The lion's share of home sellers work with a real estate agent as opposed to selling their homes on their own (known as FSBO, or "for sale by owner"), and with good reason. According to Realtor, for example, the average sales price when people sell on their own in 2016 was $185,000. Compare that to the average price when people used a realtor of $245,000. That's a difference of $60,000, or more than 32%.
A Higher Selling Price Isn't the Only Benefit of Using a Realtor
The increase in price you get when you use a realtor is typically larger than the amount you pay the realtor as a commission, but that's just one of the advantages of working with a realtor. Here are 10 more:
- You'll set the price right: if you price your home too low, you could lose a lot of money in the transaction. If you set it too high, your house might not sell. You might think that using sites like Zillow will help you set the right price, but those sites are notoriously inaccurate. An experienced realtor understands the housing market and can help you list your house at the right price, ensuring you'll get as much as you deserve and avoid having your house on the market for a protracted period of time.
- You'll make a stronger presentation: did you know that removing clutter from your home will make it look larger and potentially increase the selling price? That's just one of the things a realtor can help you with to effectively stage your home before you show it to potential buyers. A competent realtor can guide you through the presentation process, giving you good advice on what to highlight, and what to de-emphasize.
- You'll increase the number of potential buyers: most people work with realtors when they want to buy a home. Said differently, if you don't work with a realtor, you'll be missing all those potential buyers. By working with a realtor, you'll expose your home to a wider market, which increases the likelihood you'll sell it quickly, and that you'll get the price you want.
- You'll enhance negotiations: realtors work with hundreds of clients, which means they're experts at working through the sales negotiation process. That means not only that more people will see your home, but also that the realtor can use his or her expertise to create a sense of urgency among people competing to get your home—and that helps you sell it at a good price.
- You'll get help with your home inspection: the results of a home inspection can affect the sale of your house. That process can be challenging for home owners, but something with which realtors have a wealth of experience.
- You'll cut your closing time: if you've ever bought or sold a home, you know that the closing process can be complicated, and takes a long time to complete. Experienced realtors understand all the paperwork involved in house closings, which means they also know how to speed up the process.
- You'll be working with a marketing pro: marketing is a key component of selling a home. Unfortunately, most home owners have no experience in using the marketing tools available to realtors. This could include knowing which online and offline tools to use, as well as how to showcase your home (in photos and, increasingly, videos) to your best advantage. Your realtor can also make your home more marketable by recommending often inexpensive cosmetic changes and tweaks.
- You'll have greater security: there's always an element of risk when you let strangers come into your home. Realtors know how to properly vet prospective buyers to ensure the home selling process is safe—and they, not you, will be the ones actually showing your home, which makes selling safer for you.
- You'll be working with a licensed professional: professionals who are members of the National Association of Realtors (NAR) must subscribe to a strict code of ethics. That includes their promise to work honestly with both buyers and sellers. It's one of the reasons about 85% of home buyers and sellers say they would work with the same realtor again.
- You'll reduce stress: selling your home can mean a lot of stress, especially if you decide to do the job yourself. The complex web of issues faced by home sellers, from price setting to home preparation to closing, are dramatically less stressful when you work with an expert who can do the heavy lifting for you.
Selling your home is one of the biggest financial transactions of your life, a process fraught with potential risks and hidden dangers. A competent, experienced realtor can simplify the process for you, helping you increase your selling price, sell more quickly and avoid the pitfalls which can cost you time, aggravation and money.
If you're in the market to sell a property, or to buy a new one, we can help. We're Tucson's number 1 cash for home buyer. To learn more about our comprehensive services to maximize your home's value, contact us today.