Hiring a real estate agent to help sell your house is the way things have been done for over 100 years. But just because it’s traditional doesn’t mean it’s the best option for current times. Haven’t we learned anything from the Blockbusters of the world?
As the world changes and evolves, our methods of getting things done need to evolve with it or our way of doing things will soon be obsolete. This holds true for selling houses.
So is having a realtor sell your home actually worth it? Will it really help you sell your home faster or for more money? Here’s everything you need to know.
There’s No “One Size Fits All” Approach
First of all, it’s essential to recognize that no two houses are exactly the same. There are differences in size, location, condition, and more. So each home might benefit from different selling strategies. Here are some of the most common selling approaches that homeowners today have to choose from:
- Selling With a Real Estate Agent – Using an agent is undoubtedly the most common approach to selling a home. It’s relatively easy for the homeowner since the agent handles all of the paperwork, scheduling, etc. The big downside to this strategy is the cost.
Generally speaking, sellers pay realtor commissions for both the buying and selling agent. This typically totals about six percent of the sale price. The average home in Salt Lake City, Utah sells for $583,000, and a six percent commission on that is nearly $35,000. So, yes, a realtor will make things easier. But whether that’s worth the cost is up to you.
- Listing With a Flat-Fee Company – Flat-fee listing companies function similarly to listing agents but at a significantly lower cost. They handle everything from hiring a photographer for listing photos to creating the actual contract and facilitating the closing. Most flat-fee companies charge between $500 and $3,500.
While it might be tempting to go with the lower-cost options, be careful to read the fine print. You get what you pay for, and low-cost companies often aren’t prepared to offer help with scheduling showings, contract negotiations, etc.
- Selling to a Cash Homebuying Company – Some homes simply won’t do well on the real estate market because they are in poor condition, have a rough location, or are overly personalized. A room that looks like a spaceship control center might be cool for some homeowners, but it’s not likely to appeal to a broad range of buyers.
Homes that fit these criteria do best when selling to cash home buying companies because they offer a lower cash offer in exchange for a quick sale rather than having the home sit on the market for months or years, waiting for the right buyer to come along.
When you sell to a cash buying company, you don’t have to clean your house or make repairs, but you won’t get nearly as much money for it as you would if you were to tidy up and make the repairs yourself. So while some homes and situations could benefit from selling to a cash buying company, it’s certainly not suitable for everyone.
- For Sale By Owner – Many buyers try to get around paying realtor fees by selling their house on their own. And while some are successful, it’s a labor-intensive and challenging process. Even the very first step of setting a listing price is a challenge without an agent or flat-fee company to guide you.
Industry research shows that homeowners who sell their home on their own get $60,000-90,000 less for their home than those who sell with an agent or a flat-fee company. More legwork and less money? No, thank you.
- Selling to an iBuyer – iBuyers, or instant buyers, are a relatively new option for selling your home. These companies use technology and algorithms to buy and resell houses instantly, sight unseen. The process of selling a home to an instant buyer is simple and easy. Most of the time, it involves filling out an online form with information about your home and property like age, condition, square footage, lot size, and unique features.
The company then processes the information and chooses whether or not they will make you an offer. The benefits? You don’t have to clean up, declutter, stage your home, make repairs, or schedule showings. But you’ll pay for it in the final offer price, which will be lower than you would get in a more traditional home sale.
There Are Better Options Than Selling With a Real Estate Agent
Selling your home with a realtor is not always the best option. Even if your home would sell well with an agent, flat-fee listing companies provide all of the benefits of hiring an agent but at a fraction of the cost. When you’re choosing a selling strategy, it’s essential to consider a few things:
- Your home’s condition.
- How quickly you need to sell your house.
- If you’re willing to pay more for convenience.
These questions will help determine what selling strategy is best for you and your property. And while selling with a real estate agent isn’t a bad option, flat-fee listing companies offer a better way to sell your house without paying a significant portion of your hard-earned money in commissions.
HoneyHomb Will Help You Sell Your Home For Less
Are you ready to sell your home but don’t want to pay thousands of dollars in commissions to a real estate agent? HoneyHomb is here to help! Our flat fee listing service will help you save money on closing costs and realtor fees while still getting quality assistance on your home selling journey. We’ll help you every step of the way, including getting high-quality listing photos, marketing, contract negotiations, closing, and everything in between.
We serve clients in Sandy, Utah, and the greater Salt Lake City area. Sell your home the HoneyHomb way. Get started today!