Only 18 percent of all homes sold today pay agents a full commission—that is, a percentage of the property’s selling price. This tells us that home sellers are either negotiating discounted rates with agents, or they’re selling their homes themselves. You can figure out how much commission you’re giving up by enlisting a realtor to sell your house by checking out ListingDoor’s True Commission Equity Calculator.
Selling a home via the For Sale by Owner (FSBO) route used to be difficult, but not any more. Thanks to technology and a group of real estate professionals frustrated with the traditional, exclusionary agent-centric method of home sales, there are some great all-in-one tools available that anyone can use to develop a competitive listing and sell their own home, without paying an agent’s commission.
The decision to sell your home is an important one. Maybe you’re nearing retirement and looking to liquidate the equity in your home. Maybe you’re looking to upgrade, or even move to a different area. How you decide to sell your home is one of the most important choices you face—naturally, you want to get the best price for your home, one that reflects a solid understanding of the real estate market in your area, and you want to maximize your profit. The real decision is, how much of your home sales dollars do you want to land in your own pocket?
In the past, you may have heard that FSBO programs don’t work. You may have been told that a real estate agent is necessary to attract potential buyers and close the deal. But today, the Internet has changed the way buyers find their next home. Sites like Trulia and Zillow operate without relying on MLS listings available only to agents, lifting the veil of agent-only access to home listings. By using a proven FSBO program like ListingDoor, you can create a professional listing that will attract buyers, market your house, and make sure no potential buyers are excluded because of a real estate firm’s policy that denies listings to home sellers who choose to sell their own homes.
Can home buyers represent themselves?
Today, one in five homes is purchased directly from the homeowner. If you’re in the market to buy a home, make sure you choose a listing agent that accommodates buyers who choose to represent themselves, without a Realtor.
I once sold a home to a self-representing buyer. The home this buyer purchased from me was their second choice; their first choice was listed with another real estate firm that did not work with self-representing buyers, so the buyer couldn’t even bid on the property. Fast-forward four months—the home represented by the firm that refused self-representing buyers is still on the market and has had two price reductions. My guess is that the seller of this home has no idea that the listing company’s policy excludes self-representing buyers.
Can a home seller successfully market their own home?
Even if you have no real estate or marketing experience, you can market and sell your own home, provided you have the right tools. ListingDoor provides everything home sellers need to compete with deep pocket real estate firms to attract buyers, and even some tools that firms don’t always offer, such as professional pictures, a custom yard sign or mobile web page specifically for your home
As a home seller, regardless of whether your home is valued at $90,000 or $900,000; you must have professional pictures of its best features. Some agents won’t pay for this service, (and they should), but it’s a critical factor for attracting potential buyers because in today’s real estate market, buyers view homes on the Internet first—and they want to see pictures, not just descriptions and details. Homeowners benefit from the vastly improved results they get compared to listings with bad photos, a value well worth the photographer’s fees. Professional photos of your home are a key selling tool and should be treated as such. McDonald’s spends $200,000 photographing a $2 cheeseburger for its marketing copy, and that visual attracts thousands of customers daily. That shows you the importance of great pictures.
A few ListingDoor before and after photos:
After pictures by TK Images
If I sell my own home FSBO, will it be on lock box or shown by a live agent?
More than 84 percent of all homes for sale today are on a lockbox. But there are only two reasons a home needs a lockbox (and the second reason doesn’t fly):
- If you’re a FSBO home seller in a market with several homes for sale competing with yours, and it’s difficult for you to schedule an exact time for your house to be shown, a lockbox can provide access to potential buyers at their convenience.
- You’re paying a discounted listing commission (say 1 percent). The average home is shown eight times or less. Buyers get frustrated when the number on the “for sale” sign connects to a real estate firm, and callers are repeatedly redirected to get the information they need. Your agent’s direct number should be on the sign. Also, make sure to always ask who will be showing your home—you want either the listing agent or their assistant to be showing your home. No exceptions.The good news is, as a seller you have choices when it comes to selling your home. After all, it is your home.
