Friday, November 20, 2020 / by Vanessa Saunders
When you see real estate sales figures like the 4.3 increase in existing home sales in October, it’s easy to say, “Hey, let’s just post our house on Zillow, stick a crazy price on it and see what happens!”
There’s no doubt we are in the middle of a housing boom. Homes have become the new offices as an estimated 21% of the U.S. labor force is working from home. The Fed’s record low interest rates have made buying a home cheaper than ever. The average rate on a 30-year fixed-rate mortgage dropped to a record low of 2.72% last week. Inventory is so tight that prices are skyrocketing. The median price of an existing home last month was $313,000, 15% higher than a year ago. According to the New York Times, the urge to buy a house is so strong that "Zillow surfing" (when you fantasize about houses listed on Zillow) has become a popular pandemic pastime,
So why shouldn’t you put your house up as Zillow candy and see if anyone bites? Here’s why.
You’ll make more money when you list with a Realtor.
Houses sold with an agent net an average of 6% more than those sold on their own. That includes paying the agent’s commission. Why? For the same reason you aren’t quarterbacking for the Giants this weekend. Our team of Realtors and marketing experts are professionals at what they do. We know the market, study the comps, and know more than you do about pricing, marketing, and showing a home. Getting the most money for your home takes work, time and talent. Are you up for the job?
You’re not an experienced negotiator.
Maybe you can bluff your way through a bobtail straight at Poker Night, but are you prepared to negotiate with the buyer, the buyer’s agent, the buyer’s attorney, the home inspector, and the bank appraiser?
You need a third party agent to protect you from legal jeopardy.
Dealing with the paperwork and complying with the rules and regulations surrounding a home sale is difficult at best. This is the major reason homes For Sale By Owner have dropped from 19% to 8% over the last 20 years.
Are you willing to put your safety at risk?
If you show your home on your own, are you willing to let total strangers in? It used to be easier - our Realtors in the Hudson Valley use electronic key boxes that record the identity, date and time anyone entered a house for a showing. But are you experienced in keeping your home safe with proper sanitization measures and Covid-19 guidance? Do you have the technology and know-how to create a virtual tour to limit access and keep your home safe?
A selling owner is left to manage the entire home sale transaction - the pricing, the marketing, the negotiating, and everything else involved with selling a house. In the end, the odds are they will probably make less on it than if they had used the Global Property team. There is so much more that home owners don't know about selling a house. There is a reason all but one of our most recent listings sold in fewer than 25 days and above listing price. Do yourself a favor and have the Global Property Systems team on your side to sell your home now.