the property for sale at a reduced price with no commission for a faster sale.
Direct negotiations with the buyer
Home sellers who prefer to enter into direct negotiations with their prospective buyers are in full control of whatever results those negotiations produce, and accept responsibility for it. However, the benefit or benefits derived from direct negotiations is having the knowledge of each stage of the transaction that involves your homes instead of waiting for status updates from an agent who is simultaneously dealing with several houses, and the buyers of those houses, involved with so many transactions. An FSBO home seller is free to contact the buyer to inquire about anything relevant to the transaction; And this can sometimes be significant in a number of ways.
Marketing and selling without pressure
Home sellers who have not engaged with a real estate agent, verbally or in writing through an exclusive listing, are not required to “show the property for reasonable hours” as many of those who have listed have agreed to do. with agents, so that they are not open to claims of “refusal to show,” “non-cooperation,” or “taking the house off the market,” all of which are claims that may be concerning but were often used by salespeople of eager and highly motivated real estate to convince a home seller to provide access to their property for a time that the seller had, what he / she considered a well qualified and interested buyer. The absence of this type of pressure during the marketing and sale of a home is the condition under which the sellers of fsbo consider it beneficial for them.
Higher percentage of the sale price
In a March 2011 article titled ‘How to Sell Your Home Without an Agent’ and edited by Real Estate Career Hub, et al., It is stated that, “A 2008 Consumer Reports study found that nearly all homeowners in Their survey that they sold alone got their asking price, while sellers who used agents received an average of $ 5,000 below their selling price … “and” … Figures from the National Association of Agents Realtors show that the median sales price for sellers by owners was 97.5 percent of their sales price, while sellers with agents got only 95 percent. “
This data may be supported by the fact that the price was already lower than it could be if the commission of a real estate agent had been included; but also the seller’s net price is often adjusted lower, in dollars and a hundred figures, than the dollar amount represented by the commission percentage, so that when the agent conducts negotiations to adjust the sale price to The lower, and the commission percentage is kept in tact, the percentage of a seller’s sales price is more affected.
One circumstance that has emerged in recent years, due to the mortgage crisis, is that more homeowners than ever found themselves “under water” (owing more than the value of their home). This is one more reason why getting the highest percentage of a sales price is so important to home sellers today.
