It is! And today, a court of law has ruled that 6% is only mandatory because of a criminal conspiracy being perpetrated by the NAR and large real estate brokerages. They just got fined almost $2B. Just sell your home yourself. Hire all the people that your “realtor” does for under $1500 and keep your home equity.
@@davidphones7290 6% is not, nor has it ever been, mandatory. There’s no standard commission. I think throwing around 6% doesn’t help the conversation because comparing 6% commission to 0% isn’t really the right comparison. The vast majority of buyers use realtors, who expect to be paid by the sellers’ commission and won’t show the house if they aren’t being paid for it. So really, you probably have to offer at least 2.5% to a buyer’s agent if you want your house to sell well, quickly, and be shown to good buyers. So the real question is whether you consider an additional 2.5% to be a good value in exchange for a listing agent marketing your listing, putting it on the MLS for more visibility, and negotiating on your behalf. Idk, that’s up to you. And it probably makes more financial sense in the lower priced houses than in the luxury market. 6% of a $200k house is only $12k, which is pretty fair for representation in my opinion, especially if a realtor can get your house sold quicker and for more money. If you’re selling a million dollar property though, you’re looking at $60k and that is absurd. Regardless, it’s unlikely that your house would sell quickly or well with absolutely 0% commission in an open market.
Commission rates are negotiable. If you don't want to pay an agent, then sell your house on your own. I wish you luck trying to list on the MLS, and filling out all the contracts, addendums, and disclosure forms. In addition, I wish you luck not getting scammed by Title Companies, Mortgage Brokers, and Real Estate Attorneys. You'll pay one way or another. Trust me.
@@davidphones7290 It's interesting because Commissions are negotiable between Sellers and Agents. All because an agent says that they're exclusively 6%. doesn't mean you can't shop around and find one that is 4-5%.
Someone who wants to sell their house asks a realtor if he should sell his house without a realtor... and the realtor says "No".... Shocker 2 things: As a seller, the 6% realtor commission comes off the sale price of your home, therefor, YOU as the seller, paid the realtor(s). This guy skirted over that fact like the seller wasn't losing money using a realtor. 2 houses side by side that are virtually identical, and he said the house being sold with a realtor will sell for more simply because the seller used a realtor?! Haha! The market is the market, and the property value is the property value, the realtor is just a tour guide with his hand in the till. This was misguided and biased advice. I hope this caller didnt listen to this guy.
Exactly. And fast forward to today and a court of law has ruled that the entire system that NAR and brokerages put in place and support is a CRIMINAL CONSPIRACY AND ILLEGAL. These people have been stealing from home sellers for decades now. It’s plain old theft, collusion, and market manipulation. DONT USE A REALTOR. You can sell your home yourself for less than $1500. Hire an attorney to draft the contract. Post to the MLS yourself. Hire a company to stage your house. Look at comps online to determine the value. Pay for title services. And just like that, you saved 6% of your hard earned equity from a realtor that literally does almost nothing.
@@apsureacts because you gotta make up that money your paying the listing agent. i'm selling a house for less then i would with a realtor because im not paying that listing agent fee. so therefore the buyer gets a better deal and i pocket the same amount as i would with a listing agent.
Promise you, one way or the other you'll lose that 45k you think you'll save due to being low balled to death. Plus, you still have to pay the buyer agent fee. And if you think you can get away, well be prepared for an even bigger low ball offer.
@@Nemo00013 That's exactly what's wrong with that industry. The absurdity of paying for a buyer's agent who doesn't represent me at all. Its all coming to an end soon and I cant wait. Paper shufflers making way too much with their 6 week course.
@@joegibson6041 exactly, why isn’t the person buying the house pay for the buyers agent half of the Realtor costs? I mean doesn’t that seem fair that if you’re buying a house you should pay for that service and if you’re selling a house you should pay for that service. Why do you have to pay for both when you’re selling a house? Absolutely ridiculous.
@@Nemo00013you’re obviously one of the realtors that is part of the criminal conspiracy to keep commission high. Sorry bud, but the gig is up. Time to make an honest living in a different profession or take a significant pay cut. The law has finally caught up to your scam.
I am one- and that is true. Our industry has a low bar for entry, but a high bar for success. Most fail. 97% by the first license renewal last I checked.
This is entirely unhelpful to answering the man's question. You're just selling him on hiring a realtor, by funneling him through your website, and not answering his question on the commission fees saved and what portion of that is expended on closing the deal (be with a title company, attorney, etc).
I mean I'm not saying this doesn't happen. But how do you know that you priced the house as high as it could be priced? How do you know you didn't miss out on sale price? As much as I figured situation for you I don't think the best advice to give the general population is to sell houses without a realtor. I think that's still bad advice. It's like when people tell me that I should learn how to do car repairs myself and watch UA-cam videos. Yeah I mean that's all well and good, but I don't know what I'm doing and I'm very liable to mess something up even worse and it's going to take forever. So I'm paying a mechanic. Its not worth the risk of a mistake that ruins any benefit
@@random-nz7dy I can agree to a certain extent, except if you grew up around cars and have general knowlege and hire a master mechanic just to tell you what you need to know as a consultant than I would say give it shot if you are going to save 17k. Same with selling a house, you coud hire a realtor or a flat fee MLS company but not to represent you but just to put the house on the MLS and to provide any forms that you may need or answer any questions for a fraction of the cost!
@@random-nz7dy The selling realtor's motivation is not to get the highest sale price. They make far more money buy moving houses as fast as possible. How do you move houses as quickly as possible? By selling them for less than they could by taking a litte more time. Your assumption of getting the highest price by going through a realtor is not correct.
6% of a few thousand more is not important to them when it costs them a little time. They live by the number of houses sold. When they sell their own houses they statistically get 10% more, because all the sudden they care!
He owns a realtor business. 1st house hired an agent. Second house I sold myself and saved 35K. His advice is acceptable 25 years ago. 100% you can sell on your own. Title company cost 2k at the most where I live. Damn send me 500 dollar I will walk u through. Lol
It's not rocket science buying or selling a house without an agent. I've done both. The title agency and closing attorney are more critical to the process.
I wish realtors went away like travel agents. Why should i give my 5-6% of my house to two people who only want to take as much from my pocket. Post it on an MLS and be done with it. My realtors did nothing for me they only did things for their self interest i.e. rushed closings and verbal promises that left me homeless for a month.
It's a ton of work selling it yourself. Rrsearching and tracking comps. dealing with lousey buyer reps that don't do their due diligence, handling the showings etc. I would do it again in a heartbeat because I love the challenge but don't kid yourself. If you think it's easy your wrong. It's a ton of work.
In USA people have just been told to use agent. In europe still a lot of people sell themselves. me as a young lawyer fresh out of university had no problem in buying a house myself without assistance. Did contract myself, talked with banks myself, got the appraisal myself, dealt with notary and court and taxes myself - no problems whatsoever.
Houses in my neighborhood sell for 1.5 Million, they sell in less than 10 days. Id be a fool to pay 6% = $90,000 agent fees, when these homes are selling themselves.
I honestly don’t even see a need for real estate agents nowadays. In my experience most real estate agents are super lazy. All they want to do is show up and collect their commission check. This caller is way too clueless to be able to sell his own home.
@@JustinCase780 Homes are already selling super fast. Most good looking homes in my area sell within 24 hours of posting. The real question is if you can handle the paperwork.
