Real estate is a competitive market. When deciding which avenue to pursue when selling your home, you may wonder what percentage of homes are sold by realtors. There are many factors to weigh when determining whether or not you want to list your home with a realtor.
Here’s what you should know about realtors and the housing market before making this decision. Letting a realtor sell your home can be beneficial in many ways. Realtors have years of experience and insider knowledge at their fingertips when it comes to marketing homes for sale.
They also have access to potential buyers and databases with information on what others in the area are asking for homes similar to yours. Read on to learn more about how much realtors can help you sell your home, as well as some potential drawbacks of enlisting the services of a realtor instead of listing it yourself or working with friends, family, or a virtual agent site.
How Many Homes Are Sold by Realtors?
The National Association of Realtors reports that 80% of all homes sold in the U.S. were sold by real estate agents in 2020. This number has been fairly steady over the past decade, although it has been as high as 82%.
It’s also important to note that this percentage includes all types of real estate transactions, including purchases, sales, rentals, and lease investments. The percentage of homes being sold through a realtor, however, varies in different regions of the country.
In places like California, for example, the percentage has been as low as 67%, while in places like the South, East, and Midwest, it’s been as high as 86%.
Why Use a Realtor to Sell Your Home?
If you find your home is not selling, a realtor may be your best option. Realtors have access to a larger number of prospective buyers than you would ever be able to reach on your own.
They can post your listing on various websites and directories as well as work with multiple real estate websites that attract clients looking to buy a home in your area.
This means exposure to a larger number of buyers than you would be able to reach on your own, and you won’t have to go out and approach people at random about your home.
Additionally, realtors often have access to databases that show the current market value for homes in your area. This will help you price your own home at a level that’s competitive with similarly-priced homes in your area.
When Is Using a Realtor Worth It?
If you’re new to selling homes, you probably don’t have a lot of contacts in the real estate industry and may not have the insider knowledge to price your home correctly or navigate the complex process of closing a sale.
A realtor can help you navigate this process and make sure that everything goes smoothly. They can also help you establish a fair price for your home based on the current market. If you have a friend or relative who is a realtor, you might be able to cut down on some of the costs associated with hiring a realtor, such as paying closing costs or listing fees.
If you want to move quickly and get your home sold as soon as possible, hiring a realtor is sometimes the only way to do this. Their access to multiple databases and websites where prospective buyers can find you might be the edge that you need to sell your home quickly.
Which Might Be Better for You: Realtor or FSBO?
This depends on several factors, including how quickly you need to sell your home, how picky you are about who buys it, and how much time and energy you’re willing to put into the process.
If you need to sell your home quickly, hiring a discount realtor may be a great alternative.
Some FSBO statistics show that:
- Only 7% of recent home sales were FSBO this past year.
- FSBOs typically sell for less than other homes. Last year’s median FSBO home sold for $260,000, which is significantly lower than that of agent-assisted homes selling at $318,000.
- The majority of FSBO buyers, 57% knew the buyer of the house.
Summary
Realtors have access to more buyers than you might be able to reach on your own. If you want to sell your home quickly or need help navigating the process, hiring a discount realtor might be a great alternative.
On the other hand, if you’re willing to wait for a longer sales cycle and don’t care who buys your home as long as they pay the asking price, going with a For Sale By Owner might be your best bet.