4 Benefits of a Flat Fee Realtor
A flat fee Realtor can be greatly beneficial for anyone looking to sell a home. Getting the expertise and guidance of an agent without the high cost is a win-win. In Colorado, the current median list price is over 424K. Using a traditional agent would cost you upwards of $12,500. That is just the cost to hire a listing agent. If you factor in the buyer agent, this fee skyrockets to $25,000! With real estate agent fees this high, it is easy to see why flat fee real estate has become so popular over the years.
With BlueMatch, the cost of selling a 424K home is only $895. Actually, the cost of selling any priced home with us is only $895. If you think of all the things you could do with that savings, you would be foolish not to use us or a service like ours. Take that dream vacation or build the backyard of your dreams. Why put thousands into the pockets of an agent when you can put it in yours.
Not all Flat Fee Realtors are created equal. Be sure to take your time when shopping for a flat fee realtor. Make sure they have a proven track record. Avoid companies that charge you fees upfront or force you into a contract. If a company or agent is reputable, they will only charge you if they are successful in selling your home. At BlueMatch, we always put our money where our mouth is.
Read the fine print. Look for hidden fees or other stipulations that may be costly. Be sure to avoid gimmicks like additional compensation for selling your home over asking. This is a common trick we have seen with some of the less reputable flat fee Realtors. This is when they get you to agree on a low list price and they get to keep anything over your asking price. Go to Zillow and check how many deals they have done in the past 12 months. Check for how many listings they currently have. If these numbers are low, you may want to explore other options.
If you are thinking of selling your home, here are 4 reasons you should consider using a flat fee Realtor.
Flat Fee Realtors Can Save You Money
This is the most obvious reason people choose to use a flat fee Realtor. Traditional agents can cost thousands of dollars. In some cases, tens or hundreds of thousands of dollars. A flat fee Realtor is usually a fraction of the cost of a traditional agent. At BlueMatch, you can sell your home for as little as $895. Other companies offering flat fee services can range anywhere from $2,500 on up. When you compare this to $10,000 or more, it is a bargain.
If you decide to sell FSBO, BlueMatch is often less expensive than the alternative. In most states we operate in, only a licensed agent or attorney can execute a real estate transaction. Most FSBO’s use a title company to execute their sale. What most of them are unaware of is that title companies often bake in additional fees for FSBO. We have seen these fees add up to hundreds and in some cases thousands of dollars.
You also want to consider contracts and upfront fees when hiring a flat fee agent. Not all flat fee real estate companies are created equal. Some flat fee or discount real estate companies will charge you a non-refundable fee upfront. This should be a huge red flag. If a company is charging you anything upfront, it could be an indication that they may be overpromising services. Flat fee companies worth their weight in gold, only charge when you are successful.
Another area you should be aware of when signing up with a flat fee or discount real estate company is the cancelation policy. It is very common for real estate companies to have you sign 3-12 month contracts with them. In many cases, you are stuck having to work with these companies even if they fail to provide you with quality service. Some of these companies even charge exorbitant fees to break your contract.
If you are signing a contract or listing agreement, make sure that you can cancel your listing at any time for any reason without penalty or fees. A good flat fee real estate company with a good reputation should have no issues honoring this request. If they do not, you should highly consider looking elsewhere. With BlueMatch for example, you can cancel your listing anytime without penalty or fees. Simply send us an email and we will take your listing down within 24 hours. It is as simple as that.
Flat Fee Realtor Can Save You Time
Selling FSBO is always time-consuming. The average home we sell at BlueMatch can take 40 or more man-hours from start to finish. Using a professional not only can improve your outcome, but it can save you time as well. From managing showings to contract negotiations, the entire process can become overwhelming and time-consuming. Not having the proper time allocated can also be costly. Buyers can and will get frustrated if you can’t work within their schedule. Losing a deal because you were no available is never a good thing.
If you are considering listing and selling your home on your own, you should be sure to allocate at least 120 hours to the process. Some people are fortunate and find a buyer very quickly. Others aren’t so lucky. Even if you are able to find a buyer quickly, the process is still very daunting and time-consuming. There is also a chance that your deal will fall out of the contract. This can be very frustrating because it means you will have to start the process all over again.
Starting the real estate process all over again is something you want to avoid if at all possible. When you fall out of contract, your home does not recoup the lost days on market. In some cases, homes can fall out of a contract just days before closing. This scenario can add almost a month of days on market to your listing. Avoiding going over your average days on market greatly reduces your risk of having to price reduce your home in order to sell it.
Flat Fee Realtor Provides Guidance
If selling homes is not your profession, you may want to consider hiring a professional. We go to doctors when we are sick because they have the knowledge and know-how on how to make us better. The same is true when it comes to real estate. A good agent can help you a price, negotiate, and close on your home with ease. They can also provide you with daily or weekly updates on how your listing is performing and create strategies around this data. Pricing is both a science and art. Having the right partner to assist you with this process can make a huge difference in your sales outcome.
The number one reason people fail to sell their home is due to overpricing. Overpricing a home is a very common mistake made in real estate. Overpricing a home often results in a home sitting beyond the average days on market. When this happens, it usually leads to price reductions. The longer a home sits, the more price reductions you will usually have to make. Pricing correctly, in the beginning, can save you both time and money.
As you may have noticed, avoiding going over your average days on market is a common theme.
Flat Fee Realtor Provides Piece of Mind
In today’s day in age, peace of mind is almost as important as a great outcome. Knowing that you didn’t leave money on the table or that you came out ahead in your deal is a nice feeling. When you go to list your home, you want to list with confidence. You want to make sure that someone with the experience and training has helped you price with confidence. Having a licensed professional in your corner makes the experience of home selling smooth and easy.
You also want to make sure that you limit your amount of liability. All licensed agents and brokerages carry insurance that covers you, them and the transaction. Selling alone can expose you to unnecessary risk. The last thing any seller wants to be involved with is a lawsuit that could have been avoided.
About a year ago, a client of BlueMatch was sued by a buyer. Because BlueMatch operates in a compliant way and carries proper E&O insurance, our legal bill was covered. As it turns out, this case ended up being frivolous. If however, our client decided to go a different route and sell FSBO, the legal bill would have been incredibly high. On top of a big legal bill, there is a good chance that it would have settled out of court for a very large sum of money. With so much at stake, why risk it?
flat fee realtors are changing the landscape of the traditional real estate and constantly challenging the status quo. There is a reason they are growing in popularity and why thousands choose to list with companies like BlueMatch every week. If you are thinking of selling your home, consider using a flat fee real estate company like BlueMatch. Save money, time, and most importantly, sell your home for a great price!