Advantages And Disadvantages Of Selling Your House With An Agent
If you’ve ever tried to sell a home, there comes a time when you’ve stopped what you’re doing and thought to yourself,
“What have I gotten myself into?”
Selling your home can be overwhelming and frustrating – we get it! All that waiting, wondering if someone will come along soon, hoping for a nice profit so that you can move on with your life… it makes a person anxious. It’s no wonder that over 90 percent of sellers decide to use an agent to make the process easier and faster, because that’s the way to go.
Right?
Now that you’ve decided to sell your home, what’s really the best way to do it?
Many homeowners believe that using an agent is the best way to get their house sold for maximum profit. Some homeowners don’t even know that there are other options out there! The truth is that there are lots of ways to sell your home, and what works for one seller might not work for another.
Hiring an agent to sell your house is an option – but is it the right one? Like any choice, using an agent brings with it some great advantages but also some disadvantages.
If you want to get the most bang for your buck, then you have to know your choices. Therefore, we’ve put together a list of the pros and cons that come with hiring an agent to sell your house. Read more below to find out if this is really the best option for you.
Why Hire an Agent? The Advantages
Real estate agents really know their stuff – that’s why the make the big bucks. When you’re faced with selling your house you might consider using an agent just because it is so simple. You’re probably already stressed enough trying to move or deal with tenants, so it can be very tempting to turn all the hard work over to your agent.
Selling through an agent doesn’t just save you paperwork, though. Here are some other benefits you might enjoy when you let an agent handle your sale.
1. Experience
Without a doubt, the biggest benefit an agent will bring is their experience. The best ones have been selling homes for many years, so they know the ins and the outs of the business. Working with a professional has the potential to get you a higher price for your house simply because they’re good at what they do.
An experienced agent will be able to take care of all the details that are involved with selling your house. They’ll help you with the paperwork (and there’s a lot of paperwork, trust us!), and making sure your finances are in order. Now, we’re not saying that lawsuits happen often, but using an agent might help you avoid a lawsuit because all those fine details will be worked out.
On a more fun note, agents will also be there to help you stage your home, market it to the right people, and vet potential buyers. They’ll be involved in every aspect of the sale, using the experience they’ve built up over the years to help you out.
Some people believe that its safer to work with an agent because their experience has prepared them to weather the ups and downs of real estate. If, heaven forbid, something goes wrong during your sale, chances are that your agent will be able to handle it. Of course, that is contingent on hiring the right agent, so it’s important to choose carefully. An agent with experience is a good thing to have, and you want to inquire about the track record of any potential agent.
2. Access To Buyers
One of the best things about agents is that they have their own network. We mean that agents have access to a lot of things that you don’t – mainly, buyers. If you’re selling on your own you might need to rely on word of mouth or luck that the right buyer will happen across your listing or stumble over your for sale sign. An agent takes a lot of the guesswork out.
Buyers may follow certain agents or real estate companies, making them more likely to see your house. After being in the business for so long, most agents also build up a network and have their own websites which allow them to extend their reach to find the perfect buyer for your home. they can even hold broker open houses to attract other real estate agents with their own lists of buyers. Of course, this doesn’t guarantee your home will get sold faster; it just means there’s a better chance of it.
3. A List Of Resources
Speaking of networking, many agents have contacts in the repairing and upgrading industries. If your house needs work before it can be sold, your agent will be able to take care of it so that you don’t have to.
4. An Easy Option
Have we mentioned that selling your own home can be a hassle? Lots of homeowners turn to agents to sell their house because the whole process can be confusing and unsettling, especially for first-time sellers. Agents will do a lot of the work for you. That’s what they’re being paid to do, right? With so many agents out there, you’re guaranteed to find someone who will work with you. If the amount of work and responsibility that goes into selling a home makes you feel a bit put off, agents can be an easy way to get business taken care of. And if you’re super busy with work and home responsibilities, an agent can be a lifesaver!
5. Good Negotiating Skills
A seasoned real estate representative will be a great negotiator and a marketing whiz. A really great agent will be able to combine all of their advantages – their experiences, contacts, and access to the right people – to get you a stellar price for your house. Most homeowners who sell on their own might not be the best at negotiating and so could miss out on profit opportunities.
