is it better sell my house by owner ans offer 5% to the buyer's realtor?or go to a reputable real estate co?

Question

A local realtor in a gated community averages 1 sale per month in that community. is it better to list my house (water view, 1 mile from the beach and listed below market price for 2 months with another realtor) with him or to list by owner with 5 % comm to the buyer's realtor?
3 other properties have sold during that time in this gated community at a higher price. PLEASE ADVISE!

Answer 1

Pick the best agent and move on

Answer 2

All the answers here are correct. I just would add that if there is any question in any seller's mind whether to hire a realtor or not, then I suggest you attempt to FSBO for a set period of time. If it sells and you are prepared to deal with it then great. If it doesn't sell then go to plan B and hire the realtor. In your case, that would be the realtor who is obviously dialed into your market.

As an agent and loan originator, I am more than willing to lend a hand with a FSBO if they give me the opportunity to either work with the potential buyers on their mortgages, on the owner's new place, or anything in between and for the opportunity for the listing if and when you decide to list.

As far as your deal, why is the property not selling? If you go FSBO then I would only offer a 2.5-3% commission with a $1000 bonus to the agent if sold by a certain date. If you offer the 5% commission then some of that may end up with the brokerage firm. The bonus can be paid direct to the agent. You save some money and the agent will benefit as well since a 5% buyer's premium is not customary unless it is raw land. Your other concern would be as an FSBO you will have to pay a MLS listing service to market to buyer's agents. There are also several free FSBO listing services out there. WWW.craigslist.org and www.virtualfsbo.com. I have had success marketing on both.

Answer 3

I think you mean well, but as tough a time as I'm having in understanding what you're trying to say, the tougher it will be for you to prove that you are capable of selling real estate. Currently you can sell your own property without needing a real estate license. Some listing agents will list your property for a nominal fee, just so that you get the exposure. They won't charge you 2.5%. More like a few hundred dollars. Then, you're only paying a Buyer's Agent for bringing the successful Buyer. The Buyer's Agent may insist on using their own Offer to Purchase forms because they have already been approved by the local bar association (in some states). They may also insist on holding the Buyer's earnest money in their escrow account for safekeeping, until closing. Either way, your property is getting sold with very little involvement from you. Except for your having to be there every time a Buyer wants to show the property. Which some Buyer Agents won't want to do, because we need the flexibility of being a few minutes early or late, and would prefer to consult with our clients without interference.

Answer 4

How are you planning to market your home? how are you planning to price your home? If you ask even 5% over you may lose 70%+ of the buyers out there.

* According to Thomas M. Stevens, President of the National Association of Realtors for 2006, "Finally, the plain fact is that hiring a professional pays off. The typical home represented by a professional last year sold for 16 percent more than those sold without a professional’s help. That profit more than pays for the agent’s commission. Millions of homeowners know it, and that’s why they will continue to call on experienced real estate professionals."

Read More about why NOT For Sale By Owner... http://burlingamerealtor.com/serendipity/index.php?/archives/2006/02/20.html

Instead, invest your time finding a good Realtor and you'll win, in my opinion. If you would like to be referred to a highly qualified Realtor anywhere in the US or Canada, I would be happy to personally refer you.

Answer 5

List it with a Realtor and give him 1% and the buyer's agent 4%. Most people buy their homes by looking on the internet. Most MLS listings get pushed onto online websites like Realtor.com.

If you're in Southern California, give me a call and I'll list it for you.

Regards

Answer 6

You should sell with the realtor. The commision will be the same no matter. The buyers agent and sellers agent would just split the rate. It is set only buy the sellers realtor and is typically around 6% but there is no set amount.

Answer 7

If higher priced homes in your area are selling and yours is not,....there is something you have not done.
Created curb appeal
Attractive landscaping and flowers.
Staged the whole house.
Have a non smoking house.
No pet odor.
Fresh paint in neutral colors. Clean carpets.
That's a start.
Then list with a realtor.

Answer 8

Definitly choose the Realtor - You can write the commission off your taes anyway and MOST IMPORTANTLY - they have an E&O insurance policy - Basically if there is a mistake the Realtor has an insurance policy protecting YOU!

Trust me use the Realtor - too many benefits to pass up.


www.hqhomes.com
www.cabellahomeloans.com

Answer 9

Do you want to do your own marketing?

Do you want to qualify buyers or arrange financing if they need it?

Are you willing to run your own open houses and deal with the public traipsing through your house criticizing it?

Do you want to chase down leads and do follow ups?

Can you handle the legal stuff, titles, liens, inspections, closing?

I bought my current house owner to owner but still employed a Realtor to manage all the paper work (for and arranged fee).

Decide how much time you have to invest and that 5% may be a deal.

Answer 10

GO TO A REALTOR!