The data was also from a very wide spread sector , This is their data pool!
"We address this question using a unique data set pertaining to sales of faculty and staff homes on the Stanford University campus."
Most universities let incoming professors know of any properties near the campus available for sale to incoming faculty or staff as a courtesy to outgoing staff. I know my wife is an adjuct at a university.
Yes, that figure was in the sales result that was used in coming to the conclusion that even with that fact, the study found no evidence that the use of a broker significantly affects either the selling price or the initial asking price, though it does lead to more rapid sale. the further conclusion was for the median home in their sample, a 6 percent sales commission totaled $34,000, a steep price to pay for the value rendered. However you failed to mention those conclusions.
There is that "always" word again:
"Also if someone is selling to family members they always get the price that they want!"
I don't believe that for a moment.
Hey James, nice job of taking something out of context. That figure was used to explain some of the disparity in selling price that Realtors brag about when speaking of FSBOs as when selling to friends and family homes are sometimes discounted by FSBOs. Regardless, my previous post was not meant to be seen necessarily as an encouragement for Brenda to do a FSBO, but more to set the facts straight, and that "always" is sometimes not the best word to use.
Brenda if you decide to market your hame yourself according to Stanford you almost double your chances of a sale if a family member is looking for a home!
It is to bad that they could not find people that could not sell their property and use that in the reports also. Like the guy that I talked to a couple of years ago. I let him know that the comps in the area would support a high 500K price on his home. He is terying to sell it FSBO for 2 years at 999,990.00. When he gets that price in 5-7 years due to appreciation he will have sucesssfully sold at his original list price!
If you are contemplating the selling of a home as a FSBO, you may be interested in the blog attached to the link below.
"Figures have always shown that with a realtor, the net effect to a seller is always more than by selling privately (when the seller thinks they are not paying a commission)."
That statement is simply untrue. Lisa, I have unbiased sources to back up my statement. Now show me your unbiased sources for your figures.
The results of a Consumer Reports study that appeared in their Sept 08 issue also stated that 82% of their respondents to a survey who sold with the help of an agent received $5,000 less, on average, than what their original asking price was. On the other hand, almost all of those who sold their homes on their own who responded, stated that they received about what they had originally asked.
OR you can sell your home and take the chance of not getting the price correct and or take forever to sell. Or maybe spend tons of your own money on advertising. In this respect you are taking the money that she would charge in commission and throwing it away on advertising and marketing the property yourself. Or worse yet not pricing right and giving the buyer a huge advantage. In other words you would give the commission to the buyer by not pricing right.
She is a smart cookie.. give her a call or at the very least go check out her web site and learn all you can. Buyers do not fall from the sky these days. And if one does then you have the worry of hoping they can obtain financing! Even buyers with pre approval letters have problems in todays market getting to the settlement table. LOANS ARE TOUGH TO GET RIGHT NOW! Even good and credit Worthy people are getting hit hard.
Please do not think this is an easy game to play. Because you are playing with the one of you biggest investments you will ever purchase. Play it right.
The listing agent represents you and your interests and the buyers agent represents the "buyers".
There is only one commission to the seller that covers both sides of the sale.