As usually happens in a strong sellers' market, many sellers choose to avoid paying a commission, and sell their property themselves. I get it. Real estate fees can feel hefty, and while they are paid on the gross sales price, a seller is paying it from their equity; usually less than the sales price.
In some cases, sellers can successfully sell their property without incurring risky liability. The fallacy though, is that getting one willing and able buyer is the main job of a realtor, and that a busy market makes that easier.
Yes, in this market, getting a willing and able buyer is pretty easy. Knowing how to use timing, property condition and access to maximize not only offers, but quality offers, is a different story. How long do you leave a property on the market to get "good" offers? Is there a preferable time the week to put a home on the market? If its so easy to get a buyer, do you really have to allow lots of showings at what might be inconvenient times? How do you evaluate multiple offers (hint, the highest offer may not be the best offer)? Can you steer clear of fair housing issues while representing yourself? How and what information do you disclose to a buyer, and when?
These questions are just about marketing and getting offers. Never mind the prep work that can go into getting a listing ready; home energy score, staging, cleaning, professional photographs, video walk through, floor plans. And what about accepting an offer and putting one in a back up position? Or, working the timing of a sale for a seller; do they need o stay in the property a bit after closing to facilitate their next move? Where are they moving and when? Do they need the funds from this sale to finance their move? If their new property falls through, are they still willing to sell at the negotiated terms?
As managing broker, I review all the transactions in our office and trouble shoot with agents in challenging transactions. This gives me an intimate look into problem transactions. A few days ago our agent was representing the buyer in a transaction with a for sale by owner. Everything seemed in order, until the sellers found out the purchase of their next home fell through. They no longer wanted to close the transaction they were in. In representing themselves, they had made no provisions to terminate their sale should their purchase fall through. The buyer had spent inspection and appraisal money, and given notice in their rental from which they were moving. That's a mess. An avoidable mess. Both parties are currently being represented by attorneys.
I haven't even touched on selling tenant occupied properties, condominiums with HOA issues, buried oil tanks and so on. But you get the point. There are cases in which an astute seller can sell their own property, no doubt. Sometimes, the non-arms length transactions fall in this category; selling a rental to the occupying tenant, selling to a relative or neighbor.
Yes, this is a strong sellers' market and fast moving. Sometimes those dynamics actually make transactions more difficult. If you have questions about selling, or buying in this climate, get in touch. I'm glad to walk you through some scenarios.