Is it Worth it? The Disadvantages
You might be feeling pretty good about hiring an agent right about now. Just look at all those benefits!
It’s true that selling through an agent has some pretty sweet advantages, but it’s not always as simple or wonderful as it sounds. There are several disadvantages that you might encounter if you choose to work with an agent. It’s up to you to decide whether or not the bad outweighs the good.
1. Paying Commission
Ah, the dreaded commission. Ask anyone what the biggest downfall of using an agent is, and chances are they’ll talk about commission. When you hire a real estate agent, all of those benefits don’t come free. They don’t even come cheap.
An agent’s commission is dependent on the price that your house sells for. So what, you say? Doesn’t that mean that the more they sell it for they more they get? Doesn’t that mean that they’re going to find me the best buyer ever?
Not exactly.
An agent’s commission is only a percentage of the final sales price. That means a couple thousand dollars either way isn’t going to affect their cut very much. But it sure makes a difference for you, doesn’t it? Sometimes agents will opt for selling quickly at a decent price rather than waiting around for a great one because they have more to gain from a fast sell. If the price is lower than expected, then you might even miss out on a profit because you have to pay their commission. If you have to take back taxes out of your sale, or if you still have a sizable mortgage, you could even wind up losing money without the right deal.
2. Lack Of Control
It might be simpler to turn all the details and the heavy work over to an agent, but that also means giving up control. Agents have their own opinions, agendas, and ideas about how to sell your home, and you might not agree with them. Hiring an agent means that you’re going to have to learn how to work together to get the outcome you want; compromise is going to be a big part of your life during this time. And you thought group projects in school were hard.
Agents also have their own timelines. You may want to have your house sold within the month but what if the agent is busy? It could be two, three, even five months before you finally sell! If your agent is on a different timeline than you, you’re going to have to deal with the fallout. An agent who is rushing a sale or lagging behind can cause a lot of problems that might be avoided by selling on your own.
3. Competing With Other Clients
It’s a truth universally acknowledged that all the really great agents have the most clients. It’s the catch-22 of hiring a real estate agent. A busy agent can mean delays in sale, rushed work, or simply the fact that you won’t be their sole focus. Being busy doesn’t mean that your agent is bad; it just means they have a lot going on and that you might not take priority for them.
4. Costs Go Up
Besides the dreaded commission, when you work with an agent to sell your house, you can expect to see other costs rise. Remodeling and other housework might rise because your agent wants things fixed that you’re content to leave as-is. Legal fees can increase if documents get more complex, and in the end, you might not see as much profit as you could expect when selling on your own.
5. They’re Only Human
It’s easy to expect perfection from an agent because of their experience and training, but you need to realize that they’re people like you. It’s not uncommon for an agent to make a mistake. Whether by pricing a house wrong, conducting insufficient marketing, or just missing work due to a personal emergency, agents can make errors or not give 100 percent. This disadvantage can be mitigated with the right agent, but no matter who you work with there’s never a guarantee that everything will go perfectly.
6. You’re The Best Advocate For You
There are lots of great agents out there who will do their best to get you a good buyer, but at the end of the day, only you will have your best interests at heart.
Even though they are supposed to be working for you, some agents might have other priorities. Just like we talked about in the first disadvantage, some agents might see a fast sell as more important than a high profit for you. There aren’t many agents who will encourage you to sit around and wait for a better offer, so you might find yourself pressured into accepting one that isn’t as good.
The Verdict
Selling through an agent does come with some fantastic benefits, but does that mean it’s always going to be the best choice? After going through the pros and cons you might be leaning one way or another. Regardless of your decision, make sure to take some time to research all your options, so you can find the one that’s best for you.
While other options are going to come with their own advantages and disadvantages there is one choice that’s always available, always fast, and that’s guaranteed to sell your house without hassle.
About Us
Our team here at “We Buy Houses in Connecticut” is a great way to sell without the hassle of using an agent. If you’re in the market for a quick sale where you can walk away with cash in hand, we’re the business for you! Our operation is transparent, friendly, and fast in order to make sure that you have the best possible house selling experience. Offers are based on the value of your house once improvements and renovations are made, minus our expenses and required profits.
Why not be one of those smarties who sells with us?
For more information about selling, to learn more about our team, or to get a free offer, call us at (203) 529-4712. We can’t wait to hear from you!