Home Sellers Doing It “By Owner” (FSBOs) Are At An All-Time Low… And For Good Reason
January 20, 2018 | Milagro Scardigno PLLC
According to the 2017 National Association of Realtors Profile of Home Buyers and Sellers, FSBOs remain at an all-time low of a paltry 8%… and for good reason.
According to the report, FSBOs typically sell for significantly less than homes represented by an agent. Agent-assisted homes sold for a whopping $60,000 more on average than FSBOs, with a median price of $250,000 compared to FSBOs $190,000.
This huge discrepancy is likely behind the vast majority of sellers seeking qualified agents; in 2017, seller’s use of real estate agents hit an all-time high of 89%.
Data Source: Realtor.com
But sellers aren’t the only ones seeking out agents. Because of historically low inventory (according to Realtor.com’s recent Housing Shortage Report, inventory is the lowest it’s been in 20 years) and the uncertainty of working with FSBOs, buyers are flocking to real estate agents to assist with their home search, with buyer’s use of real estate agents also hitting an all-time high in 2017 if 87%.
Whether you’re buying or selling, the best option is always to work with a real estate agent – and the declining presence of FSBOs on the market just confirms it. So do yourself a favor and find an agent.