Many aspiring home sellers gravitate toward the For Sale by Owner (or FSBO) model for one big reason — to eliminate the commission fee. Although negotiable, giving at least 5% of the proceeds from the house sale to a real estate agent seems a lot for them.
What they are doing wrong, however, is only caring about what they can save now. They do not look at the big picture, which is a big mistake that could haunt them as they regret their decision. That 5% is actually not unreasonable. In most cases, the tens of thousands of dollars paid to a broker are worth it.
Whether we are talking about real estate or not, any service (in general) should be left in the hands of a professional. They both have the knowledge and experience in making sure that all their clients will get the best possible outcome for their needs. That is better than doing things by yourself because you will not be doubting your decisions and you will be at less risk, saving yourself from people who could be taking advantage of the situation.
Despite the increasing number of “DIY real estate” platforms in Washington today, the services offered by Sequim real estate companies remain unbeatable. Here are the pitfalls of taking the FSBO route:
You Will Hear Harsh Criticisms Yourself
Even if you think that you have a neutral perspective, it is challenging not to be emotionally tied to the commodity you are trying to sell. After all, your home is full of fond memories you shared with the people you love. Not all buyers will see your home through your lens. In fact, they could care less because it is your home. Some might find those “memories” that you are bragging tasteless, which can be hard to accept as an owner.
You Will Struggle During Negotiation
Considering that you have a bias toward your property, you are likely to go overboard with its value. Many neutral buyers and their representatives, however, would not share your sentiment. You might eventually realize that not all people are willing to agree with your asking price. The value you see may not be as valuable to others. This is highly probable when you ran out of reasons (and it is possible!) to justify your offer.
You Will Spend More Time to Get Paid
Properties sold in a DIY manner spend more time on the market than those managed by professional real estate agents. Why?
First, your home might not be highlighted in many listings (because you probably do not know how). Second, you have no sale expertise to identify between bogus and serious buyers. Third, your ignorance of different rules and regulations might derail you from the sales process due to the legal issues you failed to anticipate.
It can be difficult to share a portion of the sale proceeds with someone else, but it is a necessary sacrifice. If you value your time, energy, and peace of mind, the commission fee is only a small price you need to pay.