How to sell your condo without a realtor
When you decide to sell your condo, you have two main choices: you can hire a real estate agent or you can sell your condo on your own. In red-hot real estate markets like Toronto, some sellers are choosing the for sale by owner (FSBO) option. Selling your home is likely the single biggest financial transaction of your lifetime, so you’ll want to get it right.
If you were a first-time condo buyer, and now you’re a first-time home seller, you’ll want to think long and hard before deciding to sell your own home. Selling a home isn’t as simple as it seems. You’ll need to make sure all the I’s are dotted and the T’s are crossed. If you have a background in real estate, selling your own home can make sense, but for everyone else it’s a tough choice.
The decision to sell your condo usually comes down to a financial one: do you want to pay your real estate agent a commission or skip the commission and do it yourself? If you’re not happy with the commission your real estate agent is charging you, there’s nothing stopping you from negotiating a lower commission, or if your realtor won’t budge, you can always try negotiating with other realtors willing to be more flexible on commission. It’s important to understand that you often get what you pay for. A lower commission may mean less perks like home staging, which can help your home sell for top dollar.
Time Commitment
Before deciding to sell your condo, it’s important to make sure you have enough time to undertake it. If you’re buying a home at the same time, this can be pretty tough, not to mention, the added difficulty if you have a full-time job and family to contend with.
When you have a realtor, you don’t have to worry about showing your place. Your realtor handles that for you. Not so when you’re selling your own home. You’ll be responsible for fielding calls from interested buyers, booking showings and being there in person to show your property. Buyers may not always have the nicest things to say about your property, so it’s important to have thick skin and not take anything to heart.
Added Expenses
Selling your own home can also be more expensive. Real estate lawyers will typically charge you higher fees on a FSBO property. Likewise, you’ll have to pay for all expenses to market your property yourself. If the buyer has a real estate agent and purchases the property, although you won’t have to pay commission to your own agent (since you’re representing yourself), you’ll still have to pay commission to the buyer’s agent. You can always negotiate a lower commission, but this probably won’t sit well with the buyer’s agent and could result in you getting less showings and a lower selling price.
Getting Help from FSBO Companies
You’re not completely on your own when you decide to sell your condo. There are FSBO companies that offer a helping hand. You can choose the service level with as much or as little help as you need. If this is the first time selling your condo on your own, at least get a checklist from your real estate lawyer of everything that needs to be completed, so you don’t miss a crucial step.