It is a common thought among would-be home sellers in areas where inventory is low and homes are moving fast: This home will sell itself.
- Why bother hiring a REALTOR® and pay a commission when I can do it myself?
- There’s no need to make the effort to stage it…
- I don’t need to fix that roof/walkway/leaky faucet…
- I’ll just accept the highest offer and be done…
The top reasons people choose not to FSBO (For Sale By Owner) and use a real estate professional include the three P’s: Price, Process and Peace-of-Mind. The complexity of real estate transactions is increasing – think mortgages, interest rates, real estate regulations and fluctuating markets where one misstep can put you in all kinds of trouble - legal, financial and emotional, if you include the stress factor.
For example, how well versed are you on the new TILA RESPA Integrated Disclosure (TRID) rule which went into effect on October 3rd? “This massive rule weighs in at nearly 2,000 pages and impacts all businesses that touch a residential mortgage, as well as homebuyers,” according to the Mortgage Bankers Association. Just a little late night reading, no big deal.
People also underestimate the emotional aspect of the home sale. Your home comes with many memories and personal pride. It can be very difficult to be unbiased and objective when negotiating with inspectors, appraisers and home buyers – and this can end up costing you.
There are YouTube videos on how to build your own home and you could do that too if you really wanted to. But there is a point where it is not worth the time and effort to do something that someone else already knows how to do (and likely better than you).
Before you think that your home will sell itself, consider the details that go into a successful home sale:
- Negotiating with buyers, bank appraisers, lawyers, inspectors, loan officers, etc.
- Preparing the home to sell
- Understanding the market and demographics
- Pricing it right for the current pool of buyers
Of course you can sell your home on your own – anyone can put a 'For Sale' sign on their lawn. But just because you can doesn’t mean you should.