In 2012, our clients saved an average of $18,500, almost the entire 6% agent commission. On the other hand, people who used a discount broker to list their home on the Multiple Listing Service only saved about $8,600 – half as much. Why? Because they paid 3% to a buyer’s agent to do the paperwork for the transaction.
You need a lot more than an MLS listing to sell your house and close the transaction – correct pricing, marketing and showing, disclosure requirements, buyer prequalification, preparation of the purchase and sale agreement, due diligence negotiations, and the closing.
If you use a discount broker to list your home you’ll have to rely on a buyer’s agent for all that. Not a good idea! First that person is the agent for your bargaining adversary, and second, you – not the buyer – will pay that person a huge sum of money – typically 3% of the sale price – for working the other side of the transaction.
To save the entire 6% commission you need something to replace that buyer’s agent. That “something” is FSBO System, and it actually works better than a buyer’s agent. Most of our clients do not pay a buyer’s agent, and they sell in half the time, double their chance of success, and double their savings compared to people who use a discount broker and pay a buyer’s agent.