What are the pros and cons of selling your own house rather than using a real estate agent?

Similar questions: pros cons selling house real estate agent.

Some obvious, some hidden Selling your own home can be very satisfying, but it can also be risky. To make their money, real estate agents will generally do four things. You need to be able to replicate those things to have this process go well.

If you can, you can save a lot of money - the usual fee is 6%, which is $12,000 on a $200,000 home. That's worth the time! First, they have all the pre-made forms and contracts that have been reviewed and approved by lawyers to execute a sales contract.

There are some standard conditions that can be applied, and they have the wording for this down. For instance, what appliances are included with the sale? Are there any assessments from the town for utility work?

You can address this one by retaining a law firm. Most will charge $500-$2,000 for the contract work associated with a home sale, they provide a LOT of protection, and you're still way ahead of the game. Some things are best left to the experts.(Note: some states have relatively standard contracts that you can use for this, and you can also get some from books, although I don't recommend the latter unless you're experienced in this already.) Second, you have to address advertising.

People don't buy homes down the road, so a road sign isn't going to do it - word may get around, but sales are rare here. You have to advertise in newspapers, home circulars, online, and if your state has one (most do) the Multiple Listing Service. How you do that varies from state to state, but it's what the real estate agents themselves use, so since the majority of buyers are going to be working with an agent, you want your listing in front of them.

Agents will also do open houses, create or help you create booklets that hype up the house, identify areas where you could increase your curb appeal, etc. They want to move the house as much as you do. Third, agents will be there when buyers show up. They can point out unique features, appliances you're leaving that can add value (some people take the washer/dryer, if you're leaving it that can add some value IF it's a nice unit), recent work you've had done (new roof?

Big value add), etc.They act as a shield between you and the buyer, so the process is unemotional. That makes the process much less stressful - the house stands on its own, it's not an audition for YOU too.(Note: some people say this dehumanization of the process is a negative, not a positive. ) Fourth, you have to handle negotiations.

What is your home worth? You can use Zillow to benchmark its rough value. A real estate agent would normally look at recent home sales around you, and then apply positive adjustments for things like new roofs, pools, etc., and negative adjustments for unusually small size, only one bathroom in the house, etc. The price is always negotiable, but think about it.

You're saving $12,000. What if the real estate agent could have gotten you $15,000 more? You'd have all the protection and help of the process, and you'd have made MORE.

This is supposedly their primary purpose, although in my experience the seller's agent doesn't always do that much here.In both home sales we've been through, we ended up determining what we wanted to make. I suppose agents vary. The buyer will make proposals.

I'll pay such-and-such, but I have to be able to sell my own home first, and I have to be able to secure a mortgage. The more these conditions add up, the less attractive the offer is, and you need to identify the good ones from the bad. Your agent would normally talk to the buyer's agent and get a nod or a shake on how likely the mortgage is - they won't divulge lots of details, but they're usually pretty honest with each other because they're colleagues and they all work long hours and don't want to waste time on bad bets.

Will you recognize a good deal when you see one? If you're prepared to address these issues, go for it! It helps a lot if you've already sold at least one home using a seller's agent.

You should know much of the above in that case, and you should know most of the terminology so when you go to your lawyer you know what to expect. Either way you go, best of luck! .

Real Estate Agents limit your liability Speaking as a former real estate agent, I myself hired one when we purchased our first home. The person who was selling us this property used Help-U-Sell (HUS). HUS is like getting advice from a licensed realtor, but without the full services or personal attention that a realtor provides.

The woman who sold the house to us failed to disclose some major details, which ended up costing us major money right after we moved in (when our cash supply was already depleted. ) We would not have purchased the property had we known that we would immediately incur these costs. If a commission based realtor had been working with the seller, no doubt they would have unearthed this information and advised her that it was best to disclose as much as possible to prevent a lawsuit down the line.

Without going into too much detail, she is now liable out of pocket for our expenses. If you are thinking about selling your home, find a licensed real estate agent that you get a good feeling from. Ask them about what they can do for you, since you were thinking about selling your house yourself.

Any reputable realtor you speak to will give you both the pros AND the cons of , not just try and scare you into employing them. Sources: Homeowner & former real estate agent .

