Michael Price

Wow, Mr. Baldurr...thanks for enlightening me. I was worried that just maybe I wasn't just like everyone else, but you have proven otherwise. Have a wonderful day. - Mon Oct 15 2007, 12:48

The endless FSBO debate...are agents worth the commission, and can I do a better job selling my home myself?

I'm in a small market (Tarboro, NC) where we've only had about 75 homes sell in this town in 2007. I'm aware of 5 FSBO homes in town. Two I'm aware of only because they have a yard sign in my subdivision. Two others I've driven by while out and about in town. Of the top-5 FSBO websites, only one home is listed on the web, and that home is only on ONE website. None of the homes are in the local newspapers, none are on the MLS, none have websites, and none are on Craigslist. When your sole advertising is throwing a sign in your yard, you're not going to be successful. Open houses don't draw traffic (except during town festival weekends) in my town, but it's not like I've seen any FSBO signs advertising an open house anyway. If nothing changes, these FSBO's will still have a sign in the yard in 2009 because they're not even trying to sell.

We currently have an inventory of 109 available homes in town, and homebuyers are at a premium. The agents in town have their own inventory (in every price range and style) to show the limited buyers who are shopping around. We aren't showing FSBO's because buyers aren't asking about FSBO's (most likely unaware of their existence in town), and going back to the advertising like I said...maybe some agents aren't even aware of them being on the market. If I'm out of town and looking for real estate in Tarboro, I don't know these FSBO's exist.

If you're going to sell your own home...regardless of the size of the market you live in...if you don't put in the time and effort to market your home and understand what you're doing, you are fighting a losing battle. Even so, are you really saving much money on the commission fee when all is said and done? You have to spend a good deal of money to market your home on the web, and the VERY REAL potential of your home selling at much less than a Realtor-listed home. The figures vary as to how much on average a FSBO home sells for less than a Realtor-listed home, but even if I'm generous and say your home is a "peach" and only fetches about 5% less than if you had listed with a Realtor, after advertising costs, have you really saved anything? That's not including the time invested by missing work to show your home, filling out paperwork, and fielding all those calls from "tire kickers" and "bargain basement" investors who do no more than waste your time. Contrary to what some conspiracy theorists lead you to believe, these are not scare tactics, just simple facts.

If you list your home with a Realtor, you get much more exposure and FREE advertising, and don't pay a cent until you close on the sale of your home. You have access to a knowledgeable Realtor, have someone to deal with the attorneys and all the paperwork, and you have a shield against bogus calls on your home.

One last thing...if you don't believe that your Realtor is doing what he/she can to sell your home, or you don't feel that they're treating the sale of your home as if they were selling their own personal property, than you're with the wrong agent. The right Realtor should make you feel like they're making every effort to earn your commission. Have a good afternoon. - Thu Oct 11 2007, 10:32