We get it: skipping the commission costs when you sell your property sounds great. Before you start, all you see are the Euro signs and you want to keep as many as you can.
Then you get into the process and realise how much you underestimated it. Selling a house without a real estate agent can cost you valuable time and even cost more in the long run.
If you're not experienced in the real estate game, it's hard to know how much you'll miss without an agent. Here are the problems you can expect to face if you try to go it alone:
Problems with Selling a House Without a Real Estate Agent
Before you slap a 'for sale' sign in the garden, check out the potential issues with selling without a real estate agent.
Making Sure the Price is Right
Finding the perfect asking price is an art that takes plenty of experience to learn. If your price is too high, great potential buyers will pass by the listing without a second glance. If it's too low, you could leave money on the table.
A real estate agent knows how to research the local market and find the right comparisons. They'll also know how certain price points could give you an advantage by driving competition.
Wheeling and Dealing
Selling your home is a far more complex negotiation than haggling over an item at a car boot sale. There are countless types of conditions and options a buyer could throw your way. If you don't know how to negotiate in this unique situation like a real estate agent does, your wallet will suffer the consequences.
In some cases, this isn't just a matter of circumstance. When the buyer's agent sees that you're handling the sale yourself, they might try to take advantage of your lack of knowledge.
Crafting an Enticing Listing
There's a lot that goes into an attractive and eye-catching listing. You have to take high-quality photos that show off the best features, as well as include the right details. While an experienced real estate agent could have this process down to a science, it's a challenge for someone without the right background.
In addition to the listing's content, an agent will know where to list it and how to position it well on those mediums.
A real estate agent doesn't just handle the selling process. They can also give you advice about how to prepare your home for a faster, more profitable sale. They might be able to tell you what home improvements could pay off.
In addition to these larger changes, an agent can help you stage your home. Staging helps buyers picture themselves in the house and feel welcomed there.
Despite what you may assume, you don't want to attract any and all buyers. Part of a successful sale is screening potential buyers. You want to avoid contracting with someone who seems likely to pull out and leave you hanging.
Tackling Hefty Contracts
No matter how great your marketing and negotiating skills might be, you have a disadvantage when it comes time to sign the contracts. While a boilerplate sale contract might be simple for an agent, the legal jargon will be hard to navigate if you're not familiar with it.
Without a real estate agent, you don't know what clauses are typical in a contract and how to spot areas where a buyer may be trying to take advantage of you. It's also easy for you to miss out on paperwork you need or to file the paperwork incorrectly.
Taking Out the Emotion
It's hard, if not impossible, for a homeowner to be objective about their own property. Between your memories in the home and your pride in your property, it's easy to inflate its value in your mind.
With the emotional connection you have, it's also tough to see potential problems with your home. A real estate agent, on the other hand, can be objective and keep the process moving.
As helpful as their specialised knowledge is, a real estate agent has more to offer as well: connections. Through their professional network, they might know other agents who have buyers that may be looking for a home like yours.
If your home is in a rare price range or has unique features, those connections may be the only way to find the right buyer.
In addition, your agent may be able to recommend professionals for other aspects of your home sale process. For instance, chances are that they know some good home inspectors as well as any repair technicians you might need.
Real Euros and Cents
The proof is in the pudding, folks. With all those points above, there's one that's irrefutable: the numbers themselves.
According to the National Association of Realtors in the US, the country's typical home sale was $249,000 for sellers who used agents in 2016. For homes that owners sold without real estate agents, the typical home sale was $190,000.
While the prices may be different in San Pedro de Alcantara, the same general principle applies. Sellers who don't have the specialised knowledge, connections, and skills of professional real estate agents are far less likely to take home top dollar.
Interestingly, finances are the primary reason why some sellers choose not to use agents. In reality, chances are that you'll end up with more money in your pocket if you hire an agent anyway.
Finding the Perfect Agent for Your Home
If you try selling a house without a real estate agent, chances are that you'll run into all the hurdles above. If you want to get the best deal possible, though, you can't just hire the first agent that comes along. The key is finding the right agent with a great knowledge of the local market and the skills your home needs.
If you're ready to get started on the road toward a great and profitable sale, contact our real estate office for true expertise.