But are they Different?
Also keep in mind the fees incurred by the sale process — agent’s commission (if you have an agent), closing costs, attorney’s fees and so forth. Factor these numbers into your accounting so that you can have a good idea where you will stand when this process is complete. When many people think of home sales, they think of open houses, of hors d’oeuvres, soft music and strangers walking through a house, asking questions and listening to an agent extol the home’s virtues. An open house is still a popular tool used in home sales, but its usefulness is actually far overrated. According to the National Association of Realtors, only 3 percent of houses are sold through the open house method.
Agents sometimes conduct open houses just for buyer agents where buyer agents arrive in groups (“caravans”) and check out the house. With all of the benefits that come with using an agent, there are some drawbacks. Usually, only subscribing agents can list properties, though in some cases home sellers can pay a fee to list their property. This is usually a quick process, is more convenient than a traditional open house and allows buyer agents in the area to tell their clients about your home.
A bridge loan is a special type of loan that, if you have enough equity in your current home, allows you to pay the down payment on a new home. Now that we’ve gone over some basic lessons for selling a home, it’s time to consider an old debate: Do I need a real estate agent or not? Do I Need a Real Estate Agent? For more information, check out our article How Home Equity Loans Works. Do I Need a Real Estate Agent? You may also be able to get a home equity loan in order to help with the dual mortgage payments.
Most importantly, it’s very expensive. Commissions can run up to 6 percent of the house’s sale price, though many agents are willing to negotiate commission, especially in a good housing market. If you’re considering hiring a real estate agent to help you sell your house, you have a choice between a full service agent and a discount service. Working with an agent also requires a certain degree of trust, a willingness to place your most valuable possession in a stranger’s hands and say, “Please help me.” But that, along with letting go of any sentimental attachments you may have to your house, is part of the sale process.
