Most of today’s local sellers don’t hesitate to list with a professional real estate agent. On the buyer’s side, however, the idea of shopping for homesfor sale by owner (FSBOs) and potentially saving the 5% – 6% commission can be more inviting. It’s worth a closer look at some of the tradeoffs, both benefits and inconveniences, that often accompany this kind of sale.
The most commonly held belief (and it’s nearly universal among new buyers) is that buying homes for sale by owner means coming away with a superior bargain. Another leading notion is the idea that homes for sale by owner result in a quicker and smoother transaction because there is no ‘middleman’ involved. After all, since you can deal directly with the owner, wouldn’t the presence of a hired agent take extra time and effort? This scenario is vastly more likely if the sale involves an owner experienced in selling real estate — who also has no emotional attachment to his property.
In reality, savings and an easier transaction rarely develop when the seller has no prior experience. According to writer Susan Brown, “Home owners may be reluctant to lower the asking price of a home due to repairs or other problems.” And the emotional connection with a property can trump even self-interest. As Brown writes, “The owner of a home is also more personally connected to the property than a real estate agent would be and thus may be more sensitive to any form of critique that the buyer could make.” In the world of homes for sale by owner, ‘sensitive’ can be an understatement. Licensed agents are experts at keeping facts and numbers the focus of negotiation – as well as in making sure that emotion is kept at bay.
But there is another major drawback that face buyers of homes for sale by owner: one with both time and cost dimensions. When buyers are representing themselves, they will be shouldering the responsibility and sheer hassle of handling the necessary paperwork, inspections, and disclosures. Seeing that these duties are performed fully and professionally while costs are kept to a minimum is either a job for an experienced professional — or someone with lots of time on his hands!
Buying homes for sale by owner may not be quite the no-brainer it seems…nor may the anticipated savings measure up to what seemed apparent at first blush. All this to point out a more solid no-brainer: if you are considering buying or selling a home in Asheboro or Randolph County, why not give me a call for a consultation?