A realtor doesn't sell your house, the house sells itself. Just have it spotless and in good working order for any showings. I don't understand why realtors think they are entitled to a percentage of your 20+ years of hard work for doing a $65/hr job for a few hrs. It's mind boggling.
I generally like Dave's advice but completely disagree with him on this one. All of my personal experience says to skip the selling realtor and save that 3%. Both my brother and I have sold our first homes with a realtor and later homes ourselves and we came out much better when we sold them ourselves. Now, we did say selling realtors are welcome (they get their 3%) from the buyer side because those realtors would never tell their buyers about our house if we didn't do that. This means you save 3%, not 6%. So, personal experience says to sell it yourself (unless you just don't have the time), but there is also a fundamental reason as to why this is the case. The selling realtor's motivation is to sell the house as quickly as possible so they can move on to selling the next one. They make a lot more money by moving homes quickly than they would by taking a bit longer and selling them for 20k more. Look at this math: Let's say a realtor is selling a house that is worth around 350k. The realtor can sell it now for 330k or they can take longer and try to sell it for 350k. So, let's say they can either take longer to sell the one house for 350k or sell two homes for 330k. Let's look at their commission in each case: 1 house for 350k = $10,500 in commission 2 houses for 330k each = $9,900 + $9,900 = $19,800 in commissions It's not even remotely close. Their entire motivation is to sell the house as fast as possible, not to get you the highest sale price. This also comports exactly to my brother's experience and my own. Even when I sold my last house myself, I had a realtor that pretended he was looking for a house and, while "looking", tried to convince me to use him as a realtor. He argued that my price was too high. I sold the house within a week of listing it and at the full price I was asking for. Now, that was in the recent seller's market, but that realtor knew it was a seller's market and still tried to tell me to lower the price. Also note that the buying realtor's motivation is also to close the deal as quickly as possible. They will work on the seller's behalf just as much as the buyers who they purport to work for. In reality, they are working for themselves and just want the process to go smoothly and quickly, which is the same thing you want as a seller. The buyer's agent will help you get the deal done as long as they're getting their 3%.
What Dave Ramsey is saying is the same thing a real estate agent told me...almost word for word...lol but in reality you can learn just like these crooked realtors learned...you don't need an agent....you can learn
For sale by owner. Take bids for thirty days. Have a attorney draft up a as is contract all cash. Thirty day close. These realtors and their companies are all fees and stall contracts. If you are ready to sell, sell for cash immediately. Don't sit and wait for a perfect deal. Less holding costs.
Listen to Dave, pay for a realtor, pay crazy fees for staging, pictures, open houses all fees plus holding costs. For sale by owner. As is. All cash. 14 day closing. Done.
@@Fishouta that's the costs owner's pay while trying to sell a property. Mortgage payments if you have a loan, utilities, property taxes and maintenance. If the realtor takes six months to sell your house you have to pay all costs of keeping the property in excellent condition and all payments up to closing. Usually when you are ready to sell and have something else you want to buy you need all the funds available. Many contracts have a disclaimer that you can't buy another property till the first one is sold because of incurred double payments on two properties.
He already said his agent said $330k and he wants more. So he’s selling himself - why would she underprice it? She wouldn’t - he is already lost and pricing it to high.
Well, if you read Freakonomics, the data shows that when realtors see their own homes, they sell for more. They are getting a portion of 5-7% usually, and on a selling price difference of 10 or 20k, that is not much money in exchange for a fast turnaround. The pay structure for realtors makes it so they usually do not have your interests in mind.
At a 6% commission each side will get 3%. If the realtor listing your home is good they will use 1% to market your home, 1% will go to their brokerage, and 1% will actually go to the agent. After all is said and done that listing agent only walks away from a $350K home sale with $2,625 if they’re 50/50 with their brokerage. The amount of work that goes into handling the entire transaction is well worth that amount.
Absolutely I totally agree with you. This guy is saying that we’re idiots if we sell our house on our own, but I’m saying they are trying to make profit off of us by doing absolutely nothing but advertising our house we can do that ourselves.
Of course, they will discourage you from selling it yourself--because they want that 6 or 7% of the sale price as a commission. The only advantage of selling your home through a realtor is they have access to marketing tools that most people don't have. There are many MLS websites that can advertise your home. They can be available to show your home at any time. But with all the social media sites you can utilize to show your home to a broader group of people. They can also workout credit checks for potential buyers which is something you may have to have your attorney help you to do. But when you add up the commission and closing costs, it can substantially reduce the funds you have to buy your next home. Also, any company that says they'll buy your home-- they are a scam. They will grossly underestimate the value of your home.
YOU DON'T NEED A REALTOR TO SELL YOUR HOUSE!!!! You can get a FLAT FEE MLS BROKER who will list your home on MLS for a flat fee that is what all realtors list homes MLS but make sure the Broker only charges a flat fee and no closing costs it will save you thousands!!!! Its so easy to sell your house yourself just get an AGREEMENT TO SELL REAL ESTATE FORM have you both fill it out and they take it to their mortgage lender and lawyer and thats all!!!! Its the same thing realtors do and they get $20,000 for showing and filling out this form and listing it on MLS? The same thing you can do!!! So don't be HOODWINKED by realtors you don't need them! Realtors are like funeral parlors you don't need them!
@@brycepowell6639 that’s a different discussion An attorney can literally do the sell contract Now of course advertising is not there realm but that can be done via an advertising agency and I’d say less than the commission of an agent
@@brycepowell6639 If that's the case, how come my brother in law got over fifty grand more after dumping his agent who evidently low balled his property by so much it was beyond insulting!?! It's about quick commissions!!! Used car salesmen & agents, two peas in a damn pod!!! You don't go by comps to dictate when an owner paid for work the property required. When you are ripping people off, expect a damn backlash!!!
I sold my first home on my own and would do it again. Sold within the month. I had no problems. You need a lawyer and the buyer should have a contractor who can do any necessary repairs or work so they can negotiate price and then the seller or buyer can get the work done as required or for the buyer as desired. Most buyers don't do this but the bank usually requires an inspection to acquire a mortgage if your not putting anything down.
Might be a fake comment. Feels a little phony. Although selling ones own property is certainly doable & I believe people should, the comment doesn't make enough sense to convince me they are genuine or bright enough.
Well, the biggest problem in this market is finding a great realtor. Not a good one, a great one. I’ve interviewed probably 100 realtors and there was only one, who understood what my needs are. I’ve told them before meeting in person, that they will have an interview with me, not only asking hard facts, but also seeing their Sales qualities. A lot didn’t even show up. My guess is that 90% of realtors are totally worthless, thinking they can make a quick buck. A lots of girlies, all dolled up in heels, selling my farm land. Seriously? Soon, when the markets correct, they are back to their Walmart jobs. It’s really sad what you have to put up with as a seller. For most of us it’s the biggest asset(s) we hold, so we have to be very thoughtful who we’ll trust selling it.
Real estate attorneys do more than just the closing. I always send all listing agreements and contract to my real estate attorney for review before signing.
This was a puff piece, phony, designed out of desperation to spread last effort propaganda agents are still something of worth. They are obsolete and dirtbags, they only have themselves to blame for the fact people do not want them. They hurt every avenue. Not only myself but so many people I know would have been A LOT better off without them!!! My brother in law would have been out over fifty grand had he priced where the jerk agent insisted, oh yeah based on "comps", biggest SCAM going.
@@jrwntctv8091 are you British or something? Lawyers are lawyers in America, not solicitors. Stop replying to everyone comment saying "solicitor this solicitor that."
