For Sale By Owner Vs. Real Estate Agent

Selling your home involves a lot of important decisions. One of the first crucial choices you’ll have to make is to put your house up for sale by owner or with a real estate agent. Both have their advantages and disadvantages, so you should research and decide which strategy is best for your home, your schedule, and your budget.

Contact Jimmy Carroll Realty to discuss all of your selling options in Isle of Palms, SC!

Selling Your Home By Owner

According to the National Association of Realtors, properties that are on the market as “For Sale by Owner” are rapidly decreasing. In fact, they hit an all-time low last year with only 7% of the homes for sale on the market. However, some homeowners are still going this route to save money and to have more control.

Advantages of “For Sale By Owner”

The “For Sale By Owner” route is popular with homeowners who are not on a strict schedule and have the flexibility, time, and budget to market their homes. However, there are a few more reasons why people choose to sell their home on their own:

You Can Avoid Commissions

One of the draws to the “For Sale By Owner” method is that you can bypass realtor fees. Traditionally, the seller is responsible for paying the realtor’s commission. This is typically 6% of the purchase price, paid at closing. By selling your home on your own, you are not using their networks, resources, or specialized skillset, so you do not pay this fee.

You Have More Control

Another benefit of choosing the “For Sale By Owner” method is that you have more control over the sales process. Doing everything on your own means not having to compromise on a marketing strategy, pricing, negotiation terms, how you stage the home, or anything else that impacts the sale.

Disadvantages of “For Sale By Owner”

While flexibility and the increased chance of high returns can be major draws toward selling your home by owner, it also comes with some disadvantages:

You May Lose Money In The Sale

While you can avoid paying the commission fee when working on your own, without the expertise and resources of an experienced realtor, you may not get an offer at full asking price on your home. Incorrect pricing strategies, insufficient marketing, and inexperienced negotiation strategies may end up costing you much more than the 6% commission you would pay a realtor.

It Takes A Lot Of Time

Most homeowners will juggle selling their home with a full-time job, family responsibilities, and an already busy social calendar. Managing the sale on your own takes a lot of time, which isn’t great if your goal is a quick and profitable sale. Selling your home on your own requires a lot of time and focus. Without a professional on your side, you do not have anyone to pass these responsibilities off to.

You’re Working With A Limited Network

The most important part of selling your home is getting it in front of qualified buyers. Without being represented by a realtor, you significantly reduce the number of online platforms on which you can advertise your property. When you choose to sell your home by owner, you’re working with your own personal network, which is usually significantly smaller than a realtor’s.

Using A Realtor

Using a professional realtor has become almost standard in the real estate industry. Homeowners who are ready to sell their home and move on to the next chapter of their lives hire professional and reputable realtors to make it easy. While sellers continue with their day-to-day obligations, realtors work hard in the background to take care of all the major and minor details, including negotiations, handling contracts, scheduling showings, marketing, analytics, and more.

Advantages Of Using A Realtor

Here are some of the key advantages of working with a realtor to sell your home:

Access Their Network And Resources

The most significant advantage of working with a realtor is having access to their network, resources, and experience. Working with a realtor who is familiar with the area allows you to connect with a wide pool of motivated and qualified buyers. These are often buyers who you would not have access to on your own. A realtor can also list your home on a variety of different online platforms that can only be accessed by a real estate professional.

Plus, realtors’ extensive education and training allow them to give you accurate advice and guidance on the pricing of your home, the staging of your home, and how to negotiate with buyers. Having access to all the tools and resources that they’ve worked hard for throughout their career is well worth the small commission you pay!

Get Expert Help With Marketing

Marketing a home to the right buyers is a full-time job. When you work with a realtor, they can pull out all the stops to ensure that your home is listed on the correct online platforms. They can also use both traditional and non-traditional marketing techniques to make sure your home gets in front of interested buyers. Their access to the MLS is crucial in a successful marketing strategy.

Professional Advice And Legal Counsel

To become a realtor, real estate agents must go through extensive training and formal education. There are countless rules, regulations, and guidelines that must be followed precisely for a sale to be legal and final. Forgetting, misunderstanding, or not knowing about even just one of these rules could jeopardize the sale of your home.

Working with a realtor allows you to have someone on your side who is very familiar with the laws and regulations of real estate. They can help you understand contracts, read the small print, explain seller’s disclosures and handle all of the other legal aspects of a real estate transaction.

Disadvantages Of Using A Realtor

Using a Realtor has become the go-to strategy for sellers who want a quick and profitable sale. However, it may come with a few disadvantages:

You Pay Commission

One of the main reasons that people choose not to use a realtor is because they want to save money. They would rather do the work themselves and avoid the 6% commission fee that they pay to the realtor at closing time.

You’ll Have To Release Control

Hiring a realtor also means having to adhere to some of their suggestions or guidance. When you sell a home on your own, you are entirely in charge of how you market it, how you price it, and how you negotiate your terms. When you work with a realtor, you should rely on their expertise to sell your home.

Jimmy Carroll Can Help You Sell Your Home

At Jimmy Carroll Realty, we are experts in the Isle of Palms real estate market. We will guide you through the entire process of selling your property from listing to sale. Contact us today to get started!