So, you have decided to sell your home. Do you try to sell it yourself or use a real estate agent?  Although the idea of saving big commission fees looks attractive, the amount you could potentially lose in the process will offset any money saved.  Before you consider trying to sell your home on your own, please consider these points.

1. Multiple Listing Service
By far the biggest advantage to using a brokerage to list your home is getting your property listed on the local MLS.  This searchable site allows potential buyers and agents to input specific details and find properties that meet their search criteria.  MLS sites are  the best way to advertise the sale of your property.  Since the majority of MLS sites are hosted by the local real estate agencies, you can only have your property listed if you have a real estate agent.

2. Time
When you hire a listing agent, you are paying for their expertise and time.  You do not have to be available at the property every time a potential buyer or agent wants to see it.  You also don’t have to spend time on the phone or email answering questions; your agent handles all of this. If you work irregular hours or have kids, this is most likely invaluable.

Speaking of time, homes that are listed for sale by the owner tend to sit on the market much longer than those listed by an agent.  It is in the agent’s best interest to sell your property quickly, as they are investing not only their time, but the typical the agent pays any advertising costs as well.  Attempting to sell your property on your own will take you additional time, which means additional mortgage payments.

3. Closing
Once you have a potential buyer, the next step is negotiating the sale.  Having a good agent in your corner is invaluable.  Attempting to negotiate your own sale can be nerve-wracking and you could wind up settling for a lower price, just because you are afraid to lose the buyer.

4. What to Look For
When you hire a real estate agent, you’re trusting them to represent possibly the largest sale transaction of your life.  This is not the time to give your cousin’s best friend who just got her license a shot…  Here are some tips on picking the right agent:

• Referrals – ask everyone you trust who has recently sold or purchased a property and find out which agents fit your needs best.
• Selling History – Do not be afraid to ask for their selling history as well as specific deals with starting price versus closing price and references.
• Web Site – Do they have a nice looking website to advertise your home?
• Strategy – Find out what the strategy is to sell your home.  Do they plan on having an open house, advertise on multiple sites, etc…?
• Personality – Do you even like them?  It is important that you not only trust your agent, but like them. If you feel creeped out by him so will potential buyers.

Ultimately, you can decide to go it alone, but most people who do eventually wind up hiring an agent anyway.  Although the commission fees may seem steep, a good agent will deserve every penny.

Ashley Hopkins gets great advice on real estate at Iowa City Real Estate.