Selling your home is a rigorous process. You have to make crucial decisions and will have many things to take into consideration, such as if you want to stage your home or how much you can sell it for. It is therefore important that you know what your options are to select the best choice in order to reach your goals. You have three options to choose from in selling your house: hire a real estate agent, list your property as FSBO or sell your home to a cash house buyer.
Hiring a Real Estate Agent
To sell house quickly, many people run to real estate agents for help. This option is suitable for people who don’t really know what to do or don’t want to deal with the hassle of selling their properties by themselves. The realtor will be there to help you at every stage of the process. So, what exactly does a real estate agent do? Here are the main responsibilities of professional listing agents:
- Assist you in setting a realistic price for the house or property you are selling. Local agents should know the market real well, having experience in selling houses like yours. They should therefore be able to interpret recent comparable sales, and sales patterns. They can take into consideration your goals and motivations, like how quickly you want to sell, and help you set a realistic price for your listing.
- Prepare Your Home for Sale. An agent can help you identify objectively the issues that need to be addressed on your property before listing or the available discounts that need to be applied to the list price in view of these issues.
- Stage Your Home. Your agent should assist you in preparing your home for listing, which typically requires a detailed and systematic process of cleaning and de-cluttering and strict rules to make sure that everything is in order while the home is on the market.
- List and Market Your Home. Your agent should commission or take professional-quality pictures of the interior and exterior of your home before listing, create a comprehensive description of the property, and add your home to the MLS. Your agent can also promote your home to buyers’ agents and potentially attract offers before it hits the market officially.
- Facilitate Home Showings. Your agent is the main organizer of home shows and open houses and a point of contact. They also function as an intermediary for the agents of buyers.
- Facilitate Negotiations. Your agent will also accept offers from potential buyers and act as a negotiating intermediary. With sales experience and local market expertise, an experienced agent can help you identify quality long-shot offers.
- Help With the Closing Process. Based on the laws and customs in your jurisdiction, your agent should accompany you to the closing, which is usually organized by a settlement agent or title company and may also involve a real estate lawyer. The presence of an agent at closing is a major trust booster for inexperienced sellers and can minimize last-minute disputes or legal problems.
Hiring a real estate agent has it perks as long as you are willing to pay the realtor fees. If you think that paying for the services of a real estate agent is worth your money, then you can choose this option.
To sell house without realtor means to list the property as FSBO, which is a real estate term that stands for “for sale by owner”. It denotes the process of selling property without representation of real estate brokers. If you choose to become an FSBO seller and take responsibility for selling your home, you can save more money by not having to pay any commission costs to a real estate agent. Because of platforms like Zillow and easier access to the Multiple Listing Service (MLS) for non-agents, FSBO listings are more common today. Here are some common reasons why homeowners go for FSBO:
- You won’t have to pay for the listing agent’s commission. Saving on commission cost is probably the main reason why some homeowners choose to sell their home on their own without the help of an agent. Listing agents rarely take commissions of less than 2 percent, and that is $ 2,000 per sales value of $100,000. Many markets even have a standard commission of 3 percent, which is $3,000 per $100,000 in sales value and $9,522 on a medium-priced sale. If the buyer has professional representation, FSBO sellers would still have to pay the commission to the buyer’s agent, but this is better than having to pay both agents.
- You are in full control of the process. Being an FSBO seller gives you total control over the sale. While this may also be true for sellers with professional representation, anyone who has worked with a real estate agent knows that they inevitably gain influence on the process. There are agents who may push you to close quicker and accept lower offers in order to log commissions or meet sales quotas before the end of a particular month or quarter. Even agents with good intentions may persuade you to make an offer because they honestly believe it’s the best deal you’re going to get, even if you are not be comfortable with it or would like to negotiate further.
- You won’t have to negotiate with an agent that you don’t like. There is a certain possibility that you may encounter an agent with a different personality, aesthetic preference, or negotiating style. Well, of course, you might still have to argue with your spouse or partner about some conflicting ideas, but it’s better than dealing with a random real estate agent.
- You know your home more than anyone else. Real estate agents are professionals who know how to emphasize a home’s top selling points while reducing its deficiencies. The cleverest professional agent, however, does not know your home as much as you do. FSBO showings and open houses can sometimes be more interesting and informative than the one represented by agents. You can talk about your home in a more detailed way to your potential buyers than any experienced real estate agent.
Although there are some advantages with FSBO, it may not be as easy as you think it would be. According to report by Zillow in 2017, 36 percent of homeowners attempt to sell their homes without an agent, but only 11 percent actually complete sales themselves. This means that more than two-thirds of sellers who try FSBO fail.
Selling Your Property to Cash House Buyers
There are also some sellers who are thinking “I need to get cash for my house but don’t want to pay for repairs and staging”. If you are one of those people, then you should consider selling your property to cash house buyers. What is a cash house buyer? A cash house buyer is someone who has the cash at his disposal to purchase a property without having to secure a mortgage or sell something like another property. This can be a private individual or a company specializing in buying property for cash. Here are the advantages of selling your home to cash house buyers:
- You can sell a house as is. One advantage of selling your home to cash house buyers is that they are going to accept the condition that the home is in, which means you don’t have to worry about repairing any issues with your property. You can also save more time by not having to put the house in a showroom condition to sell it. You won’t need to repaint, decorate, or worry about other things to make sure that you get the best price for your home. You will get less than the home’s market cost, but at least, you don’t need to concern yourself about paying for repairs, decoration, and painting anymore.
- The speed of the sale is quick. A cash sale is much faster than to wait for someone to make an offer and hope that everything will go well with the sale. After a cash offer is approved for your home, you can get the money in just a few days. The speed of sale is important especially when you are facing financial difficulties or need to sell your home to relocate quickly.
- You can avoid complications. Unfortunately, typical home sales may have various complications. There are instances when you may have already accepted an offer just to find out that the buyer is unable to get a loan. In other cases, the buyer may back from the sale at the last minute, which means that you need to start taking offers again, extending the sale process. However, this won’t be a problem when you sell your home to a cash house buyer. You don’t need to worry about any loans. Once the sale has been made, the buyer will have paid cash for the home and is therefore unable to return from the sale.
If you can secure a cash house buyer for your home, you can spend more time and money, and prevent any complications from arising. You will be able to avoid the long process of traditionally selling a home when you sell your house for cash, and you will be able to move on with your life as soon as possible.
The Cincinnati Property Twins has bought over 650 houses from property owners in Cincinnati. We are willing to purchase your property as is. Contact us now and avoid the trouble of listing the house and paying big bucks to a realtor. Text or call us at 513-445-2274 to make an offer.