Chandler, AZ (PressExposure) June 12, 2009 -- If you ask around selling a house is one the scariest things in the world. Surely it has to do with the contracts, industry terms, exorbitant costs, and the idea that most people donât do it regularly enough to get comfortable. From beginning to end it is usually an expensive, stressful, frustrating process and can become a nightmare for some. With the real estate industry options available today selling a house can be easy and stress free.
Weâve set up 3 home selling options for the same house. Letâs assume this is an average house whose fair market value has been established at $150,000 in an average neighborhood in the U.S.
Option 1: Selling my house in the âtraditionalâ manner
The traditional manner of putting the house for sale on the market with a listing agent or realtor. Typically the realtor will suggest a list price of $149,900 if the value of the home is $150,000. Even though you lose $100 research shows that buyers see the savings as more than $100 and are more likely to buy your house.
Current stats show that the average home for sale sells or closes for 90 to 95% of the asking price. Letâs go in the middle and assume you accept an offer of 93% which is $139,400. To figure out the net sale or amount you walk away with subtract the costs involved with selling a home in this manner.
The average realtor commission is about 6%. In this example that is $139,400 minus $8,360 which brings your net profit to $131, 040. Sellers usually agree to pay 3% of the buyers closing costs which in this example is $4,182 and brings your net to $126,858. There are always going to be upgrades, repairs, or enhancements recommended by the realtor in an attempt to entice buyers to buy your house. At the very least this will be $1000 which brings your net to $125,858. Potentially the most expensive cost is the house payments that have to be made while the house sits on the market. From listing to closing it is 90 days minimum but it is MUCH longer than that in todayâs market. That means your net after sale is 84% of the actual selling price using this method for selling your house.
Option 2: Listing with a Discount Realtor
These services list your home but take a smaller commission, which allows you to keep from 2 to 5% more of your selling price. For our example house that could mean over $7,000.
The upside is that you are listed on the MLS and the downside is that you have the same costs and time delays as with the âtraditionalâ method. Since a discount realtor provides limited services it could mean that your house for sale could take even longer to sell. This is a more cost effective method as long as you have time to invest and you donât have to sell right away.
Option 3: Selling your house to a Real Estate Investor
Real Estate Investors have significant cash flow and are looking to buy houses in any market, in any price range and in âas is conditionâ. Typically Real Estate Investors buy a home for 80 to 90% of its fair market value. Homeowners pay no closing costs, never pay commission, and can get an offer for free without obligation in as little as 24 hours.
Using this method, a homeowner could net or keep more than using the traditional method. Another benefit of selling your house to an investor is that you sell in 7 days and can also ask for a cash offer. That is why this option for selling a home is increasing quickly in popularity over the last decade. The buyers are flexible, if you donât want to close for 2 months-no problem, just give them your time table.
The negative of selling to a real estate investor is the risk of scam artists. Eliminate that risk by using a reputable, honest company such as Webuyallhomescash.com. Their compassionate staff can make selling your home easy and stress free so that you can move on with your life.
There are numerous options for selling your house in todayâs market. Be sure to review all of your options to decide which method is the best fit for you and your current situation. âNon traditionalâ methods as they are referred to are becoming more and more popular because they offer a great solution and at times even a better deal than using a traditional realtor. If you need to sell your house take two minutes and get a quote from http://www.webuyallhomescash.com you have nothing to loseâ¦except time, money, and possibly even your house.