Here, in the both Hunterdon and Somerset County, home values have stabilized and have risen slightly in the majority of communities (real estate values are local) due primarily to low inventory levels. Many are optimistic about the 2015 market which starts now. daylight hours extend the ability of buyers to view homes after work hours and the interest rates remain at or below 4% which is a prime driver for buying activity.
If you have considered a move, this is a perfect time for you to consider letting the buying population know that your home is for sale by listing it with a full service brokerage like Berkshire Hathaway Home Services NJ Properties. I have noticed a slight increase in home owners attempting to sell their property on their own as a "For Sale by Owner" which I DO NOT recommend. Many that I have talked to say "I want to save the commission" or "I had the house listed before and it didn't sell, so I'll do it myself since Realtors didn't get the job done before".
I can understand the frustration. Selling a home, having it in showing condition, changing your schedule to accommodate appointments, the emotions, the hopes after every showing can be very draining.
Below are a few reasons why it's NOT a good idea to try it on your own:
1.) Buyers search on the internet on many sites such as Realtor.com, Zillow, Trulia, for about 60-90 days before they go out and look. If you home is NOT on "the list" they don't know your a seller. YOU NEED TO BE ON THE LIST! The list is the MLS (Multiple Listing Service) for your area. If you were opening up a shoe store, would you look for a store on a side street or one at a mall where the shoppers are? The MLS is where the shoppers are!
2.) On average, a "For Sale by Owner" receives 15% LESS for their home! Have you ever looked to see how much a car is worth by checking "Kelly Blue Book"? If you have you'll see a few different prices for the exact same car. Give it a try! Put in your own vehicle identification number and you'll see the price for a private sale and a price for a sale from a car dealership where there is a greater sense of security for problem resolution if the car has an issue. The same holds true for YOUR HOME!
3.) Buyers that seek "For Sale By Owner" properties build into their offer the fact that the seller is looking to save the commission and in essence, the buyer looks to receive it via a lower offer. This means that the seller is paying a commission to the buyer! The seller receives NO professional representation, has paid for some sort of advertising out of their pocket, yet has paid a commission! Why would you pay for something that you haven't received?
4.) SECURITY!!! Think about it. You're letting a complete stranger into you home! Are they there to see if your home is right for them or to see if you have a security system, a large dog, a nice sound system, a safe in the closet or a gun collection? Would you hand the keys to your car to a stranger so they can take a test drive while you wait in the driveway for them to return your car? I think not, but it's sort of the same thing by letting strangers into your home.
5.) By having a 3rd party (a Realtor) as the intermediary in negotiations during an emotional time for a buyer and a seller, the emotions felt by each party is buffered. Would you represent yourself in court in a legal action? Even most attorneys will seek counsel from another attorney if they are personally involved in a legal action. Why? In order to keep their emotions out of the proceeding.
These are only a few...there are a host of others. Pre-qualifications of the buyer. Home inspections. House sale contingencies. Lock boxes. Road signage. The list goes on and on.