Homes are worth thousands to millions of dollars and when selling them it can be nerve racking and chin dropping to see what a real estate agent makes on the sale of a home. Real estate agents can make between 2% to 6% on any particular real estate transaction. This typically totals several thousands of dollars if not tens of thousands. So when it comes to homeowners selling their homes themselves it is this one factor that deters them from using a real estate agent.
It is important to remember that it takes money to sell a home. Depending on the property and the extent of the marketing campaign it could cost thousands. Another cost consideration that needs to be addressed is whether or not buyers whom are represented by a real estate agent will be allowed to negotiate for the sale of your home. It is common that the seller pays the commission for the buyer. This could be up to 3% of the sale price. As you can see, depending on what you decide to do, it doesn’t take much to start diminishing the savings of not using a real estate agent.
Read more on Selling Your Home by Owner.
