Help me boil this down - 3 options for selling houses? (for sale, rentals)

[abgal]

As a Canadian, the Buyer's Agent scenario is new to me, but I like it. If I've got all this straight options to sellers are for commissions you pay are:

6% pay realtor for selling your house, listing on MLS, showings, etc.

3% I pay Buyers Agent realtors who complete a successful sale, they write up the offer, i send it to my lawyers, everyone's happy. Where's the downside (since I'm comfortable selling myself, am experienced, etc.). Maybe they'll try to get me to list with them but I can deal with that.

0% but all my time - do my own complete FSBO, stick handle new buyers, send all offerees to their lawyers to write up an offer and have them send that to my lawyer.


My only questions
- for Buyers Agents - no listing on MLS right? But perhaps on their own webs?

- and after the offer is signed - other than legal, and any mortgaging / other conditions being met the sequence is:

-likely, a house inspection to start
-title company for completion

[KurtAZ]

Or you can use Help U Sell. They can list it on MLS for you.

Home Inspections are optional (buyer pays), home appraisals are not if they are using a mortgage company. Home Warranties are also optional. Not sure on Termite Inspections.

Other than that, it sounds like you have all the options...except that the 6% commission is negotiable. 6% is pretty standard but I have seen as low as 4%.

[SMG]

Remember, when the buyer and his agent make an offer they are well aware you are saving on fees. Their offer may be low as a result. You can do this, but it is a good amount of work. Yes, I am an agent so my view may be partial. But, you have a pretty good amount of work. If you are up to it, you can certainly do it. But, get a list of tasks related prior to making that decision, just so you know what you are getting into.

[borninsac]

I just let a listing expire with an agent to sell my home. I agreed to 5%, the house didn't sell so the agent didn't earn anything so she made what she deserved.

I've told agents who have approached me for a listing to bring me a buyer and I'll pay them 3%. Yet to see it happen. Typical response is a "ha ha" which means I don't have anyone.

Things are different now than the olden days when buyers and seller didn't have access to the information available now.

6% is probably worth it for a house selling for $200,000 and below but mine was for 3 times that and even 5% seemed like more than a honest day's pay. I'm glad the listing expired.

If you've got the smarts, time and composure to handle it, go for it because if it doesn't work, you can always find a thousand agents in a moments notice willing to list your home and promise you the sky.

[SMG]

You may even find some agents that dont promise the sky, but do a good job for you. Market the propert well, present it well and negotiate well. Know ypur tasks and the timelines associated with them. You can do this if you take the time and have the knowledge. You may want to get some good marketing pics and video. Hit the surrounding area on foot, a mailer to the neighborhood. Just get the property in front of as many people as you can. Get the property a website...tons of stuff you can do. Do a bit of each and you will sell it. Then, deal with the inspection, BINSR, sellers disclosures, title, etc.
Yes, you can do it. Dont let the other agent get involved in those tasks.

[Jkgourmet]

I'll add an opinion from an educated multiple home buyer. I'd NEVER even entertain the thought of buying a home that wouldn't pay my buyer's Realtor. I want my butt protected, and attorneys in the Valley area are pretty much useless about standard residential transactions because they rarely deal with them. The HUGE majority of residential RE transactions are handled by realtor's and title companies.

And I did walk away from FSBO once because the seller wouldn't pay my Realtor. My choice, but there were plenty of other houses to buy.

And (these days), buyers use the internet to find houses. If you're not on the MLS, you're not going to be found by 98% or more actual buyers.

You're in Canada, correct? You know you will have to be in the valley to do a FSBO, right?

[Zippyman]

You need accurate (to the market) pricing & a good listing on the mls to sell here promptly. Any shortcut or cost-saving measure that denies you that will be wasting your time, and/or cutting into your proceeds. If you're in a position where you can get hung-up over a 5-6% commission (and forget about the 94-95% you get to pocket), it might not be time for you to sell. After all - your potential buyers won't be a bit bashful about asking for a 10% discount due to all your "savings", and repairs on top of that.

I jumped through all the hoops to get my own Arizona RE license & I'll never list my own properties for sale (I do list my own rentals & represent myself as a buyer though). Any money to be made on an RE deal is made on the purchase, not the sale. The point of sale is when you exit promptly, minimize liabilities & hassles & count your winnings with something cool in your hand (preferrably on a beach somewhere).

[abgal]

Well put, Zippy! Thanks for the reality check.