When the real estate market is on the upswing, it can seem like houses are flying off the market effortlessly. It’s in these boom times that I more often see sellers tempted into going the FSBO — or “For Sale By Owner” — route. They think, “Why do I need a seller’s agent when these houses are practically selling themselves?”
Even when the market is hot, a successful real estate transaction involves more marketing, negotiations and logistics than many realize. Read on below for my top 5 reasons that you should avoid the FSBO pitfall.
You will net more money with an agent
When a prospective buyer sees FSBO, they automatically think “discounted.” Although selling a home without representation may save on real estate commission fees, the lower price required to make the property move usually means you will net less overall.
You will attract more viewings with an agent
Many buyer’s agents are less likely to show FSBO homes to their clients.
Without a professional representing the other end of the deal, buyer’s agents know the transaction is likely to cause their clients unnecessary headaches.
You Need a Strong Digital Marketing Strategy
90% of buyers search online for homes. At Island Crest Realty, we utilize cutting-edge digital marketing plans to ensure our sellers receive unparalleled exposure for there homes, including:
- Dedicated e-marketing campaigns
- Custom market analysis reporting
- Search engine optimization to boost listing search results
The Negotiation Process is Multilayered
Most of us have emotional ties to our home. It can be difficult, and even feel offensive, to receive lowball offers. An agent helps price your home to sell and has the experience to know when to walk away from an offer or when to counter. The negotiation process is multilayered and must consider varied interests, making an agent liaison invaluable. Consider for a second the many different sides of the transaction:
- The buyer who wants the best deal possible
- The buyer’s agent who solely represents the best interest of the buyer
- The buyer’s attorney
- The home inspection companies
- The appraiser if there is a question of value
- Your bank in the case of a short sale
Seller’s Disclosure Laws Can Be a Liability
While seller’s disclosure forms vary across states, they are typically lengthy forms that require the seller to disclose any known issue with their home. Failure to disclose an issue opens up the seller to a potential lawsuit from the buyer. A real estate agent is the perfect go-to when questions arise about the seller’s disclosure form, including how to interpret a question and give a thorough, appropriate response that protects the seller from liability.