Was not surprised when he recommended his own company. The people to ask would be someone who successfully sold their own house. You ask a Realtor, of course they are going to say you need to use a Realtor.
Interviewing realtors is dubious at best. You can ask all the questions you want, but results will vary. If you know the right questions to ask, and acceptable answers, then you’re probably as qualified as the realtor to sell your house. FSBO
LULZ … good advice says the realtor about a video for a guy who owns a real estate company whether sellers should use real estate agents. Up next… Butchers say vegetarian diets are to be avoided at all costs
These days with inventory so low, I can’t imagine it being difficult to sell. Most homes go for over asking, so I highly doubt you won’t get what you want right now.
And a real estate agent does not sell the home. The home sells the home. The agent does all the paperwork, advising, and negotiations for you especially during the inspection period. Well worth it.
@@Fishouta NOT when they give the most moronic dictations that defy human logic. Coupled with the insults, abuse, low balling, is precisely why most aren't successful, becoming obsolete.
Ok he made $5000 more using a Realtor as oppose to not. Based on the example he gave. That's not good because you're still giving her $20,000. Man I feel you how do you cut out the Realtor?
Once you bought one or two houses and understand the process you can do it all yourself. The only value a RE agent provides is access to list on the MLS, but there are companies now that will do it for a flat fee.
Why do i need to be concerned about marketing a house well, when literally every half decent listing gets 10 offers and sells over ask in a week? You need marketing to the extent you need marketing help to sell your product. The guy selling hot dogs on a busy street with a line doesnt need to pay for marketing. That would be quite funny if someone convinced him he did.
Car dealers and realtors have one thing in common… both will be obsolete or model will drastically change in next few years. I call a difference of selling it for 335 vs 300 with just realtor in picture a dated analogy.
Just sold 2 houses, through a real estate agent, she suggested price from 90 to 115 thousand price according with area price range for other sells in the area, I was not satisfied with those prices I suggested 125 and 130 price per house, she agreed, sold the house in less than a week full price, so she was to low,I could get more maybe, so how you explain this?
Lol.. Our course Dave going to side in the real estate agents. If you can sell it without an agent do it don't give tens of thousands of dollars to somebody else complete rip off
I had a Keller Williams agent say he would not list my house for more than 185K back in 2013 in rural PA. I sold it myself for 312K. Ramsey knows zero about RE.
I would love for Dave Ramsey to have someone on his panel that has a counterpoint to him just once. I’m not saying I disagree with his views on this topic specifically but you shouldn’t surround yourself with people that are scared to challenge you once and a while.
Agreed!!! It makes for a dull, boring, predictable, "Yes Man!!!" program. 🙄 This video was clearly contrived with an agenda, sell the agent, they are still holding their worth in value!!! 👌🏻🤭🥴
Not surprised!!! I don't like him. I only watched a few seconds of this to conclude he's out for himself. In fact, this video is fake. Promoting why agents still matter 🙄🥴👌🏻🤮😵💫🤑🤪
I like beying for sale by owner especially when there my Neighbors it's like playing Monopoly. I get the best price and we don't have to wait or pay anyone other than the person who is sealing it. Dave your wrong on getting an agent.
Guy says you're going to screw up the sales contract without an RE agent.... only one minute after saying the RE attorney takes care of the sales contract. Poor bastard on the phone was used a pawn for another persons benefit.
In this market, buyers are giving low ball offers and sellers agents are pressuring owners to drop their price to match comps that may not even be comps- a 2 bed, 1 bath 900 sqft home is not a comp for a 7 bed, 4 bath 3400 sqft home. But because it’s the most recent sold in the neighborhood that’s your comp further they’re no longer using price per square footage to price your homes, their using how much the home sold for. Owners in this market can’t afford realtors. Pay for the flat listing fee and get a title company. You can offer buyers agent 1-2% and lower your asking price 1-2 percent and still come out better than you would paying the 6% and still being convinced to lower your asking price by an agent that purportedly works for you.
Sold my last house myself. We first got an appraisal then added 3% to the appraised value and advertised it as 3% to selling agent. Put up some open house signs, and it sold in 3 hours. The person who bought it didn't have an agent so we made an additional 3 percent on the sale.
What gets me is the broker fee is often the same no matter what the sale price is. Why is that? The fee is much higher if you're selling a million dollar house.
@@laneblount9888 I did the same use The Title company i bought the house 8 years ago saved a lot of money . now i am selling my house myself i post it on Zillow FSBO trying to get a buyer and save money again
All you got to do is put on flat fee MLS for market value and offer 3.5 To 4% buyer agent commission, and expect list price. What the last one sold for. Pure FSBO is hard because agents won’t bring buyers; they just won’t. So you can save 2.5 or 2% tops, but that’s about it. And while you will save, you will still have more days on MLS, because agents still, even with a 3.5% commission and 4% will be reluctant to bring buyers. It’s like a strike breaker, bringing someone to a FSBO to work with what they consider an amateur.
I agree with this. I honestly hadn't thought of it this way. What you're buying is connections, picture, expert advise on selling the house - comps that are priced correctly for your home. 6% is so much money....but I don't want to loose 12% or more because I don't know what a good real estate agent knows.
The only thing you need to avoid is the realtor you need to find the phone number of the owner who selling this house and offer him to save on the realtor's fees!
First I negotiate a lower commission. I always pay cash,never pay closing fees. Then If my agent has both sides of the deal. I tell agent he's giving me $5k bonus. It works every time. A great agent will bring buyer to the table. I would never attempt without agent
@@David-wo9un really? I never thought about that when he gives advice. I do know most callers, should be calling Dr. Laura and vice versa when it comes to marriage and finances.
Bad advice in this video. Houses are selling in my area before they are listed. The idiots that call an agent are paying them tens of thousands to do literally nothing. Agents are useless.
We called a realtor to sell our home..they said they could sell it for $299,000 I said no $399,000. It sold for $3,99,000 the day it was listed. Sell your own homes people. It's YOUR home. You put that money into YOUR pocket! Not someone else's.
Sorry . . this assumes I don't know what I'm doing when I sell my own house. Dave can be condescending at times. He flat out insulted the guy . . and I have heard him do it over the years . . I stopped listening to him because of it! As a mortgage officer and investor . . I can prepare and show a house as well as a realtor . . in fact maybe better. I did it for years. You don't need a realtor . . only a closing attorney for title work, etc. For me . . it's simply a matter of getting the right exposure in the market to draw in potential buyers. I am quite capable of getting the same $$ for my home a realtor would . . so the additional 6 percent cost going to a realtor doesn't help me. It costs me.
An adult doesn't need another adult's permission to sell their property. Do what you please, sir. But note that most realtors won't even bring their clients to you unless you pay them a percentage from the sale.
So adults can't ask for advice? "Do what you please, sir." Sounds like YOLO advice, not a responsible way of doing business because it doesn't take into consideration the caller may have no idea what they are doing.
@@orangemountain457 Dave may have made this sound complicated but it's not. Get the sales contract done with the lawyer and pick a title company so that they can check for any leins on the property. The attorney will let you know of any documents you need by the state. It saves thousands of dollars cutting out the realtor. With a little research, he can figure it out on his own. People bought and sold their own property way before realtors ever existed and somehow it worked. 🙃
He said time on the market is longer by doing "Sale By Owner" This is false. 2 Houses on my block went up for sale winter of 2022 with a realtor, neither house sold. Both owners of those 2 house decided to "Sale By Owner" ...One owner ditched the realtor and put his home up for sale "Sale By Owner" in January 2024....the house sold in one and a half months, he got what he was asking for. Same with the other owner he put his house up "Sale By Owner" and sold within 2 months. He also got what he was asking for. Good luck everyone. Realtors are not always the best way to go, and 6 percent is outrageous for a realtor agent!
