As we approach the end of 2023, homeowners and potential sellers are gearing up for the real estate market in 2024. This blog post will delve into FSBOs (For Sale by Owner) and why having a real estate agent is crucial for an outstanding and stress-free home-selling experience.

The Clever Real Estate Survey Insights:

Satisfaction Disparity:

A recent survey conducted by Clever Real Estate reveals a significant disparity in satisfaction levels between home sellers who opted for professional representation and those who chose to go it alone. According to the survey of 1,000 home sellers in 2022 and 2023, those who did not use a real estate agent were twice as likely to express dissatisfaction with their selling experience.

Source: Clever Real Estate Survey, 2022-2023

Financial Implications:

Sellers who ventured into the market without a real estate agent reported a lower satisfaction rate and admitted to financial setbacks. The survey found that unrepresented sellers were three times more likely to say they lost money on their home sale than those who enlisted a professional agent's services.

Source: Clever Real Estate Survey, 2022-2023

Process Challenges for FSBOs:

The challenges faced by FSBOs and non-agent sellers were numerous, with more than a third admitting that the process was more difficult than anticipated. Key challenges included:

• Buyer Distrust: 43% of non-agent sellers reported that buyers distrusted them due to the absence of an agent.
• Contract Confusion: 40% needed help understanding the complexities of their contract.
• Legal Mistakes: 36% made legal mistakes, underscoring the importance of professional guidance.

Source: Clever Real Estate Survey, 2022-2023

Financial Comparisons:

Lower Sales Price:

The financial implications of selling without a real estate agent were stark. The survey found that those who sold with an agent earned an average of $46,603 more in profits than those who opted for a solo selling approach. Additionally, about half of unrepresented sellers expressed regret about their pricing strategy.

Source: Clever Real Estate Survey, 2022-2023

Longer Selling Process:

Ironically, homeowners who chose to sell without an agent to expedite the selling process ended up experiencing the opposite. They were nearly twice as likely to report not accepting an offer for at least three months as those who used an agent.

Source: Clever Real Estate Survey, 2022-2023

Increased Stress Levels:

The emotional toll of going it alone in the real estate market was evident, with 50% of unrepresented sellers admitting to crying during the process. On the contrary, those who hired an agent were more likely to express satisfaction and reported feeling less stressed throughout the sale.

Source: Clever Real Estate Survey, 2022-2023

Real Estate Agents vs. FSBO Statistics:

Despite the increasing prevalence of online home searches, the importance of real estate agents remains paramount. The National Association of REALTORS®' 2023 Profile of Home Buyers and Sellers revealed that 89% of buyers and sellers used a real estate agent in the last year, highlighting the continued trust in professional representation.

Source: National Association of REALTORS®' 2023 Profile of Home Buyers and Sellers

Conclusion:

While the allure of FSBOs may seem tempting, the Clever Real Estate survey and industry statistics underscore the importance of having a professional real estate agent. The financial gains, streamlined processes, and reduced stress associated with using an agent far outweigh the risks and challenges reported by those who chose to navigate the real estate market alone. As we head into 2024, consider the invaluable expertise and support a real estate agent brings for a successful and satisfying home-selling experience.