The Real Pros and Cons of Selling by Owner
The biggest advantage of FSBO is avoiding the listing agent’s commission. The agent commissions typically run around 6% total, so that’s significant money.
The catch is you may still need to pay the buyer’s agent commission, another 2.5 to 3%, unless the buyer comes without representation.
However, here’s what you may be giving up:
- Your time: You’ll need to spend many hours every week for showings, calls, paperwork and coordination.
- Your peace of mind: There is no professional backing you up when negotiations get tough.
- Market reach: Limited access to the Multiple Listing Service (MLS) means fewer eyes on your home.
- Your liability risk: One mistake with legal documents can cost you more than you saved.