Why home sellers hire a Real Estate Professional.
In fact, most sellers net more money in their pocket, even after they pay the agent’s commission. The typical home sold by an agent sells for $230,000, while the typical For-Sale-by-Owner home sells for $184,000.
That doesn't mean that every agent is going to sell your home for more money. But, the numbers do show that agents do sell homes for more.
Let me give you a concrete example.
I talked to a Title Company Manager who handles For-Sale-by-Owner Closings and Real Estate Professional Closings. He told me that when a For-Sale-by-Owner sells their home it takes about 45 days for the two parties to sign off on the sale contract.
He said that sometimes they don't even sign it until they sit down for the closing. When a property is sold by a Real Estate Professional, the sale contract is usually signed in 45 hours.
Why does this matter to you?
Have you ever heard of "Buyer's Remorse?" It's where a buyer decides to buy your home, and then as soon as they have made that decision, they immediately begin to question the decision. It doesn't matter if the decision was good or bad. I've seen buyers get buyer's remorse when they were stealing homes. They still question it. And, sometimes they freak out and change their mind.
If you have a signed contract, then you can hold their feet to the fire. If not, then they walk and you must sell your house all over again.
Now, this isn't to say that you can't sell your house yourself.
You probably can. But, unless you have sold a lot of homes yourself, then you probably aren't set up as well as a professional Real Estate Professional is. Does that make sense?
Now, I know that many Real Estate Professionals are not as good at other things.
For example, I know a lot of Real Estate Professionals that are not good at working with their hands. Some of us couldn't fix a lawn mower if our life depended on it. Don't hire us to fix your lawn mower. Hire us to sell your house. Make sense?
That is because we handle all the work for you. We are experts at financing, loan conditions, home inspections, surveys, title work, termite inspections, appraisals, negotiating, etc. Some people have estimated that there are 189-213 different things that an agent does to sell a home.
That list is shorter or longer, depending on the property. I haven't familiarized myself with every item on that list. But, I do know from personal experience that selling a home does take a lot of time.
Here is a story that illustrates this perfectly.
A seller put her home on the market. The perfect buyer came along and made a full price offer for the home. The seller and the buyer signed a contract and the buyer started working on financing. The buyer ran into a problem with the financing and cancelled the contract. Later, the seller told the story to an agent. It turns out that the problem the buyer had was completely solvable. But, the seller didn't know how to solve it. As a result, the buyer couldn't obtain financing to buy the home.
The agent is confident that if they had been involved in the sale, then their buyer WOULD have obtained financing and bought the home.
Unfortunately, the seller had to put the home back on the market. It took another 5 months to sell. The seller had to pay an additional 5 months’ worth of mortgage payments, property tax payments, and homeowner's insurance premiums. In addition, she had to maintain the lawn, pay the electric bill, and maintain the property. If we add up all those expenses, we can easily say that the lost sale cost her $9,575.
This reminds me of the old story of the importance of "Knowing Where To Tap."
Have you ever heard the story? I'll retell it for you:
"A huge steamship boiler system was not working properly. The steamship captain hired a top boiler expert to fix it.
After hearing about the problem, the expert asked a few questions and inspected the boiler room. He looked at the pipes that twisted and turned every which way, listened to the boiler and all the machinery.
He thought for a minute, reached into his tools, and grabbed a small hammer. He gently tapped one valve and "Voila" the problem was fixed. He sent a bill for $1,000 to the owner of the steamship .
When the owner saw the $1,000 invoice he was mad as a hornet's nest!
He called the expert and confronted him about the bill. "You were only there for 15 minutes! How dare you charge me $1,000!", he said. The expert heard him out and told him that he would send over a new bill.
The owner received another bill the next day. The bill was itemized as follows:
Tapping the valve: $.50.
Knowing where to tap: $995.50
Fortunately, for you, I have specialized knowledge. I know how to sell homes for more money. I know precisely where to "tap the valve" and to solve any problems that come up
In fact, you will usually make money when you hire me to sell your house.
I know that sounds crazy. The fact that I can sell your home for more money is usually enough to pay my commission. Here is how you make money hiring me. I save you countless hours chasing down surveys, handling inspections, etc.
What is your time worth?
If it isn't worth anything, then you should sell your home yourself. But, I know that isn't the case. Your time isn't worthless! I know from personal experience that most homeowners are successful, hard-working individuals.
You have probably spent countless hours becoming skilled at your profession. I am sure that you have a lot of "specialized knowledge" in your area of expertise. An outsider might look at what you do and think it's easy. It's not. You know it and I know it.
So, run the numbers. Consider what I have discussed here. And, when you are ready to hire a highly skilled Real Estate Professional, then I give me a call. I'll be glad to help you.
Call me at (970) 217-3245 to find out how I can sell your home for more money, less hassle, and sell it faster.
If you have any real estate questions, then do not hesitate to send me an email at firstname.lastname@example.org
Paul Martin Ross
Phone: (970) 217-3245 Email: email@example.com