I recommend paying a small flat fee and doing a listing package with a discount broker. A good local company we've used and I've recommended to multiple friends now is http://www.hauseit.com ... they're very professional, responsive, non-sketchy and will list you pretty much everywhere a regular broker would except it's $399 flat, one-time. Includes StreetEasy, OLR, MLS, Realtor.com etc. Also cuts down on broker harassment since you would already be listed by one!
Yes, you can sell on your own. Whether it is advisable is another story. The fact that you got 3 offers in two weeks in this market is fabulous. It shows you were priced well and had very good exposure. And you accepted a cash offer which is excellent because the lending landscape is a nightmare. Even very qualified buyers are running into trouble with their mortgages, even after being pre-qualified and sometimes even after the commitment letter. You say "our apt sold fast because *we* made it look gorgeous, period." But how did those buyers find out about it? Wasn't it because of the exposure your listing agent gave you? Lots of terrific Manhattan apartments, priced-well, are sitting around because there is still quite an excess of inventory. I would say your agent did a very good job. It may look effortless to you, but when I watch someone win the US Open or get an Olympic medal it looks really easy to me to. Anything that is done well looks easy. There are two things that make a property sell - price and exposure. Sounds like you were lucky enough to have had both, you were priced competitively and you were given the exposure to bring in the buyers. Congratulations. Your agent earned his/her commission.
You say you are thinking of changing your mind on the offer you accepted because you don't want to pay the commission. Some facts to consider are that the average For Sale by Owner ends up accepting 25% less than comparable properties sold by a professional real estate agent. Paying a 6% commission is a lot less than giving your place away for 25% less. That is when they are lucky enough to succeed on their own. 86% of For Sale by Owners do not succed and end up eventually listing their property. These are National Association of Realtor stats. Also, your agent is not getting the full amount. Their company and the other company splits it. Then the each agent gets about half (depending on their split) of that.
Halstead Property, LLC
Accepting an offer and then changing your mind can come with rather serious consequences attached. Before taking a drastic position, it would advisable to review your documents and consult an attorney.
Just keeping it real!
How are you? I hope you're doing well.
Yes, you can sell an apartment in Manhattan on your own. Check out http://www.fsbo.com which is a do it yourself type of website for owners who want to sell without a broker.
I wish you all the best in your efforts :-)
Licensed Real Estate Broker
Gorick Realty, Inc.
View listings at http://www.gorickrealty.com
"Home is where the heart is."
One thing to keep in mind is that paying 6% will attract more buyer's brokers to your property. The fee is split 4 ways. Certain sectors in the market have a glut of inventory, and you must pay standard rates just to be competitive. Buyer's brokers may skip your listing if comparable units are paying higher commissions.
Your agent is actually netting 1.5-2% of the sale price. Many Co-op sales end up taking 9 months to a year. The fact that Real Estate has a 90% agent attrition rate is a good indicator that you are likely paying fair market value.
As individualâ€™s I think we can all get reasonably close to pricing an apartment. In this market I donâ€™t believe that the price difference of selling on your own would be 25%.
And the only difference in exposure would be access to the MLS site. But no one is providing solid info or facts as to why paying this fee is ok. Yes some brokers will go out of their way and work countless hours but just as many will do the bare minimum and get paid handsomely.
Its very similar to people doing their taxes. People were always afraid of the process and would pay a professional to do it for them. Now we have all this software out there (which these professionals used) that allows anyone to do it themselves and now the professionals are freaking out. Yes, once in a while a professional will catch something and you will receive more $$ but if theyâ€™re not trying to shortcut the system in most cases their going to get to the same result. But people were afraid until they did it on their own and then realized its not bad and continue doing it on their own.
It would be great to hear from sellers that actually did sell on their own or with partial help or even those that ran in to major issue (& what they were) where they required an agent.
And for the seller agents, what service are you providing that FSBO cant do that justifies anywhere from $10K to $30K? Maybe the FSBO's are missing something.
That said, if you didn't sign a listing agreement - or some other form of contract that defines the broker's compensation - and you really believe the broker was negligent in their work I encourage you to seek out a better one: one who can help you price properly and make sure you get the highest possible price for your home.
People attempt to sell homes on their own all the time. I'm not sure they get the best results that way though. If that were the case the most experienced and seasoned real estate sellers - huge developers like Trump, etc - would know, and they would not use brokerages to market their properties. All of them do. Our industry exists for a reason: we get results.
Stat's show FSBO usually will be listed with a Realtor based on majority of all home buyers turn to a Realtor assist them with their search. ALSO FACT many real estate scams AND home buyers / sellers don't understand the required documents AND state law purchase or sell a home.
Many families are extremely lazy don't care to stage their homes WHICH does make a major difference to attract the home buyer.
Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
There are times when people are in favor of resurrecting old questions, thinking it would be beneficial for people now as well. Or else they just aren't paying attention.
It would be great to tell us how you felt once the transaction was complete. I am surprised that none of our NYC agents even brought up the most important part of the agent in most NYC apartment transactions. if you sold a co-op, please keep in mind that the agent is kept very busy once the buyer has to assemble a board package to submit. They may not be representing the seller, but you would never think that considering the amount of time they put into these packages.
Licensed Real Estate Salesperson
212-688-1000 EXT-435 (O)
What corners were cut? How much higher should she have priced the property?
Consider that perhaps your broker is truly on her game, knows the neighborhood extremely well and got the job done in record time. Maybe the buyers want to get in before the Federal Tax credit expires. Perhaps your statements are a bit self serving.
Go ahead, cut her out, raise the price and sell on your own if you can. If any of those three buyers come back to you directly, you'll still have to pay her. Heck, if she can do it in two weeks you can do it also, sure you can. Knock yourself out.
What percentage of CMA's are on the money when the appraisal comes in?
Why shouldn't a FSBO just pay for an appraisal themselves? Pay $350 and know its value. A cma is a guess that often a real appraisal says is horribly high.
You may be surprised that paying a commission may save you money and time in the end.