Selling Your Home: Should You Use a Realtor or FSBO?
Writen by Vicki Walker
When it comes time to sell your home, should you try to sell it on your own, or should you list it with a licensed Realtor? Consider the following factors to help you decide:
EXPOSURE
Realtors, or real estate agents, are part of an office of agents, and each of them knows of buyers that are currently in the market for a home. Their buyers are pre qualified, that is, they have already seen a lender and have qualified for a loan so the buyer knows exactly how much they can afford, and the Realtor does too. In many areas, a Realtor won’t even show homes to a prospective buyer until they pre qualify. The process saves a lot of wasted time on everybody’s part, and insures that buyers focus on homes they can afford.
In the FSBO world, you put up a “For Sale” sign in your front yard, and have to deal with everyone that will be calling you to talk about your house, and want to walk through it, even though they don’t have the resources to actually buy it. In the end, they are just wasting your time. Time is valuable.
Realtors also have contact with many people from out of town who are relocating to your area. Every Realtor in town gets contacted frequently through their website, by people that are looking for a home by long distance. They are getting transferred by their company, or moving to be near other family members. They may be coming to town soon to look at available homes for a few days. The Realtor lines up a number of homes for them to tour that fit their criteria. One of them could be yours. But, if you FSBO, that potential buyer won’t know your house is on the market, and won’t see it when they get to town, unless they happen to drive by it. They have a short time in town, and their Realtor has scheduled them to tour a number of homes in town that match the buyers needs. Will your FSBO be one of them?
EXPERIENCE
A real estate agent will be able to assist in setting the right price to list your home, according to the current market conditions. The agent can provide objective advice on your homes value based on current market conditions.
A real estate agent is a trained professional who will spend the necessary amount of time it may take to get your home SOLD.
The agent understands and will take care of all the necessary paperwork to complete the buying process. The agent will also act as a liaison between you and the inspectors, the buyer’s agent, escrow companies, and between attorneys, if they are involved.
Most buyers prefer to deal with a real estate agent because the agent will give them the unbiased professional opinion on a house, and how it stacks up against other houses on the market.
Agents understand all the different types of loans and financing options. They can provide information to buyers about local lending institutions to fit their needs.
ADVERTISING
Realtors have many ways to advertise your home, not just a newspaper ad and a “For Sale” sign in the yard. They also utilize the following ways to advertise a home:
The Multiple Listing Service
Open Houses
Web sites like Realtor.com and Yahoo Real Estate
Direct mail
Newspaper inserts
Regional Real Estate Magazines
Cable TV
Word of mouth through Realtor “Caravans” where 30 or more Realtors will tour your home and then match it to their prospective buyers.
“Virtual Tours” of homes for sale on the Realtors website. To see an example of a virtual tour click HERE, then click on “Virtual Tour”.
How much of this marketing muscle will you be able to flex if you FSBO?
SHOWING YOUR HOME
Agents have expertise to help you get your home in top shape before your prospective buyers arrive. They can help you “stage” your home to look more like a model home that would appeal to a larger group of buyers. They know how to emphasize and focus on your homes good points.
If you FSBO you will be learning the process as you go, a costly education when you are trying to sell your own home, your biggest investment.
SUMMARY
Selling a home takes a lot of time, knowledge, effort, and paperwork. You can do it yourself, or hire someone that has done it dozens, if not hundreds of times. This is your biggest single investment. Do you really want to go through “on the job training” while you sell it. That could be a very time consuming and expensive education.
Take some of the work, frustration and fear out of the process, and hire a professional!
Vicki Walker is a Realtor serving clients in Davis and Woodland, California. You can find out more by visiting her websites Davis Real Estate and Homes and Woodland California Real Estate