Middlemen seem to be something that never really made sense. At the end of the day, they existed as a broker between a buyer and seller of anything. Their role though really never seemed necessary yet they still stay strong in many different sectors.
Whether it’s handling investment trading, or even doing wholesale purchases, there is always the option to handle everything on your own.
No need for Brokers
This is especially true when it comes to real estate. There is not a lot of need for you as a seller to need to pay a commission anymore to brokers to find you a buyer. The value that is perceived from using a seller doesn’t seem worth it based on what the cost can be.
Not only does a broker take a percentage-based commission on the overall sale price, but they always may not have your best interests in hand. Their job is to sell your home and maximize the price of the sale. Yet that doesn’t always work in the favor of the seller.
On one hand, the broker may try too hard to get the maximum price, focusing on their commission versus being able to sell the home. The opposite is true as well, where they mistake your desire for a quick sale, with undervaluing your home to make their jobs easier while they still take a cut.
Then there’s always the negotiation usually with the buyer side broker. So there are now two people that are not vested or connected to the home at all, except through a commission, that is discussing pricing using terms such as market volatility or cold housing market as an excuse for the offers that are made.
At the end of the day, it’s your property and it seems almost comical that you need someone else to sell your property for you.
They need it in the best condition possible
Another major issue when using brokers is that they will usually only sell homes in pristine condition. This means that all the repairs and updates need to be done beforehand, and the house needs to be ready to go, even before the selling of it begins.
This can sometimes be difficult depending on what your needs are as a seller and what the current market dictates for it. It can also end up eating up a lot of time for some minor repairs during a really great seller’s market for homes. Losing that opportunity may outweigh the value gained from the repairs.
This doesn’t always stop within the home either. Many realtors and brokers will also use the excuse to have a perfectly manicured lawn and landscaping down outside to bring up the curbside appeal.
This is to help improve the prospect of selling your home according to them. It doesn’t matter if you’re in the highest-priced zip code in the city, to brokers, the way the outside looks is extremely important. It raises the cost of selling one’s home even higher through this additional service.
Sometimes brokers may even outright refuse to work with you if the house isn’t deemed “sellable” by them.
Technology is your friend
Technology is there to help remove the middlemen in so many businesses. There are so many online and digital services that can help you with selling your home directly as a seller. You can completely remove the middleman and only deal with buyers directly, or even only have consideration for all-cash offers.
Also by putting your house up online, it helps connect you to more motivated buyers that are ready to buy your home, without having that feeling that you are having one person check out your home at a time. While this expansive reach helps you get a competitive offer, it helps empower you as well and really pushes away that middleman that seems to get in the way of closing out your deal.
A lot of time can also be saved when using all-cash offers versus using brokers. There’s much less paperwork, and you as a seller don’t have to wait for buyers to get approved for a mortgage or even wait for escrow anymore. That can be sometimes worth always using all-cash offers when selling your home.
Next time you are thinking about selling your property, know that you don’t need to go through a middleman broker, as the costs usually outweigh the advantages of using one. Don’t cause yourself a headache using a third party who primarily has a vested interest in only themselves.