For Sale By Owner. You’ve seen the sign outside homes before, but never really understood how the process works.
Most people think they need a realtor to sell their home. While having a realtor can help, it’s not required.
Are you looking to cut out the middleman? Want to make more money on the sale of your home?
If so, keep reading to learn everything you need to know about how to sell a house without a realtor.
What Does a Realtor Do?
Before we cover how to sell a house without a realtor, you should understand the role a realtor plays in the buying and selling process. This way, you can make an informed decision about whether or not you need one.
There are usually two realtors involved in the sale of your home — yours and the buyers. The realtor you hire has two jobs:
- Selling/marketing your home
- Finding you your new dream home
Typical realtor fees are between 5 and 6%. If your home sells for $200,000, the realtor gets $12,000. But your realtor isn’t the only one who gets paid.
The buyer’s realtor also gets a chunk of the commission for finding their clients a home. The good news is, the buying and selling agents generally split the commission (so each agent receives 3% of the selling price).
If you choose to sell your home yourself, you only pay the 3% commission to the buyer’s realtor. And in some cases, this is negotiable.
Other Things to Consider
Money isn’t the only factor when deciding how to sell a house without a realtor. A selling agent does more than you might think.
Here are a few questions to ask yourself before deciding to do it alone.
- Do I understand the value of my home in the current market?
- Am I prepared to hear criticism about my home?
- How will I market the sale of my home?
- Am I prepared to deal with the buyer’s agent?
If you answered yes to all these questions, you’re probably ready to sell your home minus a realtor. Let’s take a look at how it’s done.
How to Sell a House Without a Realtor
You don’t need a real estate license to sell your own house. But, you do need a little know-how about the selling process. Here are some basic steps to prepare.
Get Your Home Ready to Market
You can’t just throw a For Sale By Owner sign on your front yard and invite people to come on in. You need to stage your home for sale.
That means cleaning out any clutter. Giving your home a thorough cleaning and maybe even a fresh coat of paint.
Investing in a storage unit for any items you don’t need is a great solution for creating open space. Remember, you want the buyer to envision themselves in your home. Remove any personal items or photographs to create a clean slate.
Finding the right furniture and decor also goes a long way in attracting potential buyers.
Price it Right
This is one of the most important decisions in selling any home. You need to price it competitively but appropriately.
Check out comparable homes in your neighborhood. Price yours in the same range as others with similar square footage, number of bedrooms, and bathrooms.
Understanding the selling points of your home is another important factor. When potential buyers are doing a walk-through, point out the over-sized backyard, minimal street traffic, and high ceilings.
Put yourself in the shoes of a potential buyer and play-up your home’s unique features.
List and Market It
Now that you’ve set the scene for a sale, it’s time to advertise your home. This is one of a realtor’s main jobs, so being your own realtor means quite a bit of leg work in the marketing department.
First, turn to the MLS (Multiple Listing Service). This is the country’s most comprehensive list of real estate properties for sale.
Prospective buyers can search the MLS for homes. The MLS is also where buyer’s agents turn to find homes that fit their client’s criteria.
Listing your property with the MLS will run you a few hundred dollars, but it’s well worth it when it brings interested parties to your doorstep.
Other marketing techniques include creating a website for your property and advertising with brochures, word of mouth, and other signage. The For Sale By Owner website (FSBO.com) offers packages to sellers.
While you still need to pay to advertise your home, the expense will be much lower than realtor fees and commission.
Closing the Deal
Knowing how to sell a house without a realtor isn’t as complicated as you might think. Understanding the basics and adopting a winning, motivated attitude are all you need.
Still not sure where to start? We can help you sell your home for top dollar!
Not only will you save on realtor fees, but you’ll have a hand in the entire process. Call or email us today for more information on how to get the selling process started.