You may be thinking you’ll make more money if you don’t have to pay a real estate commission. With this being said, it’s a known fact that homes sell for more money when handled by a real estate professional.
A study done by Collateral Analytics, reveals that FSBOs don’t actually save any money, and in some cases may be costing themselves more, by not listing with an agent.
In the study, they analyzed home sales in a variety of markets in 2016 and the first half of 2017. 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.”
The results of the study showed that the differential in selling prices for FSBOs when compared to MLS sales of similar properties is about 5.5%. Sales in 2017 suggest the average price was near 6% lower for FSBO sales of similar properties.
The Bottom Line
Price your house at or slightly below the current market value and hire a professional. This will guarantee that you maximize the price you get for your house. The experts at Paul Ward’s Home and Ranch Team offer several different commission options to choose from. We take the worry out of selling your home while offering every opportunity to save money. No other agent offers this program!
Developed with our partner Blake Cory.