Do I need an agent to sell?

Question

Hi All!

I am licensed RE agent, but I don't have experience in sales at all. Well, to be more precise all my purchases and sales I did for myself. So it is kind of limited experience. In all my sales I was dropping the house/condo to the market and other agents were bringing the buyers. I wonder if this is the best strategy to sell. What are the advantages of having top agent to take care of the sale? I would have to give up my 2.5%, but is there any chance that it will sell for more? Are there any other tricks then just listing the house and wait? Please share your ideas on this matter, and thank you in advance

Lumi Ispas · Answer

@Kate J. yes, you need an agent to sell. I had this exact conversation with someone I know that is selling on his own just listing it in the MLS with a fee company. The issues have started from the first offer. He missed on few offers as he became emotional as a seller and now he's been on the market over a year.

I am a broker that has done over a thousand transactions and bought and sold multiple properties for myself and I still have someone else negotiate for me every time, as I would leave money on the table, or pass on good offers if left on my own. When we handle our own properties, our brains stop working for some reason.

When you have a listing agent, her job is not just to market your home, it's to advise you on pricing, on negotiations, on inspections, etc.

Good luck to you!

Ned Carey · Answer

If you are selling to retail buyers ie homeowners, I think a good agent is a great idea.

If you are selling to other investors, I don't think and agent is that important.

Russell Brazil · Answer

Depends on the market. Some top tier agents have buyers already lined up. Some properties sell simply by listing on the MLS. I have a service I use that auto posts on 97 additional websites that do not get automatic MLS Syndication. Some properties I try to get featured on blogs for the neighborhood. Some properties I do targeted Facebook advertising. Some properties I sell as pocket listings and never advertise. Some properties I need to under price to get top dollar, some I need to purposefully over price;

So really it just depends on the property, the market, the neighborhood, the price point etc.

Justin Pillion · Answer

@Kate J.This question comes up a lot. This is the basics to any sale ever. If its compelling its selling. If your product is what the consumer wants then you can probably sell on your own and save a little not paying that listing agent.

HOWEVER. If you know in your heart because you've done your research before buying that it may be a little difficult to sell then by all means hire someone who knows the market better.

These are my basics to every home I sell.

Know who your buyer is going to be- Did you design the home with the buyers needs and wants in mind? Neighborhood demographics can be found on websites like city-data.com

First Impression- Pictures matter you have 3 seconds to grab the consumers attention while they scroll through photo's online. Video and 3D tours are also incredibly helpful but not always needed.

Attention- Most consumers start their search before ever contacting a realtor with websites like zillow. I personally market my properties on over 350 home search websites.

Reach- The more people who see your property the more showings that get scheduled.

Compelling/Targeted Marketing = Showings. 15-20 showings should equal 1 or more offer depending on market. If you're seeing that many showings you know your marketing is working. If you're not seeing offers the issue is more than likely price. But use the showing feedback to see what the consumer thinks of your product. Time is your enemy obviously for holding costs, but also higher market times we see whats called a showing cliff ( chicago market 2017 6 weeks ish). Meaning that if you have not gone under contract in 6 weeks the number of weekly showings will dramatically decrease. Remember what we said showings lead to offers. Higher market times also generate lower offer prices.

Now that's just the first step. Are you prepared to negotiate with the realtors that do this every day and have the goal of getting their clients the best price possible.

This all of course only applies if you plan to sell in the traditional manor. Many of us have had success just throwing up craigslist ads.

Feel free to message me with any questions.

Adam Middaugh · Answer

If you know what comps are going for, then I don't see much of a problem with handling the sale for yourself unless you aren't comfortable doing it.

If you have access to MLS then most of the work is done (from a property exposure standpoint) and buyer agents will scour the MLS and pull your property when it matches their criteria.

You don't have to hold open houses if you don't want to. I don't know if it is different in IL, but in CA buyers can schedule times to view the property by contacting the seller or the seller's agent. Open houses are for marketing the agent as well as the property any way; agents are looking for other customers and open houses are a great way for them to gain exposure.

In any case, it doesn't hurt to speak with a few agents to hear their approach. They should provide you with a comparative market analysis and listing price recommendation. You don't have to sign with them if you aren't comfortable with them or don't feel having them represent you will benefit you in the end versus listing it yourself.

Kate J. · Answer

Still, could you be more specific on what a professional agent can do to sell the property? Is there any ways that they can advertise it better? Would open house help us much? I do not think it is a good idea to have open house organized by myself... To answer the question above: I sell the final product, i.e. to the homeowners, not investors.

Do I need an agent to sell?

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