Many home owners are tempted to sell agent free and save thousands of dollars in fees, but is it really that simple?
The biggest reason to sell without using an agent is the age old burden of commission. Every home owner thinks right at the moment they decide to sell ‘maybe I could sell it myself and save heaps of cash.
Selling without an agent could save money, though experts warn it could also leave you with a significantly lower sale price. More often that not, selling privately does not save sellers money at all.
There are some important considerations before you embark on a sale.
You need to be confident, property savvy and have good negotiation skills. You need to have the time available to devote to the sale. Weigh up whether your lifestyle will let you do this. If you are not able to do open houses then it may not work.
Another difficulty you might face is setting a realistic sale price. Many people do not have a correct idea of the real value of their home, It’s common for people to have a misunderstanding of what a true or fair price is on their house so they might dream of their profits instead of value.
Private sellers do not have the marketing resources to access all potential buyers active in any given market. In the event of a successful private sale, there is the chance that a buyer with superior purchasing power was not aware the property was for sale.
The most important reason to use a qualified agent when selling is the transfer of much of the risk from the seller to the agent. In the rare instance something goes awry with the sale, the seller is entitled to look to their agent for guidance.
The risks of selling privately far outweigh any vague possibility of saving the selling fee.