Dave is good at finances. But he is DEAD WRONG on this... now more than anytime in history, you should always do for sale by owner. With access to multiple real estate apps that make finding comparable houses that have recently sold insanely easy, you can get your price dead on accurate. With social media being such a large part of our society and easy to use, marketing is also a cinch. With phone camera being such good quality and having access to UA-cam videos, it's easier than ever to professionally market your house and create demand for it. I sold my own house at above 90th percentile of comparable market prices. It took less than a weeks worth of work, INCLUDING the research required to learn how to do it. About 40 hours, 20 hours up front, and 20 hours spread out over a month to complete everything.
Dave makes money selling advertising to real estate agents. I have paid a flat fee to list on the mls on multiple homes, some over 1 million and sold them no problem. If you have any business sense, its not that hard. Dave is used to talking to people with no skills in numbers and deals
Lol forgot the most important point. Through a realtor it’s possible to get financing, fsbo is almost always as is cash only. Not many people walking around with a spare 330k
@EverydayAnimation lenders don't speculate. That's why they require an appraisal. Listing on the MLS has nothing to do with appraisal value or working with a lender.
@@EverydayAnimation many investors buying “cash” are still using loans to get that cash. The cost of that money simply informs how they underwrite the property and how much they can offer for it. UA-cam has a wealth of information on how to get started in real estate. Anyone who really wants it can figure it out.
I tried to buy a "for sale by owner" property. Me eg again. I even agreed to pay the realty fees for them. They didn't know how things worked. We had to walk away after the home insurance was so bad and they wouldn't fix extreme low water pressure, mold and all the utilities were bad and more. We offered to pay half the fixes. They refused it all. We walked away. Now they need to disclose it to future buyers. Been on the math a year in a hot market. Nuts.
I live near winter park village ,FL i am posting my single familg house on sale by owner directly i am not using any realtor or agent i am looking for a buyer . the Title company does all the paper work . And that how i bought my house 8 years a go directly from the owner of that house and saved a lot of money . I am willing to do the same as a seller
What about vacant land? My mom has one vacant land and I own another one. We want to sell it so I can help my mom get property with all the services and get a manufactured home set on it. Time is ticking! She is 71. A real estate agent said the land would sell currently between 10 to 15k. I need cash on both properties so we can get her dream home started asap!! Should we use a realnestate agent?
Moral of the story is to not take advice about real estate agents from a guy that owns a real estate company🤣
🤣🤣🤣
Facts 😆😆😆😅🤣
Like asking a drug dealer if you should go to the pharmacy 😂
@@bloodbankjiujitsu1599Hilarious
I would have already hung up.
6 percent is ridiculous for an agent
It is! And today, a court of law has ruled that 6% is only mandatory because of a criminal conspiracy being perpetrated by the NAR and large real estate brokerages. They just got fined almost $2B.
Just sell your home yourself. Hire all the people that your “realtor” does for under $1500 and keep your home equity.
@@davidphones7290 6% is not, nor has it ever been, mandatory. There’s no standard commission.
I think throwing around 6% doesn’t help the conversation because comparing 6% commission to 0% isn’t really the right comparison. The vast majority of buyers use realtors, who expect to be paid by the sellers’ commission and won’t show the house if they aren’t being paid for it. So really, you probably have to offer at least 2.5% to a buyer’s agent if you want your house to sell well, quickly, and be shown to good buyers. So the real question is whether you consider an additional 2.5% to be a good value in exchange for a listing agent marketing your listing, putting it on the MLS for more visibility, and negotiating on your behalf. Idk, that’s up to you. And it probably makes more financial sense in the lower priced houses than in the luxury market. 6% of a $200k house is only $12k, which is pretty fair for representation in my opinion, especially if a realtor can get your house sold quicker and for more money. If you’re selling a million dollar property though, you’re looking at $60k and that is absurd. Regardless, it’s unlikely that your house would sell quickly or well with absolutely 0% commission in an open market.
Commission rates are negotiable. If you don't want to pay an agent, then sell your house on your own. I wish you luck trying to list on the MLS, and filling out all the contracts, addendums, and disclosure forms. In addition, I wish you luck not getting scammed by Title Companies, Mortgage Brokers, and Real Estate Attorneys. You'll pay one way or another. Trust me.
@@davidphones7290 It's interesting because Commissions are negotiable between Sellers and Agents. All because an agent says that they're exclusively 6%. doesn't mean you can't shop around and find one that is 4-5%.
@@Nemo00013 hi realtor.....I can see your scam from here!
Someone who wants to sell their house asks a realtor if he should sell his house without a realtor... and the realtor says "No".... Shocker
2 things:
As a seller, the 6% realtor commission comes off the sale price of your home, therefor, YOU as the seller, paid the realtor(s). This guy skirted over that fact like the seller wasn't losing money using a realtor.
2 houses side by side that are virtually identical, and he said the house being sold with a realtor will sell for more simply because the seller used a realtor?! Haha! The market is the market, and the property value is the property value, the realtor is just a tour guide with his hand in the till.
This was misguided and biased advice. I hope this caller didnt listen to this guy.
It's fake. A puff piece on why parasites are still needed in our society.
Exactly. And fast forward to today and a court of law has ruled that the entire system that NAR and brokerages put in place and support is a CRIMINAL CONSPIRACY AND ILLEGAL. These people have been stealing from home sellers for decades now. It’s plain old theft, collusion, and market manipulation.
DONT USE A REALTOR. You can sell your home yourself for less than $1500. Hire an attorney to draft the contract. Post to the MLS yourself. Hire a company to stage your house. Look at comps online to determine the value. Pay for title services. And just like that, you saved 6% of your hard earned equity from a realtor that literally does almost nothing.
FSBOs actually statistically sell for less
@@apsureacts because you gotta make up that money your paying the listing agent. i'm selling a house for less then i would with a realtor because im not paying that listing agent fee. so therefore the buyer gets a better deal and i pocket the same amount as i would with a listing agent.
@@apsureacts Not true look up Illusion of Truth
Title does EVERYTHING. You just negotiate, put in a great description and awesome pictures! Always sell yourself.
Asking Dave if you should use a realtor is like asking a bankruptcy lawyer if you should file for bankruptcy.
Agreed Ramsey isn't really answering the guy's question (word salad).
i agree he is porblably a real state agent that’s why
I refuse to give a couple of agents 45 k for an afternoons work on an 800k property in a city with low inventory. No way.
Promise you, one way or the other you'll lose that 45k you think you'll save due to being low balled to death. Plus, you still have to pay the buyer agent fee. And if you think you can get away, well be prepared for an even bigger low ball offer.
@@Nemo00013 That's exactly what's wrong with that industry. The absurdity of paying for a buyer's agent who doesn't represent me at all. Its all coming to an end soon and I cant wait. Paper shufflers making way too much with their 6 week course.
@@joegibson6041 exactly, why isn’t the person buying the house pay for the buyers agent half of the Realtor costs? I mean doesn’t that seem fair that if you’re buying a house you should pay for that service and if you’re selling a house you should pay for that service. Why do you have to pay for both when you’re selling a house? Absolutely ridiculous.
