You are probably thinking of selling your property but are not sure if it is worth selling privately or with the assistance of a real estate team in Calgary.
Personally, we have had the opportunity of selling a house privately in Calgary and with the assistance of a realtor, and we can categorically tell you which is better for successful sales of your property either in Calgary or anywhere in Canada.
In this post, therefore, we will share 5 benefits and 10 Dangers of selling a house privately in Calgary or anywhere in the world plus why you need a broker.
The beauty of this is, every idea shared here was pulled from real-life experience and can be replicated anywhere in the world including Canada.
Let’s get to it:
5 BENEFITS OF SELLING A HOUSE PRIVATELY (WITHOUT A REALTOR)
Obviously there are good benefits of selling a house privately in Calgary or anywhere in the world, and some of them have been outlined below:
1. Potential To Save Money.
Selling your property privately in Calgary will see you cutting on the cost of listing your house with a real estate team. Apart from saving big on the cost of listing your house, you are also in charge of determining how much you will be ready to spend on marketing plus the fact that you won’t be paying any commission to anyone.
2. Potential To Make More Money.
Since you are able to cut on the different costs you would have incurred selling your hose with a realtor, you now have a higher chance of making an additional profit at the end of the sales. Additionally, you can make more from selling your house privately if you are able to sell higher.
3. Potential To Convince A Buyer.
You probably know your property more than every other person (Including realtors). This is likely to be a plus for you when you finally get a buyer for your house. You will be able to outline reasons the buyer should consider buying your property plus the various benefits they stand to gain.
4. Potential To Sell Faster.
As the property owner, you have the potential to sell your house faster since you are able to convince the buyer more. Other positive points you possess include:
- Possessing the legal rights t the property.
- No additional or hidden costs to the buyer.
5. Decision Making
As a private house seller, you own the exclusive right to take several decisions such as:
- when to withdrawal from selling that house in the event that you are no longer interested to sell it, and you won’t be hurting anyone.
- How much you are willing to sell after careful consideration of the market
- The information you are willing to disclose or not.
PAPERWORK TO SELLING A HOUSE BY OWNER.
- Original Sales Contract: This is the original document you collected from the previous landlord.
- Professional Appraisal From The Original Purchase of Your Home: This is the professional assessment of the fair market value of your home which determines how much a mortgage lender will lend to a buyer. To proceed with the sales, you’ll need a brand new appraisal.
- Mortgage Statement (Payoff Amount)
- Homeowners Insurance Records
- Homeowners Association Documents
- Home Repair and Maintenance Records
- Receipts for Capital Improvements
- Manuals and Warranties
- Past Utility Bills
While selling a house privately in Calgary or anywhere in the world may seem like the best idea, have you considered the inherent dangers and why you might need real estate brokers?
Let’s dive right in:
DANGERS OF SELLING A HOUSE PRIVATELY
Obviously, these points mentioned below are worth considering before committing to selling your house without a realtor. The points mentioned below are good reasons you should commit to selling your house with the assistance of a proven real estate organization.
1. Little Industry Experience.
As a house owner willing to sell, you probably have little or no real estate experience. You obviously do not want to be caught on the web trying to sell your property. In recent statistics released by globalpropertyguide for Canada, House prices in Canada’s major cities rose by 9.36% during 2020 (8.33% when adjusted for inflation), the highest since 2016. This is the 12th straight year of house price growth, following y-o-y rises of 1.95% in 2019, 2.51% in 2018, 8.92% in 2017, and 12.25% in 2016.
With the vastness and continuous change in the real estate industry (especially for Canada), it will almost be a suicide mission to venture into selling your property with little industry experience. This is why you need a real estate broker.
2. Potential To Lose Money.
While you are racing to cut costs and make some additional money selling a house privately, you might end up losing some money. As stated above, you need the experience to play in the real estate industry and also to make money selling a property. You may lose money selling your property privately when you do not know the current worth of such properties you are willing to sell.
3. Poor Marketing Experience.
Marketing is a big part of selling a house in Calgary or anywhere in the world. A real estate broker obviously has years of marketing different properties. Without marketing, it might be difficult to get exposure for your property as well as money from selling it.
4. Delayed Sales.
With poor marketing experience, comes delayed sales. The essence of putting up your house for sales is making money, and this can be delayed because of poor marketing experience.
5. Dirty Details.
While you may not be able to put your home-selling paperwork neatly, a realtor (because of the good number of years of experience) will be able to do this. Neat paperwork makes it easier to sell your house, and only a realtor will be able to do this accurately.
6. Legal After-Effects.
Ideally, your house must be in good condition and should not pose potential risks to buyers. Selling a house privately in Calgary without a real estate agent is risky in the face of potential lawsuits. In the unfortunate event that your house causes damage and the buyer sues, you stand the risk of losing your profit. A realtor shields you from legal after-effects because he stands between you and the buyer.
Let’s turn it over to you now.
Will you still be willing to sell your house privately or with the assistance of a real estate broker?
Let’s know your thoughts in the comment section below.