Hiring An Agent To Sell Your Home Might Cost You Nothing

Posted by Andreas Holder on Thursday, October 19th, 2017 at 5:01pm.

There is no doubt that using the services of a licensed real estate agent when selling your home has many benefits. Among other services, the agent will provide: 

  • Greater exposure to more buyers
  • The skills of a professional negotiator
  • A layer of protection from possible legal liabilities
  • Professional guidance in navigating any pitfalls that may arise
  • A level of safety when showing the home

These services add a definite value to the process of selling - the question is, how much value? Seller who think these services are not providing the value of the fee a real estate agent charges, may decide do sell the home by themselves - For Sale by Owner, or FSBO. 

In most cases though, the services of a professional don't cost the seller a penny. 

In a study conducted by Collateral Analytics, home sales from 2016 and the first half of 2017 in different markets were analyzed, and the data showed that: 

FSBOs tend to sell for lower prices than comparable home sales, and in many cases below the average differential represented by the prevailing commission rate.” (emphasis added)

And here are three conclusions from the study: 

  1. FSBO's achieve prices significantly lower than those from similar properties sold by Realtors using the MLS
  2. The difference of sold prices for FSBO's is about 5.5% less when compared with similar sales in the MLS
  3. Sales prices in 2017 suggest that sales prices were nearly 6% lower for FSBO sales of similar properties. 

If you are thinking of selling, talk to a licensed real estate agent. It may save you money and you'll benefit from the services. 

Andreas Holder, Chicago Real Estate AgentAre you thinking about buying a home this year in Chicago? Andreas Holder can help! Let him be your guide to the downtown Chicago real estate market and help you find a home that not only matches your needs, but your lifestyle too.
Learn more about Andreas or start your home search now.

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