{"id":6116,"date":"2024-11-13T09:15:32","date_gmt":"2024-11-13T14:15:32","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=6116"},"modified":"2024-11-13T09:15:34","modified_gmt":"2024-11-13T14:15:34","slug":"selling-without-a-real-estate-agent-new-incentives-new-challenges","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/selling-without-a-real-estate-agent-new-incentives-new-challenges\/","title":{"rendered":"Selling Without a Real Estate Agent? New Incentives, New Challenges"},"content":{"rendered":"\n
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You might have heard that selling your home yourself could save you thousands of dollars in agent commissions. It\u2019s a fact. Putting your home up For Sale By Owner <\/em>(FSBO<\/a>) is one way to get around agent commissions \u2014 which do still exist!<\/p>\n\n\n\n

Yet there are hurdles as well as potential rewards for the FSBO seller. Risks and savings are different now, because the real estate world has changed so much this year.<\/p>\n\n\n\n

Let\u2019s do a walk-through.<\/p>\n\n\n\n\n\n\n\n

Agent Commissions Still Exist<\/h2>\n\n\n\n

Last year, a Missouri jury determined that brokerages and agent groups were colluding to protect their long-held commission structure. The lawsuit highlighted a not-so-secret practice: agents could steer their buyers clear of homes that weren\u2019t listed for an agreed-upon 5 or 6% commission.<\/p>\n\n\n\n

The time was ripe for pushback. Technological factors added to the pressure against the agent groups. Today\u2019s buyers are familiar with real estate sites and apps. The internet is full of helpful information sources for buyers and sellers alike. Already, there are low-commission apps that match up people and homes.  <\/p>\n\n\n\n

In the lawsuit, sellers\u2019 groups had argued that the industry was keeping fees high through its grip on the Multiple Listing Service. Sellers had tired of the longstanding MLS tradition that pressed them to agree to cover 5% or 6% agent commissions up front. The sellers essentially forced the real estate industry groups into a settlement. This sent shockwaves through the industry.<\/p>\n\n\n\n

It\u2019s a whole new world for home selling. Read all about the <\/strong><\/em>National Association of REALTORS\u00ae settlement<\/em><\/strong><\/a> here.<\/strong><\/em><\/p>\n\n\n\n

But new rules were hashed out, and the selling continues. It\u2019s just that sellers no longer agree to cover both agents\u2019 fees up front in order to publish a listing through the Multiple Listing Service.<\/p>\n\n\n\n

All that said, commissions based on a percentage of a home\u2019s selling price do still exist. They\u2019re still the norm. But now, the public knows fees are negotiable. The old 6% (to be split between buyer and seller agents) is no longer written into home listings.<\/p>\n\n\n\n

And with this major shift in selling norms, \u00e0 la carte (per-service) pricing is on the rise. Sellers can do a lot more for themselves, with the option of just paying flat fees for specific services.<\/p>\n\n\n\n

Do the New Real Estate Rules Help FSBO Sellers?<\/h2>\n\n\n\n

Some homeowners would like to sell, but don\u2019t relish the thought of hiring a full-service seller\u2019s agent. These deed holders are in a stronger position now. People have more ways to handle their own conveyances<\/a>, and get help with the paperwork only when they need it. Sellers now have a clearer option to pay individually for selected services, as some agents are setting per-service rates.<\/p>\n\n\n\n

Sellers might decide to do a lot of the work themselves. Here\u2019s a checklist of what they must know to pull off their deals:<\/p>\n\n\n\n