For Sale By Owner vs Realtor Statistics & Considerations
We’re pretty sure that everyone is interested in a fact-filled article once in a while. So today, we’re going to shower you with a copious amount of for sale by owner vs realtor statistics, and also some interesting facts and considerations. Don’t be concerned though, we’ll try to organize it so that things aren’t too confusing for you. Let’s get started!
FSBO Statistics – something to remember
As we start reviewing some statistics, keep in mind that even if a statistic seems negative, that shouldn’t cast negativity on everything FSBO. As with anything, it’s inevitable that some parts of house selling are easier when someone else is handling it. However, that doesn’t mean you can’t be successful going FSBO. After all, you’ll most likely save money if you do it this way.
Zillow gives us a little bit of a summary of FSBO statistics. They say that, “Many sellers who attempt to sell or successfully sell their home as for sale by owner (FSBO) are inclined to do so because they believe it will save time (36 percent) and money (57 percent). Some FSBO sellers don’t involve an agent because they feel they know their home better than any agent could (27 percent), or they’ve had negative experiences with an agent in the past (14 percent).”
One reason that you might decide to go FSBO is because you already have a potential buyer. According to Zillow, this accounts for about one-third of FSBO sellers.
Zillow also mentions that “Eighty-nine percent of sellers list with an agent and 36 percent attempt to sell their homes on their own, although only 11 percent of sellers actually sold without an agent.”
An interesting fact that we learned from the National Association of Realtors is that “FSBOs accounted for 7% of home sales in 2017. The typical FSBO home sold for $200,000 compared to $265,500 for agent-assisted home sales.” Keep in mind that even though agent-assisted sales were higher, some of those proceeds went to the agent in fees.
One great statistic from Zillow said that over half (55%) of buyers were willing to buy a for sale by owner home. We think that’s pretty fantastic for the FSBO seller!
Does the age of the seller make a difference?
Something else that we learn when reviewing the study done by Zillow is that “Young sellers more often try to sell their homes without help from agents.” To be exact: “57 percent of Millennial sellers, compared with 32 percent of Generation X, 19 percent of Baby Boomer and 19 percent of Silent Generation sellers.” Younger sellers were also more active in selling their home. At the time when the studies were done, in 2017, Millenials were age 18-37, Generation X’ers were 38-52, Baby Boomers were 53-72, and those of the Silent Generation were 73+.
Agent assisted sales
Now let’s take a look at statistics for sellers who used an agent.
Our first statistic comes from the National Association of Realtors. They explain that when selling with an agent: “The typical home sold was on the market for 3 weeks.”
They go on to explain that “91% of sellers were assisted by a real estate agent when selling their home.” During their research, they also discovered that “recent sellers typically sold their homes for 99% of the listing price, and 23% reported reducing the asking price at least once.”
For sale by owner vs realtor statistics
Now that we’ve gotten a taste of for sale by owner vs realtor statistics, we’re going to consider a few combined statistics. Let’s see what the studies show.
Our first statistic comes from Zillow. They explain that 36% of all sellers did not sell their house in the time they wanted to. Nor did they sell it for the price they wanted to. Therefore, it wouldn’t be unlikely that this would lead to regrets about how the seller went about the process. The seller may decide not use a realtor next time or to use a realtor, whatever the case may be.
The same study also mentioned that 24% of sellers couldn’t figure out where and how to advertise their home. However, this shouldn’t be a problem for you. If you need more ideas on how to advertise, read this article on our website!
Before we come to an end with our for sale by owner vs realtor statistics, we want to give you two things to keep in mind. First, if you’re going to sell FSBO, you have to be ready to work hard and keep a positive attitude. Nothing comes easily. And this will be especially true if you look at your circumstances with a negative mindset.
Secondly, don’t be afraid to ask for help. If you have realtor friends, ask them for suggestions and/or ideas. Maybe there’s someone in your life who’s sold FSBO before. Whatever the case may be, don’t let yourself get into trouble by refusing help. After all, even the smartest and strongest among us need help!
Take your time
Now that we’ve learned a good amount of for sale by owner vs realtor statistics, it’s time for you to begin your journey. However, be sure to take your time, and don’t rush things. You’ll find the process a lot easier if you go about it calmly. If you need inspiration before you start, check out 3 of our favorite FSBO homes. And good luck with your process!