Are you looking to sell your house? There are different ways to do so; two of these ways are through a realtor or a direct buyer. Selling your house can be stressful; let’s look into both options so you can feel confident about your decision to sell your house.
Realtors are real estate profes jisionals who are members of the National Association of Realtors. They must adhere to the Realtor code of ethics and provide ethical and effective service. There are listing agents and buyer’s agents. Listing agents help with the selling process of a home, whereas buyer’s agents help with the buying process of a home.
- Qualifications & Expertise
Each state has its own laws and standards that each realtor must follow. Realtors are required to take a course and pass a written exam to become licensed. This course teaches them how to negotiate, develop contracts, abide by laws and regulations, and perform market research. Both listing and buying agents help their clients with the necessary paperwork, communicate with their clients and any other parties involved, assist with the home inspection process, and aid in the closing process.
- How much money do realtors make?
Most realtors will charge a fee for their services. This commission is typically 5% to 6% of the property’s selling price and is split between the buying and listing agents. These fees are usually paid at closing. Sometimes, their commission rate can be negotiated, so it is important for buyers and sellers to agree to this rate before entering into a real estate contract. Selling real estate is commission-based; if a deal falls through or a house doesn’t sell, a realtor will not make anything.
- Should I use a realtor to sell my house fast?
Typically, a selling process through a realtor will take around three and a half months. It will take about two months to receive an offer and around a month and a half to go through the closing process. Some ways to speed up the process include choosing an experienced realtor, setting a competitive price, cleaning and decluttering your home, updating or doing maintenance in your home, staging your home, and taking professional photos of your home. These all have time commitments and costs as well.
Often known as ‘iBuyers,’ these buyers are typically corporate entities who directly buy seller’s houses with their own money, venture capitalist funds, Wall Street-backed funds, or a mixture of these. The process for a direct buyer is typically faster because they use cash to buy directly from the seller.
- Reasons to choose a direct buyer
There are many reasons why you might want to sell your house to a direct buyer: you are worried about foreclosure, the house needs a lot of maintenance, you have inherited a house, you want to sell your house fast, or you want to avoid commissions and fees.
If you are worried about foreclosure, selling your house to a direct buyer can be your best option. Foreclosure is a long process and can extremely damage your credit score. It is best to avoid the negative consequences by selling your house fast. Direct buyers are able to buy your home quickly and help you get out of this unfavorable situation.
If your house needs a lot of repairs or updates, a direct buyer might be your best choice. Typically, direct buyers will buy your home in as-is condition, meaning you won’t have to spend money and time to complete any maintenance work on your house. This can save you a lot of money and allow you to sell your house fast.
If you have inherited a home and don’t want to keep the property, a direct buyer will provide you with an opportunity to sell your new house fast. This can help you avoid the hassle and cost of inheriting a home you don’t want.
- Fast Sale
Direct buyers are the best option if you are in a hurry to sell your house. Maybe you got a new job and need to move or just want to start a new chapter in your life. Selling your house fast is not guaranteed with a realtor, but a direct buyer can close on a home in a few days. You are getting the money you need as fast as possible.
- Avoid Fees
Realtors charge commission fees for their services; you can avoid paying these fees by selling directly to a buyer. Direct buyers don’t charge fees when buying a home, meaning you can save more money from selling your house.
How does the direct buying process work?
The process of selling your house to a direct buyer is typically short and simple. The first step is to find a direct buying company that you would like to sell to. Once you have chosen a direct buyer, the company will determine their cash offer based on the property. The direct buyers will offer you their price, and you will have to agree to it. If you agree to their cash offer, you will start the closing process with the direct buyer. The whole process can take only a few days to complete and is more simple than traditional selling methods.
Which Process Will You Choose?
Both options of using a realtor or a direct buyer are valid, it really depends on your circumstances to choose the best one for you. If you want someone to help you through the process of selling your house, you may want to work with a realtor. Remember, you will owe them a commission fee once your house is sold. If you want to sell your house fast and receive cash quickly, you may want to consider a direct buyer. The choice is up to you, hopefully the comparisons in this article will help you make your decision.