I Need to Sell My House in Dallas-Fort Worth: What Options Have I?
“I need to sell my house.”
There are a million and one reasons this thought might cross the mind.
For some people, it’s because of financial reasons. They can no longer afford the mortgage due to some unforeseen circumstance such as the loss of a job, bad illness or a sudden spike in their home loan rates, sadly forcing them out.
For others, it’s probably because the kids have all grown up and flown out of the nest, leaving behind an empty echo. Others are forced by other life factors such as a strained relationship that precipitates separation.
A change of jobs involving a move to a different city is another common reason why people sell their home, as is an abode that has become too small and is bulging at the seams due to the pressures of a growing family.
Some people never fancy staying in the same property for decades on end. Similarly, some may have outgrown their current neighborhood and need to relocate to a more upscale community. Others are driven by retirement. Others, downsizing to reduce debt.
The driving factors for selling a home are as numerous as there are properties on sale.
Unfortunately, selling a property is never as easy as sticking up a “For Sale” sign outside your front yard and waiting for buyers to come belting along to you.
Options Available When I need to Sell My House
The reasons for selling a property are endless, but not so much the avenues available to you.
Typically, you have three options at your disposal:
- Working with a real estate agent
- Selling the home yourself (aka FSBO)
- Selling to a cash house buyer
The best solution will vary from one seller to the next as everyone is different and their situation is unique. We have discussed each strategy in detail below to help you determine which one might suit your circumstances best.
Using an Agent
Selling a property through a real estate agent is the most popular option there is. That is, if you have no problem sprucing up the place, embarking on the long wait, and possibly a few hiccups along the way.
If I need to sell my house to an agent, the typical process will usually go something like this…
You will get in touch with a real estate agent, informing them of the need to sell. The agent will pay your property a visit to assess how much it might sell for.
Once that is done, the two of you then put pen to paper on the listing agreement (typically on a 6-month window), giving the realtor the right to exclusively represent you.
If you already have some interested parties eyeing your home, it is imperative to keep the agent in the know should that party decide to purchase the property. This is because in the event they do, the agent does not have the right to collect commission – what in real estate speak is known as an exclusionary clause.
You will be required to make the house squeaky clean and carry out any necessary renos before the agent lists the property, one of the avenues of which includes the MLS. If any interested buyer needs to view the property, it is the job of the agent to accompany them for the house visit.
And when a reasonable offer comes along, assuming it works for the two of you, the agent will oversee all the nitty-gritty involved, including taking care of all the paperwork.
He or she will then close the deal, and voila. They will collect their commission (usually in the range of 5 percent to 6 percent) and split it with the agent bringing the buyer.
– Benefits
There are several reasons why you may want to work with a real estate agent.
For one, they take the pressure of selling a property off the owner, doing the dirty work on your behalf. Second, the final selling price is usually higher compared to selling the home yourself or going through a cash buyer.
Another benefit selling through an agent is that they have their finger on the local market pulse, with good access to the MLS as well.
This is a great option for you if you are not in a rush, are prepared to meet the renovation costs to ensure the house is in good shape, and don’t mind forking out the extra fees.
– Downsides
Many sellers prefer this option because of the little headaches involved on their part. But selling through a real estate agent incurs the highest transaction costs – escrow costs, buyer concessions, agent fees and so on.
As well, this strategy takes a longer timeline to dispose of the property, depending on the market.
For Sale By Owner (FSBO)
What would really make me opt for this solution when I need to sell my house, and not go through an agent?
Selling a house yourself has become pretty common nowadays, especially with the emergence of services such as Craiglist, Forsalebyowner.com and all those others.
Listing a property online these days has become duck soup, and a typical FSBO transaction will go something like this…
Assess the market value of your home – sites like Zillow, Trulia or Redfin can help you do this.
Of course, if selling properties is not your daily pastime, this can prove quite the challenge. The alternative is to pay for a broker’s price opinion (BPO) or appraisal to get an accurate estimate. But be sure to get this value from a local expert.
Next, fix the place up – cleaning, painting and carrying out any necessary repairs and/or modifications. Then take high-quality photos (preferably through a standalone camera) and post them online.
You will then need to gather offers that come along, conduct property views and negotiate the sale. After finding a buyer, file the paperwork with an escrow company and close the deal.
If you have a soft spot for sales and marketing or are conversant with the process of buying and selling real estate, this is a great strategy for you. Assuming, obviously, you are in no hurry to dispose of the property and don’t mind incurring the costs of restoring the home to its full glory.
– Benefits
One of the benefits of FSBO is that you don’t incur the commissions that would otherwise have been pocketed by the realtor, or sometimes even the closing costs based on how you structure your transaction.
As well, you are not at the behest of the real estate agent; you remain in total control of the sale process.
– Downsides
The obvious downside of selling your home yourself is that if marketing or sales is not a strong suit of yours, this could be one of the most daunting tasks you ever embark on. If not, real estate agents and brokers would be almost obsolete.
If you are not a “people person”, getting rid of the property could also prove a hard task.
What’s more, not only does this option take a while – probably even longer than the traditional agent route – but also requires time dedication on your part. If you run a full-time job, the process can become protracted because essentially, potential buyers have to work around your schedule, which might not suit every one of them.
Selling to a Cash Buyer
If you find yourself in one of those “I need to sell my house fast” situations, your best bet of disposing of the property is to sell directly to a cash buyer.
This strategy will cut the waiting time drastically, and should the two of you reach an agreement, the transaction will close whenever YOU would like it to close.
A reputable cash buyer, or real estate investor if you prefer, should at least have some references. One way to check this is to ask them for the addresses of the last few properties they bought.
A typical process will often unfold like this…
Contact a local house buyer (like us) and submit information about your property. Depending on the information you have furnished them with, the cash house buyer will make fair offer after coming down to the property to have a look.
When the cash buyer has looked at your house, they will then make arrangements through a reputable escrow/title company, open escrow and from there, it’s case closed.
– Benefits
The best thing about dealing with a cash buyer is that they will take the property off your hands within no time. Works best when you need to sell the house fast or are not prepared to play the reasonable-buyer-waiting game.
They don’t need extensive appraisals, cash buyers, neither will you have to incur carrying costs dealing with them like you would selling conventionally.
As well, you will not be faced with costs typically associated with selling your house, like agent commissions, escrow fees and buyer concessions which can add up to more than 10% of the value of your home.
– Downsides
The one notable downside of selling to a cash buyer is that they don’t pay the full market value. In instances where you need to sell your house fast, however, you will be hard pressed to find a better option.
It could also be argued that the below-market-value price offered by a cash buyer balances out as this option doesn’t incur commissions, escrow fees, buyer concessions or holding costs.
What if I Need to Sell My House in Dallas-Fort Worth?
We buy homes fast, for cash, in any condition. If you need to sell your house in the Dallas area and would be interested in a cash offer, feel free to contact us.