Dear Mr. FSBO - Why Are You Paying Someone 3% to Negotiate Against You

Great point, Lisa! Although any ethical Real Estate agents will treat both sides fairly, there are fiduciary duties to theis own client - to the buyer in case of unrepresented seller. And even if FSBO seller does not pay any commission, buyer will pay directly to her Broker, which does not change the whole picture. 

That's a great one-liner!  Why ARE you paying them 3% to negotiate against you?

Most FSBO's are stubborn, closed minded, unwilling to listen or get re-e about almost everything, so, how are agents going to persuade them to explore a more effective strategy to market their properties?

Most FSBO's haven't any understanding about the value of their time, so if they tracked every minute or hours they spent selling or marketing their property, they would soon realize that employing a Realtor makes perfect sense.

I always find it interesting when real estate agents list their homes for sale by owner. Guess they don't trust themselves as agents.

Lisa great observation on FSBO. I always said never go to a gun fight with a knife. Get representation. Hire a Realtor. 

Lisa, you hit this one out of the park! That was probably one of the best ways I've ever heard this put. I'll put it right into the lineup.

• Ya don't sword fight with Zorrow.
• Ya don't draw on Gene Autry.
• Ya don't P__s into the wind.]
• And ya don't FSBO DUMMY!

I'm going to use this one... why bid against yourself on your most important asset/transaction.

FSBO has never made sense to me.  Most people would not do their own Brain Surgery, but think they can handle the most important financial transaction they are likely to do without help.

Love this argument. I came across this the other day with a listing service!

Lise, the type of person who tries FSBO has a mindset that they know everything and what applies to mere mortals won't apply to them. However, 85% (last stat I heard) end up listing sooner or later once the market has worn them down.

Well said, Lise!  Also, if the person hoping to sell their home by themselves is not familiar with the market they can lose thousands of dollars if they under price their home.  Realtors have access to the most recent data on closed homes and we know exactly what the comparable homes sold for so we can assist in pricing their home to sale at the best possible price. 

Lise

You make a great point . . . . List with Lise Howe.

Good luck and success.

Lou Ludwig

This is an excellent topic and a good read for prospective home sellers.

It is a bit of a treat going back and reading some of Active Rains best archives  like this one. Should be shared again.

I think, one part of those sellers have no information how to do it right and make the most money of their sale, another part got wrong information. One should do research before getting into this risk selling their property as FSBO.

I am glad I came across this post. I will share it with FSBOs.

Lise stop confusing me with facts...I have made up my mind so let me think I am saving money rather than what the reality is.....Endre

Excellent points, Lise.  It really is interesting how a For Sale By Owner would pay a buyer's agent to negotiate for a buyer, but not be willing to pay an agent to represent their interests as a seller.