@@Nemo00013you’re obviously one of the realtors that is part of the criminal conspiracy to keep commission high. Sorry bud, but the gig is up. Time to make an honest living in a different profession or take a significant pay cut. The law has finally caught up to your scam.
@@joegibson6041you don’t pay a buyers agent lol you pay the listing agent and they split it with the buyers agent
Real estate agents are like financial advisors, there's way too many of them. Some are very good and are worth what you pay, many are not.
Its too easy to get the license
Both comments are on the money. Real estate agents are glorified worthless leeches
I am one- and that is true. Our industry has a low bar for entry, but a high bar for success. Most fail. 97% by the first license renewal last I checked.
Asking Dave if you should have a realtor is like asking a Lamborghini sales person if you should buy a Ferrari or mclaren instead 😂
No but really though, you should have a realtor
Spot on
Exactly 🤣
@@charlesg7926 not really
@@Jay-fc4fgif you're not a complete moron and listen to what he says, he tells you that you're not going to get as much money to make it worth it.
This is entirely unhelpful to answering the man's question. You're just selling him on hiring a realtor, by funneling him through your website, and not answering his question on the commission fees saved and what portion of that is expended on closing the deal (be with a title company, attorney, etc).
it was a set up question, all planned
Exactly what I was thinking people sale there house all the time
@OP
It is almost as though Ramsey has a clear vested interest in NOT endorsing or promoting a FSBO housing market.
@@jacobmarley2417 Interesting point. He did make his money in real estate...
We've sold three houses, none with a realtor. But, we did have an attorney, not a relative. Saved a lot of realtor fees.
I mean I'm not saying this doesn't happen. But how do you know that you priced the house as high as it could be priced?
How do you know you didn't miss out on sale price?
As much as I figured situation for you I don't think the best advice to give the general population is to sell houses without a realtor.
I think that's still bad advice.
It's like when people tell me that I should learn how to do car repairs myself and watch UA-cam videos. Yeah I mean that's all well and good, but I don't know what I'm doing and I'm very liable to mess something up even worse and it's going to take forever. So I'm paying a mechanic. Its not worth the risk of a mistake that ruins any benefit
@@random-nz7dy …um, comps!?
@@random-nz7dy I can agree to a certain extent, except if you grew up around cars and have general knowlege and hire a master mechanic just to tell you what you need to know as a consultant than I would say give it shot if you are going to save 17k. Same with selling a house, you coud hire a realtor or a flat fee MLS company but not to represent you but just to put the house on the MLS and to provide any forms that you may need or answer any questions for a fraction of the cost!
@@random-nz7dy
The selling realtor's motivation is not to get the highest sale price. They make far more money buy moving houses as fast as possible. How do you move houses as quickly as possible? By selling them for less than they could by taking a litte more time. Your assumption of getting the highest price by going through a realtor is not correct.
@@Bgrosz1completely incorrect lol
Never found that a realtor gets a higher price for the home. In fact, many low ball the price for a quicker sale.
6% of a few thousand more is not important to them when it costs them a little time. They live by the number of houses sold. When they sell their own houses they statistically get 10% more, because all the sudden they care!
He doesn't sound biased at all.....damn listening to his BS reasons why u CANT sell urself made me realize I CAN sell my self!
lol exactly!
He owns a realtor business. 1st house hired an agent. Second house I sold myself and saved 35K. His advice is acceptable 25 years ago. 100% you can sell on your own. Title company cost 2k at the most where I live. Damn send me 500 dollar I will walk u through. Lol
It's not rocket science buying or selling a house without an agent. I've done both. The title agency and closing attorney are more critical to the process.
How can I learn how to do what you did?
@@Ladyblogtest UA-cam it
100%
I used to be a Realtor and you’re 💯 correct.
Don't hire a real estate agent, waste of 6%, absolutely doing nothing, showing a toilet for $30,000?
I wish realtors went away like travel agents. Why should i give my 5-6% of my house to two people who only want to take as much from my pocket. Post it on an MLS and be done with it. My realtors did nothing for me they only did things for their self interest i.e. rushed closings and verbal promises that left me homeless for a month.
Realtors ARE like Travel Agents; most of them are worthless and are a waste of money but the good ones make the experience so smooth
You usually get what u pay for.. just like hiring a contractor….
Sadly they are either rock stars or losers. One needs to find the hidden gem rock star and it's worth it.
@@JustinCase780they all trash
It's a ton of work selling it yourself. Rrsearching and tracking comps. dealing with lousey buyer reps that don't do their due diligence, handling the showings etc. I would do it again in a heartbeat because I love the challenge but don't kid yourself. If you think it's easy your wrong. It's a ton of work.
Realtors don't do crap to make what they do selling YOUR house! Do it yourself!
In USA people have just been told to use agent. In europe still a lot of people sell themselves. me as a young lawyer fresh out of university had no problem in buying a house myself without assistance. Did contract myself, talked with banks myself, got the appraisal myself, dealt with notary and court and taxes myself - no problems whatsoever.
IN THE NEXT EPISODE, RAMSEY ALSO SAYS YOU'RE NOT SMART ENOUGH TO SELL YOUR OWN CAR EITHER. DO I NEED AN AGENT FOR THAT TOO?😂😂😂😂😂😂😂😂
Houses in my neighborhood sell for 1.5 Million, they sell in less than 10 days. Id be a fool to pay 6% = $90,000 agent fees, when these homes are selling themselves.
I honestly don’t even see a need for real estate agents nowadays. In my experience most real estate agents are super lazy. All they want to do is show up and collect their commission check.
This caller is way too clueless to be able to sell his own home.
Not necessarily. Get a winning rock star and they will sell it fast.
@@JustinCase780 Homes are already selling super fast. Most good looking homes in my area sell within 24 hours of posting. The real question is if you can handle the paperwork.
@@Excalibur2 Where are you that they are selling in a day still? And, Have you sold a house without an agent?
@@JustinCase780 Kansas City area.
@@JustinCase780 agreed. Gotta find a good one though!
so I have to pay a realtor $60,000 to sell my million dollar home. I do not think so.
A realtor doesn't sell your house, the house sells itself. Just have it spotless and in good working order for any showings. I don't understand why realtors think they are entitled to a percentage of your 20+ years of hard work for doing a $65/hr job for a few hrs. It's mind boggling.
I generally like Dave's advice but completely disagree with him on this one.
All of my personal experience says to skip the selling realtor and save that 3%.
Both my brother and I have sold our first homes with a realtor and later homes ourselves and we came out much better when we sold them ourselves.
Now, we did say selling realtors are welcome (they get their 3%) from the buyer side because those realtors would never tell their buyers about our house if we didn't do that. This means you save 3%, not 6%.
So, personal experience says to sell it yourself (unless you just don't have the time), but there is also a fundamental reason as to why this is the case. The selling realtor's motivation is to sell the house as quickly as possible so they can move on to selling the next one. They make a lot more money by moving homes quickly than they would by taking a bit longer and selling them for 20k more. Look at this math:
Let's say a realtor is selling a house that is worth around 350k. The realtor can sell it now for 330k or they can take longer and try to sell it for 350k. So, let's say they can either take longer to sell the one house for 350k or sell two homes for 330k. Let's look at their commission in each case:
1 house for 350k = $10,500 in commission
2 houses for 330k each = $9,900 + $9,900 = $19,800 in commissions
It's not even remotely close.
Their entire motivation is to sell the house as fast as possible, not to get you the highest sale price. This also comports exactly to my brother's experience and my own.