Some thoughts First the 'pros', because the list is shorter... 1. You save the Realtor commission and can sell for 5-6% less. 2.

You might get lucky and get a qualified buyer who is totally etiical and honest and not just casing your house for a future break-in. Now, the 'cons'... 1. No one to screen and qualify potential buyers.2.

Advertising is very expensive. 3. Your property will not be on MLS, a huge advertising tool that all Realtors use.4.

Who will advise you the best way to present your property?5. Who will write up the offer/contract to purchase?6. Who will arrange and assist on all inspections?7.

Who will assist your buyer to the best financing?8. Who will co-ordinate the buyers and sellers attorneys?9. Who will make sure the buyers deposit check is in a proper escrow account?

Realtors really do earn their commissions and look out for your best interest. Hope that helps with your decision Sources: Retired Realtor HELENofTROY's Recommendations The For Sale By Owner Handbook: Fsbo Faqs: From Pricing Your Home Right And Increasing Its Curb Appeal To Negotiating The Contract And Hassle-free Closing Amazon List Price: $17.99 Used from: $11.25 Average Customer Rating: 5.0 out of 5 (based on 5 reviews) .

It depends where your property is located The market is on a downturn generally and you may need the help of a realtor but some markets are still hot and you could sell it yourself and save the 6% commission. How hard do you want to work? Pbossa's Recommendations How to Sell Your Own Home: The Practical Homeowner's Guide to Selling by Owner Amazon List Price: $17.95 Used from: $1.94 Average Customer Rating: 4.0 out of 5 (based on 14 reviews) The Complete Idiot's Guide to Selling your Own Home (The Complete Idiot's Guide) Amazon List Price: $19.95 Used from: $6.72 Average Customer Rating: 4.5 out of 5 (based on 3 reviews) .

The main pro of selling a home yourself is money, but there are also cons. Question: What are the pros and cons of selling your own house rather than using a real estate agent? Answer: The main pro of selling a home yourself is money, but there are also cons.

Sales commissions on homes are very expensive. Typically, a selling agent will get 3% of the sales price. The overall commission is generally 6%, which is generally split 50/50 between the buying and selling agents.

If a home owner chooses to sell the property without a real estate professional, then they "save" the 3% which is normally given to the listing/selling agent.3% on the typical US home of say, $250,000, might be $7,500. $7,500 isn't a trivial sum for the average person, and this figure can be much, much higher in areas where home prices are out of control (ie California). Therefore, a major pro of selling a house yourself would be money.As might be expected, there are also potential downsides to selling a home without a real estate agent.

First, is that there will be less prospective buyers. A good selling agent can list the property on MLS and attract buyers easily. The agent might have good contacts in the business or work with a reputable company which attracts many more prospective buyers.

There is cost associated with listing a home, and the sales agent picks up the tab on these things like advertising, listing fees, and other stuff. They may have experts in home repair, staging, and other important aspects of home selling. There is a lot of hassle and headache associated with selling a home, and a good real estate agent will handle these details.

It is their job. As to how much those headaches are worth in monetary terms is very difficult to quantify. Every potential home owner considering selling his/her property is different.

In areas where real estate sales are slowing, using a real estate agent might be the difference between selling a house in a few days versus a few months. The turnaround time is a major issue for people attempting concurrent closings (where the person sells a home and uses the proceeds to pay for a new home). There are other pros and cons involved, but these are what I think are the major considerations.

On the pro side, selling without a real estate means a lot more money. On the con side, using a real estate agent means possibly quicker turnaround times, saving yourself headaches, and professional expertise. Sources: My opinion .

Give one sentence answer: "Something you never want to hear from your real estate agent.

Neigbor house is being sold;their driveway is on 18" of my property;their real estate agent demands easement. My rights?

I cant really gove you an answer,but what I can give you is a way to a solution, that is you have to find the anglde that you relate to or peaks your interest. A good paper is one that people get drawn into because it reaches them ln some way.As for me WW11 to me, I think of the holocaust and the effect it had on the survivors, their families and those who stood by and did nothing until it was too late.