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Advertising Pros And Cons
Craig Stanford
One of the biggest reasons that someone hires a real estate agent comes down to just one thing: time. If someone is selling a house, then they are probably looking for a new house or are shopping for items for a new house. They won't have the time to advertise, take calls, show the house, handle the negotiations and close the deal.
In my state of Oregon, agents are tested and then if they pass, they are granted a license to sell real estate by the state. Applicants sign up for a class at the end of which they take their real estate license test.
When selling your house, one of the first things that you need to do is set an accurate asking price. This can be tough to do if you have very little idea what the local market is doing. A real estate professional has spent many hours going through the local listings and showing local houses, so he or she may have a far better idea as to what your house is worth.
Another area where real estate agents have a lot of experience is in negotiations. If more that one party wants your house, a skilful negotiator may be able to get more that the asking price for your house.
If you're thinking about selling your house by yourself, ask yourself how much do you know about escrow, inspection, appraisal, earnest money and closing? Be sure to think about all of these things when thinking about trusting a pro to handle your real estate transaction.
Naturally, you could always decide to be your own agent. Most of the people who sell their houses themselves, do so because they would like to put more cash in their pockets at closing.
I bought my first house in 1984 for $40,000.00. I beleave the going rate back then was 6%, so the real estate agent would have received $500.00.I could probably sell the house now for $300,000.00. If I figured the same percentage, the commission would be a whopping $15,000.00. This is a lot of money. I can see why people consider selling their own house.
What I have to think about is how much that house has increased in value since I bought it. The trouble is; I won't see any of that appreciation unless I sell the house.
If you're confident that your house will sell for a great deal, perhaps you can talk your agent into accepting a flat fee for the transaction.
If I did sell the house myself I could lower the asking price by the amount equal to what a real estate agent would charge or if I could get my full asking price, or I could keep all of the profits, but this would be a gamble.
Whether or not you decide to sell you own home will be up to you. Your decision will be based mainly on whether you have the time available, the patience, the knowledge and the confidence
In summary, I can understand the peace of mind that comes from hiring a real estate professional, but then maybe I just lack the confidence. My hope is that you can use the above paragraphs to honestly evaluate your strengths and weaknesses when deciding whether or not to hire a real estate professional to help with your sale.
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