Even when I sold my last house myself, I had a realtor that pretended he was looking for a house and, while "looking", tried to convince me to use him as a realtor. He argued that my price was too high. I sold the house within a week of listing it and at the full price I was asking for. Now, that was in the recent seller's market, but that realtor knew it was a seller's market and still tried to tell me to lower the price.
Also note that the buying realtor's motivation is also to close the deal as quickly as possible. They will work on the seller's behalf just as much as the buyers who they purport to work for. In reality, they are working for themselves and just want the process to go smoothly and quickly, which is the same thing you want as a seller. The buyer's agent will help you get the deal done as long as they're getting their 3%.
Why would he ask a real estate agent this question? Lol. Dave’s all about self interests.
Where was anything he said wrong?
@ricks5876
The excess value generated by agents is wrong. They do not average an extra 3-6% on average
What Dave Ramsey is saying is the same thing a real estate agent told me...almost word for word...lol but in reality you can learn just like these crooked realtors learned...you don't need an agent....you can learn
For sale by owner. Take bids for thirty days. Have a attorney draft up a as is contract all cash. Thirty day close. These realtors and their companies are all fees and stall contracts. If you are ready to sell, sell for cash immediately. Don't sit and wait for a perfect deal. Less holding costs.
Good luck trying to find someone who’s going to drop cash on you.
It’s not impossible, on my last Condo we got a buyer that offered all cash. We sold it right away.
Well you just lost many good buyers with that cash only BS. Here in the UK any decent property is sold with a mortgage.
There is some good information to be found here but these calls are only featured to push the Endorsed Local Providers.
Might be true. I contacted one of his real estate ELPs once and I thought they were pretty bad. I'm a good judge since I used to be in the business.
Listen to Dave, pay for a realtor, pay crazy fees for staging, pictures, open houses all fees plus holding costs. For sale by owner. As is. All cash. 14 day closing. Done.
Get a Redfin realtor they are cheap and can be really good
@@Engineering2AI Redfin is horrible. Nice propaganda. 🤣
And take out your own appendix while you’re at it.
What are holding costs?
@@Fishouta that's the costs owner's pay while trying to sell a property. Mortgage payments if you have a loan, utilities, property taxes and maintenance. If the realtor takes six months to sell your house you have to pay all costs of keeping the property in excellent condition and all payments up to closing. Usually when you are ready to sell and have something else you want to buy you need all the funds available. Many contracts have a disclaimer that you can't buy another property till the first one is sold because of incurred double payments on two properties.
Agents don't have your interest in heart. They want their fees asap
I made a big mistake getting an agent… lucky the 1 year contract I signed expired🎉.. 6% plus fees saved me over $30,000✨
Well was you able to sale it on your own?
1 year contract? 😳 Is that normal? Mine was only about 2 months and that was too long for me with the agent I had🙄 Glad mine expired.
LISTEN TO THIS MAN! REALTORS ARE HUGE HELPS! YALL HEAR HIM RIGHT?!
nonsense
He already said his agent said $330k and he wants more. So he’s selling himself - why would she underprice it? She wouldn’t - he is already lost and pricing it to high.
Yeah, train wreck in the making.
Well, if you read Freakonomics, the data shows that when realtors see their own homes, they sell for more. They are getting a portion of 5-7% usually, and on a selling price difference of 10 or 20k, that is not much money in exchange for a fast turnaround. The pay structure for realtors makes it so they usually do not have your interests in mind.
You can get a valuation from a realtor without using them.
Because she wants the dale more than max $ and the faster the sale, the better
Which is why so many of us want nothing to do with FSBO. They are usually difficult people.
At a 6% commission each side will get 3%. If the realtor listing your home is good they will use 1% to market your home, 1% will go to their brokerage, and 1% will actually go to the agent.
After all is said and done that listing agent only walks away from a $350K home sale with $2,625 if they’re 50/50 with their brokerage.
The amount of work that goes into handling the entire transaction is well worth that amount.
Right. They think you show up and put a sign up and collect a bag of cash. People don't have a clue of how much a great realtor knows.
Absolutely I totally agree with you. This guy is saying that we’re idiots if we sell our house on our own, but I’m saying they are trying to make profit off of us by doing absolutely nothing but advertising our house we can do that ourselves.
Of course, they will discourage you from selling it yourself--because they want that 6 or 7% of the sale price as a commission. The only advantage of selling your home through a realtor is they have access to marketing tools that most people don't have. There are many MLS websites that can advertise your home. They can be available to show your home at any time. But with all the social media sites you can utilize to show your home to a broader group of people. They can also workout credit checks for potential buyers which is something you may have to have your attorney help you to do. But when you add up the commission and closing costs, it can substantially reduce the funds you have to buy your next home. Also, any company that says they'll buy your home-- they are a scam. They will grossly underestimate the value of your home.
If you know what you're doing, get a lawyer. If not, negotiate with a realtor 4% instead of 6%.
YOU DON'T NEED A REALTOR TO SELL YOUR HOUSE!!!! You can get a FLAT FEE MLS BROKER who will list your home on MLS for a flat fee that is what all realtors list homes MLS but make sure the Broker only charges a flat fee and no closing costs it will save you thousands!!!! Its so easy to sell your house yourself just get an AGREEMENT TO SELL REAL ESTATE FORM have you both fill it out and they take it to their mortgage lender and lawyer and thats all!!!! Its the same thing realtors do and they get $20,000 for showing and filling out this form and listing it on MLS? The same thing you can do!!! So don't be HOODWINKED by realtors you don't need them! Realtors are like funeral parlors you don't need them!
Where do you get the form? And how do you transfer the name to the new owner or Does the Mortgage Lender does this?
As soon as he said, he was a realtor. I knew I was getting bad advice. Thank you for the Flat Fee info.
You can use an attorney for the sale contract
Don’t know what Dave is saying
did u even listen. he is saying that a real estate agent will net your more money compared to doing it yourself
@@brycepowell6639 that’s a different discussion
An attorney can literally do the sell contract
Now of course advertising is not there realm but that can be done via an advertising agency and I’d say less than the commission of an agent
@@brycepowell6639 If that's the case, how come my brother in law got over fifty grand more after dumping his agent who evidently low balled his property by so much it was beyond insulting!?! It's about quick commissions!!! Used car salesmen & agents, two peas in a damn pod!!! You don't go by comps to dictate when an owner paid for work the property required. When you are ripping people off, expect a damn backlash!!!
@brycepowell6639
Yeah that is nonsense
I sold my first home on my own and would do it again. Sold within the month. I had no problems. You need a lawyer and the buyer should have a contractor who can do any necessary repairs or work so they can negotiate price and then the seller or buyer can get the work done as required or for the buyer as desired. Most buyers don't do this but the bank usually requires an inspection to acquire a mortgage if your not putting anything down.
But Dave would say you could have gotten more 🤣🤣🤣
How did you advertise your home when you sold as the owner?
@@Pepper-rn4hh social media, internet sites, sign posted
I can tell you already you didn't know what you were doing.
Might be a fake comment. Feels a little phony. Although selling ones own property is certainly doable & I believe people should, the comment doesn't make enough sense to convince me they are genuine or bright enough.
How did he say this with a straight face?
Well, the biggest problem in this market is finding a great realtor. Not a good one, a great one. I’ve interviewed probably 100 realtors and there was only one, who understood what my needs are. I’ve told them before meeting in person, that they will have an interview with me, not only asking hard facts, but also seeing their Sales qualities. A lot didn’t even show up. My guess is that 90% of realtors are totally worthless, thinking they can make a quick buck. A lots of girlies, all dolled up in heels, selling my farm land. Seriously? Soon, when the markets correct, they are back to their Walmart jobs. It’s really sad what you have to put up with as a seller. For most of us it’s the biggest asset(s) we hold, so we have to be very thoughtful who we’ll trust selling it.
