In the first of my two-part For Sale by Owner (FSBO) series, we’ll explore whether or not going the home selling process alone instead of working with an agent is worth it.
There are a variety of opportunities in the Central Pennsylvania real estate market for both buyers and sellers.
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Selling your home is a massively important financial decision—one of the biggest of your life, in fact. With an agent by your side, you’ll be able to maximize the three P’s of selling: preparation, pricing, and presentation. Beyond the three P’s, a Realtor will give you greater exposure to prospective buyers. Did you know that 94% of buyers start their search online? In light of this, it’s critical to have an internet broad-based marketing strategy for your home, and an agent will expertly devise a plan to reach as many buyers as possible. This includes everything from professional staging and photography to handling marketing materials. Professional agents spend more than $15,000 a month purely on marketing homes. 50% of buyers find the home they end up purchasing on the internet. Another 28% find theirs from an agent, 7% from yard signs, and the remaining 1% of buyers find their home from the newspaper. It goes without saying that having a strong marketing strategy is crucial for selling your home quickly and for top dollar these days. Another benefit to using an agent is that you’ll net more money from your sale. Many homeowners believe they’ll ultimately save money by not paying a commission to an agent. What they fail to account for, however, is the primary reason buyers look at FSBO homes in the first place: They’re also looking to save by avoiding commission costs. Of course, both parties can’t save on commission, so the buyer’s offer will be low.
WITH AN AGENT BY YOUR SIDE, YOU’LL BE ABLE TO MAXIMIZE THE THREE P’S OF SELLING: PREPARATION, PRICING, AND PRESENTATION.
In a study by Collateral Analytics, it was revealed that FSBO sellers don’t save any money whatsoever, and in some cases, they might even leave money on the table by not enlisting the help of an agent.
Counterintuitive as it may seem, other studies have shown that, by and large, homes sell for more money when handled by an agent. The National Association of Realtors’ research found that the median sale price for FSBO homes was $200,000. Contrast that with the median sale price of those sold with an agent’s assistance, which was $640,000.
Choosing to go the FSBO route has become increasingly complex—the paperwork involved as it pertains to industry disclosures and regulations have grown more and more stringent. The increase in potential liabilities home sellers face is likely to blame for the declining number of FSBO sellers. Over the last 20 years, that number has dropped from 19% to just 7%.
On top of all of this, there are 230 possible steps that need to be taken over the course of any successful real estate transaction. When you take that into consideration, don’t you want the help of someone who’s been there before? And don’t you want guidance every step of the way to prevent any missteps?
All in all, if you’re thinking of selling your home soon, it’d behoove you to talk to a real estate professional. We at Joy Daniels Real Estate Group can produce the best possible results for you. Just give us a call at 717-695-3177 or visit us online at JoyDaniels.com. We’re really excited to work with you! Stay tuned for the second part of our FSBO series!