Should I List With an Agent or Sell to a Cash Buyer?
This is probably the most honest and straightforward evaluation of whether you should List With An Agent Or Sell To A House Cash Buyer. We are going to answer our top asked question: Should I List My House With An Agent Or Sell It To A Cash Buyer?
A lot of people tend to think that listing with an agent is always the right choice. This is just not true. There are times when listing with an agent is the right thing to do, and times when it's not, or not even a possibility. We are here to point you in the right direction. If listing with an agent is the right solution for you, we'll tell you! We have great connections with Des Moines' best agents.
You should list with an agent if:
- You don't mind waiting the 2 to 6+ months your house will be on the market
- You're able to pay the 2 to 6+ months of holding costs (taxes, lawn maintenance, utilities, insurance, etc)
- Your house is in near-perfect condition with recent updates
- You are in no hurry to sell
- You are ok with putting some work into the house to improve it's appeal (fresh paint, new carpets, landscaping, window coverings & light fixtures, etc)
- You are ok with making the house available to random strangers to walk through and nit-pick what they don't like
- You don't care when your closing takes place
If the above bullets describe you, then list with an agent! You will probably be able to sell the house for a little more by doing those things, instead of selling directly to a cash buyer.
Although it's obvious when to list, it's not as obvious when NOT to list or when to pursue a cash buyer. The only time listing with an agent makes financial sense is when you would still get enough for the house, after all fees and commissions are deducted, to still be on-top while taking into consideration the work, effort, and money it takes to list with the agent.
How do I decide what's best for me?
List With an Agent or Sell to a Cash Buyer?
It depends on your timeline, your funds available, the condition of your house and if you are willing to do the repairs yourself or not.
Listing your house in Central Iowa with an agent is not for everyone. It may be true that an agent will likely be able to get a higher sale price for your house. However, you need to remember that listing with an agent requires the following penalties on your net gain. Make sure you're comparing apples to apples.
- Fees, commissions and closing costs (An Average of nearly 15%)
- Any repairs needed will be used to negotiate against you. No one will pay full-market value for a house that needs work.
- Expenses to professionally clean, stage, photograph, and bump the appeal of the house.
- Holding costs while you wait for a buyer.
- The risk associated with not knowing when a good offer will come through.
Agents will tell you whatever you want to hear to sign a listing agreement with you. I've had to break it to countless sellers that the "Market Analysis" their agent sent them was far too optimistic and the house just isn't worth what the agent told them they could sell it for.
As you can see now, selling to a cash buyer is a very valid option. If you are wondering “I need to sell my house fast” keep this in mind: Cash buyers are not agents and usually there are no closing costs or agent fees to pay. Also purchases are as is, which means there is no need for repairs. Also as cash buyers are dealing with private money, there are no bank approvals and we can close quickly. Think about it before you list with an agent!
If you want to find out how much a cash buyer like us, would offer in cash for your house in Central Iowa before you make a commitment to list it please get in touch with us - even just to explore your options. Call Us! (515) 599-8699
