Chicago Real Estate
things to consider before buying or selling
The Chicago homeowners and prospective buyers who frequent this space regularly know that the topic of selling your Chicago home yourself doesn’t appear here often. For one reason, do-it-yourselfers are generally too busy to spend time reading their local Realtor’s® latest commentary—they’re fully occupied with trying to duplicate everything professional offices are organized to do.
The other reason is that the arguments for not selling your home yourself are so often reiterated in other places. They point to “peoples’ choice” statistics like the 92% of homes that sell aren’t FSBOs (For Sale by Owner), or to the 24% higher average selling price typically achieved when a Realtor is on the job. Since the U.S. average real estate commission is 6%, that one is usually decisive.
But there is a third possibility that’s doesn’t get much attention. It falls outside of the selling your home yourself route or the Realtor-assisted one: it’s called “Direct Sale.” When you see ads with promises like We buy your house for cash or We’ll Buy Your Property Fast, they probably lead to one of the direct sales operators. These can be legitimate (although it’s certainly a good idea to make certain that’s the case). When successful, these help owners escape the too-common FSBO result of a home that fails to sell at all.
But in direct sales, the inevitable compensating factor is where you’d expect: at the bottom line. As Bankrate.com politely puts it, “No offense to the owners of such businesses, but they are the lowest of lowball buyers…” Bankrate estimates that they can be expected to offer an average of about 65 cents on the dollar—if an offer is forthcoming. Since most concentrate on markets with the fastest resale potential, homes that may be in disrepair or are otherwise unlikely to sell easily in the traditional open market frequently get their attention.
Given the alternatives, it’s no wonder why teaming with a licensed real estate professional offering the full range of Realtor services usually gets the nod. Since it’s the speed of sale that is the key attraction for Direct Sales outfits, the surest way to escape a painful bottom line is clear: get going early! Call me to discuss!
I am a Chicago Real Estate Broker that loves to show people around the Chicago neighborhoods.