So, you may have decided to sell your home. With so many options out there, it can be very confusing! Add in there that several agencies promise you they can sell your house for a fraction of what a traditional Realtor will sell it for. Sounds too good to be true, right? Well, chances are, it’s not that simple.
There are many alternative agencies out there. Trelora, Redfin, and Blue Match claim to give you all of the same service that a Realtor will at a discounted price. However, checking with online review boards that are not through the agency website reveals that it may not be so simple. After checking reviews for Redfin at https://www.consumeraffairs.com/housing/redfin.html I found that several people were very unhappy with the service that Redfin gave. Many were Buyers that felt abandoned by their agents and left to fend for themselves. Specifically, there was no “hand holding”. Let’s face it…..selling a home can be very stressful, especially if you are trying to purchase another home at the same time. I don’t call it hand holding though; it’s really about taking care of my clients and making sure they are protected throughout the transaction.
Trelora offers to list your home for a flat fee of $3000 (not including Buyer’s agent compensation if you want the property to be viewed). Blue Match has a flat rate premium plan for $1495 (not including the Buyer’s agent compensation) , and Redfin charges 1.5% on the sell side and 2.5-3% on the buy side. So how does the Buyer’s agent get paid? Chances are they have a signed contract with their Realtor stating that they will pay the Realtor whatever balance is owed to make up the full commission amount they have agreed on. How does that translate to the Seller? Typically, the buyer will offer less for your house to make up the difference. And since you already feel like you are saving because of the small listing fee, you will most likely agree to the lower offer. And all of that happened even before the inspections and appraisal, which are further negotiating points! So how much money do you really think you are saving? You could actually be losing money!
What if you went to work, and your boss told you “OK, I want you to keep doing your job, keep showing up on time, keep doing your research, keep spending time away from your family, keep servicing the client, etc., but I’m only going to pay you half as much as you usually make”? Would your heart be in it? Would you really give it your best effort? Probably not.
Here’s the thing. There is SO much more that goes into a home purchase. Between inspections, appraisals, objections, etc., there is a lot of negotiation & research going on. Realtors have seen a LOT of things happen. We have experience dealing with problems that come up in a transaction. I’ve done a walk through on closing day and discovered a water leak and caved in ceiling. But guess what….we still closed THAT DAY!! Why? Because I was able to hustle and get creative with a solution. When you hire an experienced Realtor, you are hiring a dedicated professional because this is one of the biggest investments in life! If you needed an attorney or a doctor, would you just go with the cheapest you could find, or would you hire the one that could get you results? Problem solving is a crucial part of real estate sales. You need to have someone in your corner that can think on their feet and get you to close! So do you want bargain basement, or do you want an ally that is ALWAYS looking out for your best interests? You choose. Me? I’m gonna go with service every time!