If you’re a homeowner looking to sell your property, there are three ways that you can make it happen. You can sell your home on your own, call a real estate agent, or seek out a home buying company. You’ll want to find out more about the following options to find where you think you’ll benefit the most.
Home Buying Company
These companies buy property from the homeowners and offer cash upfront. If the owner accepts, the closing could happen in only a matter of days. As a part of the real estate business, companies that claim “we buy houses” offer fair prices to those who need to sell their properties. It’s their way of giving hope to those in the middle of foreclosures and dealing with unreasonable tenants.
Pros:
- These one-stop-shops will work for you if you need to sell fast.
- These companies will buy your property in its current condition. You don’t have to make renovations, especially if you don’t have the money.
- The process is straightforward. All you need to do is to make the choice.
- There are no agents to deal with and no commissions to pay.
- If you cannot pay for your mortgage anymore, the buyer will take care of it. You get paid, and a foreclosure won’t have to dent your record.
Cons:
- Some companies that buy houses have fixed terms you have to follow. You may have to move away at the time of their choosing.
- The offer is not always what you prefer because it will still depend on the condition of your home.
- You’ll have to look into the reputation of the company first. The last thing you want is to do business with scammers.
For Sale By Owner (FSBO)
Selling your home by FSBO means you take charge of the sale without the help of an agent or broker. The owner or seller may prefer this to save thousands of dollars in commission payments.
While homeowners can sell their homes, they must prepare for the sale process. It includes home renovations or reparations and marketing to the financials and legalities.
Pros:
- It’s up to you to name the price, decide on how to fix your property, who to let into your home, and who you want to sell it to.
- You can show prospective buyers around because you know your home the best.
- You can save up to 6% of the total commissions. For example, if you’re able to sell a $300,000 home, you’ll pay $18,000 out of pocket to your agent. If you don’t have an agent, you’ll get to keep that money.
- You don’t have to be pressured to lower your price to sell.
Cons:
- Dealing personally with prospective buyers can be difficult. You’ll have to talk to different people who have different needs and wants that your home can’t fulfill.
- If you have no expertise in real estate, it may be a challenge. Homeowners enlist the help of real estate agents because they know how the market works.
- Do you have time to market your home between household management and a full-time job? What more if you’re a parent of three or more children?
Listing
A method of selling that real estate agencies utilize to sell property is through MLS or many listing services. It’s a service that real estate brokers around the country use to share information. Brokers create the listing for you to attract potential buyers willing to offer a good price for your property. It’s an effective way to sell property as it accounts for the sale of homes in the United States at 80%.
Pros:
- Your home gains visibility as the MLS will share it to other websites or platforms.
- You save on time and effort because you don’t have to manage the sale by yourself. Your only priority is to keep your home organized in case a prospect wants to view the home.
- The listing helps filter serious home buyers so that you can avoid people who aren’t serious about buying.
Cons:
- You can only use the service to find high-quality prospects through a real estate broker. As part of the service, you’ll still have to pay the commission.
- There’s no exclusivity when it comes to MLS. Your real estate broker will take anyone who is interested in buying your home. If you want to have a say on who you’re willing to sell to, you’ll have to get the home off the list. It will result in having less prospective buyers.
In Conclusion
The mentioned methods of property selling all come with pros and cons that you’ll have to weigh. For starters, you can come up with vital factors that will help you to decide. It could be the urgency of sale for whatever reason. The time and effort you’ll have to exert is a factor as well because not everyone is knowledgeable in real estate. If you ever choose to work with an agent or company, make sure that it’s in your best interest.