Editor’s note: This is a transcript of the audio file.
If you want to sell your home without paying thousands in commissions, for-sale-by-owner, or FSBO, is one option.
But selling your own home requires a lot of time and effort. I’m Janet Stauble with your Bankrate.com Personal Finance Minute.
Commissions to real estate agents are as high as 6 percent. But owners will still incur costs marketing their property — without a guarantee they’ll find a qualified buyer. It costs up to $400 a month to get a home listed on various sites and in a local MLS.
Instead of handing the keys over to an agent, home sellers have to be available for potential buyers. Be prepared to spend nights and weekends showing homes and making calls.
Even if you avoid paying commissions to a listing agent, expect to pay around 3 percent of the purchase price to the buyer’s agent.
In 2011, 10 percent of homes were for-sale-by-owner sales.
Want to learn more? Log onto Bankrate.com. I’m Janet Stauble.