Real estate attorneys do more than just the closing. I always send all listing agreements and contract to my real estate attorney for review before signing.
Of course he would recommend getting a real estate agent! You should be smart enough to know who and what you are asking.
He admitted he owns a Real Estate company; if he owned a car dealership he would dissuade buying from a private party.
This was a puff piece, phony, designed out of desperation to spread last effort propaganda agents are still something of worth. They are obsolete and dirtbags, they only have themselves to blame for the fact people do not want them. They hurt every avenue. Not only myself but so many people I know would have been A LOT better off without them!!! My brother in law would have been out over fifty grand had he priced where the jerk agent insisted, oh yeah based on "comps", biggest SCAM going.
In New York the attorney draws contracts, not the agent
You mean the solicitor?
@@jrwntctv8091 are you British or something? Lawyers are lawyers in America, not solicitors. Stop replying to everyone comment saying "solicitor this solicitor that."
@@nunyabidnes6010 I'm from one of the many countries better than the USA.
Was not surprised when he recommended his own company. The people to ask would be someone who successfully sold their own house. You ask a Realtor, of course they are going to say you need to use a Realtor.
This guy most definitely wasn’t happy with Dave’s answer. Dave’s suggestion about interviewing agents is spot on, too many don’t.
He wanted Dave to be his YES MAN 😂
Interviewing realtors is dubious at best. You can ask all the questions you want, but results will vary. If you know the right questions to ask, and acceptable answers, then you’re probably as qualified as the realtor to sell your house. FSBO
Staging fees are always extra and not part of the realtor commission. Usual fee 5-7 grand.
I know why people wouldn't want to use a realtor, but at didn't have the time or the energy to deal with the purchase of the house ourselves.
“This isn’t amateur hour.” “Let the pros do it.” My favorite quotes of the video…. Thank you for the good advice Dave. 👍
LULZ … good advice says the realtor about a video for a guy who owns a real estate company whether sellers should use real estate agents.
Up next… Butchers say vegetarian diets are to be avoided at all costs
These days with inventory so low, I can’t imagine it being difficult to sell. Most homes go for over asking, so I highly doubt you won’t get what you want right now.
And a real estate agent does not sell the home. The home sells the home. The agent does all the paperwork, advising, and negotiations for you especially during the inspection period. Well worth it.
@@Fishouta NOT when they give the most moronic dictations that defy human logic. Coupled with the insults, abuse, low balling, is precisely why most aren't successful, becoming obsolete.
@@melissahouse3488 I have no idea what you are trying to say. Lol.
Oh by the way Dave sells referrals to ELPS.
He should have a disclaimer that the video includes an advertisement
Ok he made $5000 more using a Realtor as oppose to not. Based on the example he gave. That's not good because you're still giving her $20,000. Man I feel you how do you cut out the Realtor?
Asking a real state agent if I should have a real state agent ???
We used realtor once and sold ourselves once. We thought we did a better job. We live in very rural area though. City might be different.
city is easier.
Same here. Selling without an agent involved more work on my part. But, we saved $30k so it was worth it
Once you bought one or two houses and understand the process you can do it all yourself. The only value a RE agent provides is access to list on the MLS, but there are companies now that will do it for a flat fee.
Exactly
Spot on. This is NOT complicated
What companies?
Why do i need to be concerned about marketing a house well, when literally every half decent listing gets 10 offers and sells over ask in a week?
You need marketing to the extent you need marketing help to sell your product. The guy selling hot dogs on a busy street with a line doesnt need to pay for marketing. That would be quite funny if someone convinced him he did.
So if we didn't have realtors, house prices would be lower? Sounds like a good enough argument to me.
Car dealers and realtors have one thing in common… both will be obsolete or model will drastically change in next few years. I call a difference of selling it for 335 vs 300 with just realtor in picture a dated analogy.
Just sold 2 houses, through a real estate agent, she suggested price from 90 to 115 thousand price according with area price range for other sells in the area, I was not satisfied with those prices I suggested 125 and 130 price per house, she agreed, sold the house in less than a week full price, so she was to low,I could get more maybe, so how you explain this?
Lol.. Our course Dave going to side in the real estate agents. If you can sell it without an agent do it don't give tens of thousands of dollars to somebody else complete rip off
If this was any other industry he wouldn't hate em
I had a Keller Williams agent say he would not list my house for more than 185K back in 2013 in rural PA. I sold it myself for 312K. Ramsey knows zero about RE.
Good for you taking matters in your own hand That was very smart of you instead of listening to a Realtor
I would love for Dave Ramsey to have someone on his panel that has a counterpoint to him just once. I’m not saying I disagree with his views on this topic specifically but you shouldn’t surround yourself with people that are scared to challenge you once and a while.
Agreed!!! It makes for a dull, boring, predictable, "Yes Man!!!" program. 🙄 This video was clearly contrived with an agenda, sell the agent, they are still holding their worth in value!!! 👌🏻🤭🥴
I like Dave, but i used one of his recommended elp real estate agent in my area, the agent was a pos
🤣😂🤣
Not surprised!!! I don't like him. I only watched a few seconds of this to conclude he's out for himself. In fact, this video is fake. Promoting why agents still matter 🙄🥴👌🏻🤮😵💫🤑🤪
I used one of his elp for taxes & he was terrible! We paid too much in taxes bc he didn’t know the laws. Poor recommendation from DR!
I like beying for sale by owner especially when there my Neighbors it's like playing Monopoly. I get the best price and we don't have to wait or pay anyone other than the person who is sealing it. Dave your wrong on getting an agent.
Guy says you're going to screw up the sales contract without an RE agent.... only one minute after saying the RE attorney takes care of the sales contract. Poor bastard on the phone was used a pawn for another persons benefit.
Dave didn’t need to be rude and talk down to the caller. And the two of them went on and on, smug about it. Sad….
Caller: Should I sell my house myself so that I don't have to pay a realtor?
Dave: Use your degree in left-handed puppetry and sell the car.
😭😭😭😭
6% is to much. Houses in good neighbors sell fast. It’s a waste of $20-$40k
In this market, buyers are giving low ball offers and sellers agents are pressuring owners to drop their price to match comps that may not even be comps- a 2 bed, 1 bath 900 sqft home is not a comp for a 7 bed, 4 bath 3400 sqft home. But because it’s the most recent sold in the neighborhood that’s your comp further they’re no longer using price per square footage to price your homes, their using how much the home sold for. Owners in this market can’t afford realtors. Pay for the flat listing fee and get a title company. You can offer buyers agent 1-2% and lower your asking price 1-2 percent and still come out better than you would paying the 6% and still being convinced to lower your asking price by an agent that purportedly works for you.
Sold my last house myself. We first got an appraisal then added 3% to the appraised value and advertised it as 3% to selling agent. Put up some open house signs, and it sold in 3 hours. The person who bought it didn't have an agent so we made an additional 3 percent on the sale.
Great advice! lol, I was thinking about selling my own house and now that I'm in the thick of the process Thank God I hired a Realtor 😂
Thanks for selling us on realtors, Dave. 👍
What gets me is the broker fee is often the same no matter what the sale price is. Why is that? The fee is much higher if you're selling a million dollar house.
