Selling your home or house by yourself without using a real estate agent may seem like a pretty good idea. Saving money by not paying a realtor a commission sounds like a reasonable plan. After all, why not keep all of the profit and save the cost that the realtor would get? To get the proper answer let’s look at some of the facts first regarding FSBO (For Sale By Owner). Then let’s take a closer look at the reasons why Orlando and Central Florida home owners should hire a professional real estate agent to sell their house.
FSBO (For Sale By Owner) Facts
According to the National Association of Realtors (NAR), the following statistics were documented:
– FSBOs accounted for only eight percent of home sales nationally for 2015.
According to the statistical study conducted by the NAR, FSBO sales are at an all-time low, at only 8% percent. Compare this to the all time record high of twenty one percent set in 1981. Since 1981 (a period of over 35 years) a steady decline has been documented. From the high of 21% to the low of only 8% seen in 2015, it is clear that For Sale By Owner has dropped by over 61%!
– The average FSBO home sold averaged almost $185,000 per house.
Compare this to an average house sale of over $240,000 for homes using a selling agent that was seen in 2015. This is an average of almost $55,000 less for houses sold by the FSBO method. In other words, the average FSBO sale was almost 23% lower than the average sale seen with a professional real estate agent involved.
Reasons Why FSBOs Should Hire a Realtor
- The methodology involved in looking for houses to buy by consumers has drastically changed. The Internet has basically changed the way that people shop for houses now. Consider the following statistics regarding how a buyer found the house that they eventually purchased last year:
Real estate agent: 34%
Yard sign: 8%
Friend, relative or neighbor: 4%
Home builder: 2%
Buyer already knew the seller: 1%
Newspaper ad (print): 1%
Yet 36% of FSBO sellers still rely on newspaper ads and yard signs. In today’s savvy world of technology, this simply doesn’t work anymore.
- 91% of real estate agents actively use Social Media to sell a home. Good real estate agents actively engage in Social Media (a time consuming task), but also drive traffic to their websites, Additionally they post the homes that they list on all the sites that the buyers visit (Zillow, Trulia and Realtor.com). Additionally, they also list your home on the MLS (Multiple Listing Service). A FSBO seller would not be able to get their house listed on the MLS without paying hundreds of dollars (plus would also still have to pay the buyer’s agent fee). Currently only about seven percent of all FSBO houses are on an MLS internet site.
- Pricing your house correctly is not an easy thing to do. According to the NAR statistics discussed above, the average FSBO sale was 23% less than a comparative home sold by a professional realtor. One additional statistic that is worth noting is that only 18% of FSBOs were considered to be priced accurately on average. Most FSBO sellers typically just go online and search the prices of houses near them that sold to determine a selling price. A good real estate agent knows the importance of performing an up to date market analysis. This considers not only what the local market conditions are, but includes adjustments based your home’s condition and upgrades and improvements you’ve made that perhaps differentiate your house from the others that were sold in your area. Plus the consideration of the condition that the houses sold were in and what needed work was necessary for the house to be sold (and perhaps the seller therefor took a lower offer).
- Showing your house to potential buyers can be time consuming and stressful. Basically no one will purchase your home if they can’t go in and see it, but are you available to show it? The average home buyer tours seven houses and showing them your home may interfere with your work and life style. Having a professional agent show your home is actually their job, meaning that you don’t even need to be there. In other words, showing your home should be at the potential buyers convenience, not the sellers.
- Determining a legitimate buyer is not so easy. FSBO homes generally are attractive to “bargain hunters” and investors looking to pay as little as possible. Seasoned real estate agents know how to qualify legitimate buyers and additionally have experience to know if a potential buyer is economically qualified to obtain a mortgage loan to cover the cost of your home.
What Real Estate Agent Should You Choose?
If you were considering FSBO and changed your mind, then the next question is obviously: Who should I choose? Why not choose the very best? If you find selling your house faster and for more sounds like a good idea, then talk to Lynda Miller first. Find out why Linda was selected as one of Orlando’s Top 100 Realtors by Orlando Magazine for 2017. With over 20 years of experience in the Orlando real estate market, Lynda’s clients all say it best: Lynda sold their homes faster and for more money than they had anticipated. Let Lynda help you sell your home quicker and for more, as she’s done for so many other satisfied home owners. If you’ve decided to place your Central Florida home or your house on the market, we urge you to call Lynda Miller today at (407) 620-2924 or contact her Online now. There is a difference in Central Florida’s realtors and Lynda truly is a Real Estate All-Star Agent!