Real Estate Agent vs. FSBO: How Should I Sell My House?

Posted On Wednesday, 17 November 2021 20:13

Making the decision to sell your home and move onto a new chapter in your life is a step we all take eventually, but that doesn’t make it simple. In fact, there are several steps when it comes to selling your property and relocating to a new one. The first step, of course, is to figure out how you will proceed in selling your house.

You have two main options to choose from: use a real estate agent to assist in the process or sell it yourself (which is known as for sale by owner, or FSBO).

What do each of these approaches entail? What are the pros and cons of each? How can you know which is right for you? In this post, we’ll explore some of the most important details you need to know about selling your home with a realtor vs. FSBO. With this knowledge, you’ll be better prepared to make an informed decision for your future.

Selling With a Real Estate Agent

When you choose to sell your home with the help of a realtor, this means that you hire an external individual or agency to assist with every step of the journey. They will aid you in market research, valuing your property, listing it, coordinating showings, negotiations, and closing the deal. In exchange for their services, real estate agents charge a commission fee, meaning they will take a certain percentage of your sale price.

When deciding whether or not to use a real estate agent, it is important to ask yourself a few questions:

  •       What is the market like? Is it a buyer’s market or a seller’s market? If it is a buyer’s market, you may need a little extra help incentivizing people to purchase your home since they have so many appealing options.
  •       Are you in a rush to sell? With in-depth expertise, real estate agents can sometimes offer unique tactics for selling homes quickly.
  •       Do you know how to stage your home, prepare it for sale, list it online yourself? If you don’t have this know-how, you may be inclined to recruit someone who does.
  •       Can you afford to use a realtor? As we mentioned, real estate agents charge commissions, which can be quite costly. If you’re in a tight spot financially, it may not be the right decision for you.

 

You should also consider the pros and cons of this selling approach, which we have outlined below for your convenience. 

Pros:

  •       Hassle-free
  •       Can reduce stress levels
  •       Can provide peace of mind
  •       Can accelerate the home selling process

Cons:

  •       Expensive commission fees
  •       Less control
  •       Can sometimes suffer from a lack of sufficient attention (if a realtor is busy with several clients)

FSBO

With the for sale by owner (FSBO) approach, you assume all the aforementioned responsibilities of a realtor (i.e., pricing the home, negotiating, etc.) As a result, this approach can sometimes be seen as riskier and more time-consuming.  

However, sellers can quite quickly and seamlessly sell their properties independently. By researching how to sell a house without a realtor, you will understand how toavoid costly mistakes and navigate the process with ease. Plus, when you opt for the FSBO option, you’ll sidestep any commission fees. As you contemplate the prospect of pursuing a FSBO sale, ask yourself these questions:

  •       Do I have the time to coordinate the sale of my home? If you do, then an FSBO approach could be very well-suited to you. If you’re too busy with work, it may not be a good fit.
  •       Am I looking to save money? If you are, then selling independently could be an excellent way of doing so.
  •       Am I willing to do comprehensive research to facilitate this sale? As long as you’re willing to dedicate the time and effort, selling your property yourself is very doable.

 

To help you understand this option further, let’s take a look at some of the key pros and cons you should know.

Pros:

  •       More control over the process
  •       You have the power to choose your buyer yourself
  •       Saves a significant amount of money
  •       Can be a source of personal pride and achievement

Cons:

  •       Added responsibility, which can bring about added stress
  •       Carries more uncertainty and risk


Only you can decide whether you’re more comfortable with selling your house via a real estate agent or FSBO. With both carrying unique pros and cons, no option is better than the other. The decision must come down to your personal comfort level and your unique circumstances. 

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