When Not Using a Realtor Makes Sense

Selling property through a realtor is the default most people fall into when it comes to moving on. But the reality is it isn’t always the right fit depending on the situation and what actually matters most to the seller.

However, sticking with the traditional route out of habit can offer some benefits for the majority of people, but there are certain times when it doesn’t make sense at all and will make the entire process more difficult. Let’s take a look.

You Need to Sell Fast

A traditional listing can take weeks or months between staging, showings, and negotiations. And this isn’t always an option for someone facing a job relocation, financial pressure, or an approaching foreclosure deadline. 3 alternative ways to sell your home, including online marketplaces, listing the property yourself, or working with a cash buyer, can each close a sale in days or weeks rather than months, depending on which trade-off a seller is willing to make. For anyone for whom timing matters more than squeezing out the highest price; this is a good choice to consider.

The House Needs Repairs You Can’t Afford

Most buyers working through a traditional sale expect a home in reasonably good condition, and this generally means that the seller needs to invest in repairs before a listing just to get any competitive offers. This isn’t feasible for every seller. But what are your options if you find yourself needing to invest in repairs you can’t afford?

Either you sell via a realtor as-is, or you look at selling to a cash buyer or investor so you can skip this entirely.

These types of buyers usually factor the cost of repairs into their offer rather than requiring the work upfront. It doesn’t matter if you have an outdated roof or your foundations need attention; they look at the work that is required and form their offer on this.

You Want to Save on Commission

Realtor commissions typically run five to six percent of the sale price, split between the buyers’ and seller’s agents, which adds up to a significant amount on any home sale. On the other side of the coin, selling the property yourself, often called for-sale-by-owner, keeps that commission in the seller’s pocket, though it does require taking on all the pricing, marketing, negotiating, and paperwork a realtor would normally handle. If you’re comfortable putting in this work, you can try that; alternatively, selling to companies who skip this process entirely can be beneficial. You get a lower offer than you might get via traditional listing, but it’s worth considering.

You’re Selling to Someone You Know

If you already have a buyer lined up, be it a family member, a neighbor, or someone from a personal network, much of what a realtor typically provides, i.e., marketing and finding interested buyers, becomes unnecessary. In these situations, a real estate attorney would handle the paperwork and ensure that the sale is legally sound. This is generally all that’s needed in these situations, meaning you don’t need to pay for services you are not using.