FSBO in Frisco: Is it worth the effort?
Right now in Frisco TX and many areas in north part of the DFW Metroplex we are experiencing the best seller's market ever. That means more people are going to start contemplating selling their homes. The next question they think of is can I sell it on my own. After all this is the hottest seller's market ever. How hard can it be to sell a $200,000, $500,000 or even a $1,000,000 home? Let's take a quick look at pros and cons and for a more detailed look you can check learn more here.
Yes you can save some money if all things were equal but they are not. When you are selling your home with me and my broker, you will pay 6% as a listing fee. This fee also pays for the buyer's representation as well. If you sell it on your own, you do not have a list fee or at least not that much. You are in total control of setting the price, when to show your home, how to advertise, where to advertise, how to present you home, contacting any handymen, photographers, inspectors, title people and many other things. You are in complete control of this highly regulated transaction. When you represent yourself, you get to decide everything.
According to the NAR (National Association of Realtors), only 11% of all homes are sold by owners. 89% of FSBO sellers end up using a professional Realtor®. In addition, homes sold by professional Realtors sold for 20% higher than those sold by owners. Just with those two statistics, the FSBO route costs more. If you beat the odds and become one of the 11% that do sell on their own, you would still have to overcome the dramatic difference in higher sales price that professional Realtors command.
Other financial areas to consider are the costs of marketing your home. You will have to pay for all your marketing whereas, marketing is one of the biggest advantages of a Realtor is that their marketing costs are paid for by the agent not the owner. The marketing process in a good broker's office is quick and offers a wide variety of methods. Utilizing the internet, MLS, social media, internal agent networks, external agent networks, and various medium are all ready to receive your listing at no cost to the owner.
In today's world, you just never know who is going to come knock at your door. A FSBO sign alerts everyone, even the less savory characters, that your home is for sale by owner. BY setting up an appointment to see the home as a buyer, you are allowing them easy access. When you work with a broker, you have an lock box that requires someone to have a key which are only professional realtors or those service people who have been cleared to have access. You do not have to meet any buyer. In addition, the buyers that agents bring are typically pre-approved and they can afford your home.
The other risk is the actual process of the sale. Without knowing all the forms, addendum and disclosures, you run the risk of litigation during and after the process. A professional realtor guides you through all the details and handles all the paperwork for you. This minimizes your risk and exposure to litigation.
10 Questions to Ask Yourself
- Market this house on your own?
- Attract the best size market to get the best offers?
- Negotiate against a professional realtor representing a buyer?
- Price your home correctly?
- Learn what forms are required and how to fill them out?
- Make the time to meet every buyer to show your home?
- Schedule all the trades that need access to your home?
- Prospect other networks to find potential buyers?
- Can you prepare our home for sale with regards to clutter and staging?
- Find a good professional photographer to take pictures of your home?
When you add up all the money you might save and compare that against the costs of marketing, the risks of showing your home and filling out the documentation, and the scheduling of all this time for showing and other services needed, the choice still remains yours. Whether you want to choose to gamble the time, money and risk to sell your home on your own or decide that a professional realtor will do a better job for you by getting you a higher sales price feel free to contact me.
As a FSBO I will provide you whatever information I can to help you overcome some of the challenges you will face. As someone you want to sell your home I will do a great job for you in North Texxas or recommend someone who can to a great job for you somewhere else in the nation.
When you do decide that you want to work with me, you will find out what the rest of my clients have found—Your Success is My Focus.