Why do 97% of all Residential Real Estate sales, in the USA, include a Realtor, and a brokers fee?
Wow sounds very trustworthy advice since he recommends to hire his people so he can get his share , unbelievable
I sold my house by owner and it was super easy. It was a cash buyer so we only had to deal with the title company. But I would definitely do it again
Why didn't you have to have an attorney to draw the sales contract and make sure everything went according to plan?
@@d.g.7582 i did a contract and me and the buyer signed it. Didn’t need to get an attorney involved. It’s much easier than people think
@@laneblount9888
I did the same use The Title company i bought the house 8 years ago saved a lot of money .
now i am selling my house myself i post it on Zillow FSBO trying to get a buyer and save money again
Don't need a realtor. End of story. Go sell your BS somewhere else.
All you got to do is put on flat fee MLS for market value and offer 3.5 To 4% buyer agent commission, and expect list price. What the last one sold for. Pure FSBO is hard because agents won’t bring buyers; they just won’t. So you can save 2.5 or 2% tops, but that’s about it. And while you will save, you will still have more days on MLS, because agents still, even with a 3.5% commission and 4% will be reluctant to bring buyers. It’s like a strike breaker, bringing someone to a FSBO to work with what they consider an amateur.
I agree with this. I honestly hadn't thought of it this way. What you're buying is connections, picture, expert advise on selling the house - comps that are priced correctly for your home. 6% is so much money....but I don't want to loose 12% or more because I don't know what a good real estate agent knows.
The only thing you need to avoid is the realtor you need to find the phone number of the owner who selling this house and offer him to save on the realtor's fees!
First I negotiate a lower commission. I always pay cash,never pay closing fees. Then If my agent has both sides of the deal. I tell agent he's giving me $5k bonus. It works every time. A great agent will bring buyer to the table.
I would never attempt without agent
Caller - Should I sell my House myself? To save money on my proceeds of the sale?
Dave - Does your Wife have a job?
* I was waiting for this response.
If he told Dave the wife thought it was a good idea, Dave would’ve agreed. Dave always sides with the woman.
@@David-wo9un really? I never thought about that when he gives advice. I do know most callers, should be calling Dr. Laura and vice versa when it comes to marriage and finances.
Real estate is the only profession whose salary doubled in the last few years.
Bad advice in this video. Houses are selling in my area before they are listed. The idiots that call an agent are paying them tens of thousands to do literally nothing.
Agents are useless.
We called a realtor to sell our home..they said they could sell it for $299,000 I said no $399,000. It sold for $3,99,000 the day it was listed. Sell your own homes people. It's YOUR home. You put that money into YOUR pocket! Not someone else's.
Sorry . . this assumes I don't know what I'm doing when I sell my own house. Dave can be condescending at times. He flat out insulted the guy . . and I have heard him do it over the years . . I stopped listening to him because of it! As a mortgage officer and investor . . I can prepare and show a house as well as a realtor . . in fact maybe better. I did it for years. You don't need a realtor . . only a closing attorney for title work, etc. For me . . it's simply a matter of getting the right exposure in the market to draw in potential buyers. I am quite capable of getting the same $$ for my home a realtor would . . so the additional 6 percent cost going to a realtor doesn't help me. It costs me.
Most of the ones I ran across were honest and straightforward. I was very surprised.
I'm so glad I read the comments
An adult doesn't need another adult's permission to sell their property. Do what you please, sir. But note that most realtors won't even bring their clients to you unless you pay them a percentage from the sale.
So adults can't ask for advice?
"Do what you please, sir." Sounds like YOLO advice, not a responsible way of doing business because it doesn't take into consideration the caller may have no idea what they are doing.
You have an amazing grasp of the obvious.
@@orangemountain457 Dave may have made this sound complicated but it's not. Get the sales contract done with the lawyer and pick a title company so that they can check for any leins on the property. The attorney will let you know of any documents you need by the state. It saves thousands of dollars cutting out the realtor. With a little research, he can figure it out on his own. People bought and sold their own property way before realtors ever existed and somehow it worked. 🙃
He said time on the market is longer by doing "Sale By Owner" This is false. 2 Houses on my block went up for sale winter of 2022 with a realtor, neither house sold. Both owners of those 2 house decided to "Sale By Owner" ...One owner ditched the realtor and put his home up for sale "Sale By Owner" in January 2024....the house sold in one and a half months, he got what he was asking for. Same with the other owner he put his house up "Sale By Owner" and sold within 2 months. He also got what he was asking for. Good luck everyone. Realtors are not always the best way to go, and 6 percent is outrageous for a realtor agent!
I guess no one heard Dave say he owns/owned a real estate company. His advice is biased.
Dave is good at finances. But he is DEAD WRONG on this... now more than anytime in history, you should always do for sale by owner. With access to multiple real estate apps that make finding comparable houses that have recently sold insanely easy, you can get your price dead on accurate. With social media being such a large part of our society and easy to use, marketing is also a cinch. With phone camera being such good quality and having access to UA-cam videos, it's easier than ever to professionally market your house and create demand for it.
I sold my own house at above 90th percentile of comparable market prices. It took less than a weeks worth of work, INCLUDING the research required to learn how to do it. About 40 hours, 20 hours up front, and 20 hours spread out over a month to complete everything.
What a self-serving discussion. Real estate agents belong on the boat with lawyers etc
Dave makes money selling advertising to real estate agents. I have paid a flat fee to list on the mls on multiple homes, some over 1 million and sold them no problem. If you have any business sense, its not that hard. Dave is used to talking to people with no skills in numbers and deals
Lol forgot the most important point. Through a realtor it’s possible to get financing, fsbo is almost always as is cash only. Not many people walking around with a spare 330k
You are crazy! Anyone buying a home will use a lender.
Not for sale by owner. If it’s not on the mls, it’s tough to get financing. They don’t lend on speculation.
@EverydayAnimation lenders don't speculate. That's why they require an appraisal. Listing on the MLS has nothing to do with appraisal value or working with a lender.
If it’s “as is” and only acceptable payment is cash, that was my point.
@@EverydayAnimation many investors buying “cash” are still using loans to get that cash. The cost of that money simply informs how they underwrite the property and how much they can offer for it. UA-cam has a wealth of information on how to get started in real estate. Anyone who really wants it can figure it out.
This was a AD to Promote Giving Someone 80 Thousand for 1 Day of Work that a Realestate agent does.
Houses sell themselves, if the buyer wants it..they’ll come up with the money. Sell it yourself self and keep your six percent.
I bought my house without any realtor. Best decision I’ve made. Have a good home inspection and you’re good..
I tried to buy a "for sale by owner" property. Me eg again. I even agreed to pay the realty fees for them. They didn't know how things worked. We had to walk away after the home insurance was so bad and they wouldn't fix extreme low water pressure, mold and all the utilities were bad and more. We offered to pay half the fixes. They refused it all. We walked away. Now they need to disclose it to future buyers. Been on the math a year in a hot market. Nuts.
I live near winter park village ,FL
i am posting my single familg house on sale by owner directly i am not using any realtor or agent i am looking for a buyer .
the Title company does all the paper work . And that how i bought my house 8 years a go directly from the owner of that house and saved a lot of money . I am willing to do the same as a seller
What about vacant land? My mom has one vacant land and I own another one. We want to sell it so I can help my mom get property with all the services and get a manufactured home set on it. Time is ticking! She is 71. A real estate agent said the land would sell currently between 10 to 15k. I need cash on both properties so we can get her dream home started asap!! Should we use a realnestate agent?