What are the steps that you need to take in order to sell a house without an agent in Denver? Continue reading to learn more!
Selling a house can be a stressful event for many people, especially if it follows a divorce, foreclosure, bankruptcy or other financial trouble. On top of that, what often adds to the stress is the variety of options to choose from when it comes to deciding on how to sell your property, not always knowing which one is the best.
Without the necessary knowledge or experience in the real estate market, many people are scared that taking the non-realtor route might end up being a costly mistake. However, if you take the right steps, you can actually get an even better deal, especially when considering all the costs associated with real estate agents. In this article, we will take a deeper look at how to sell a house without an agent in Denver.
And now, without further ado, let’s get right into it:
1. Have a good understanding of your options
The first step to sell a house without an agent in Denver is to have a good understanding of the options that you have. By having a clear overview of the different ways in which you can sell your property, you can actually determine whether ditching the realtors may be the right route for you. Some of the most popular options include:
- Selling your home with a real estate agent – of course, this is the most obvious one. It involves using a broker (a middleman) to find potential buyers, and it is often associated with longer negotiations until all parties are satisfied.
- For sale by owner (FSBO) – this is the most common way to sell a house without an agent in Denver, and in general as well. It means that you will be looking for buyers directly without brokers or middlemen, and you will have to take care of listings, showing, etc.
- Selling to a property investor – this is the third most common way of selling your property. This means that, if your home is not market-ready, or you simply want to close the deal faster than you would with using traditional methods, you can sell it to a cash buyer who can purchase it directly from you, such as Ultra Home Buyers.
2. Select the right alternative for your situation
You might have already decided to sell a house without an agent in Denver (or in any other location). However, it is always a good exercise to stop and reflect on the different alternatives that are available to you, and which one would be the best according to your context and situation. Let’s take a look at some possible case scenarios:
2.1. You are in a hurry to sell your property
If you want to sell your property as fast as possible, whether it’s because you need the money or for some other urgent reason, using a realtor is not the most effective alternative. According to the Origination Insight Report conducted by Mortgage Technology, the average time to close on a purchase in 2021 was 49 days. However, it doesn’t consider the time that listings and visits may take – which can easily increase the time to 71 days.
In this situation, if you want to sell a house without an agent in Denver by going the FSBO route (For Sale By Owner), it’s important to keep in mind that it may take even longer than 71 days. On one hand, you will have to deal with the whole process almost on your own. If you don’t have any experience in the real estate sector, figuring out what to do in every step of the process will prolong it significantly.
According to alexcooper.com, if a real estate agent takes 60-70 days to sell your home, doing that by yourself will take double that time – going easily to 120-140 days. Which is way too much time if you are in a hurry to get rid of your property as soon as possible, especially if the situation is pressuring you.
If you are in a hurry to sell your property, the best way to do that is by using a professional property buyer who can buy your house fast for cash. For example, Ultra Home Buyers has the ability to buy your home in just 24 hours, and close the deal in as little as 10 days. In those situations in which time matters the most, this will be your best alternative.
2.2. Your house is not market-ready
In a different case scenario, you may encounter the situation that your house is not-market ready. This term refers to the interior and exterior presentation of your home, and how well it has been maintained over the years. A market-ready house is one that buyers can envision as their future home, and it typically helps to get a better deal for your property.
A market-ready house may require minor and major improvements, including but not limited to:
- Fresh paint to improve your home’s appeal
- Renovated carpeting or flooring
- Kitchen and/or bathroom renovations;
- New front door;
- Electrical and plumbing
- New roof;
- Professional home staging;
Unfortunately, getting a house market-ready is something that many people simply cannot afford. According to Millionacres.com, 30% of people spend up to $5,000 for minor and major upgrades, 21% spend up to $10,000, and 12% are ready to spend $15,000 in order to improve the marketability of their home.
How much owners expect to spend on renovations before selling their home. Source: millionacres.com. Article: How to sell a house without an agent in Denver.
If your property is not market-ready, but you are willing to spend the necessary amount of money on renovations in order to obtain the best price possible, you can sell a house without an agent in Denver by going the FSBO route.
However, if your home requires major renovations and is not in a good living condition, but you don’t have the budget to make them, selling it to a professional property buyer is a great option. Cash buyers tend to buy properties as-is independently from their condition, and they will even do the cosmetic repairs for you so you won’t have to worry about that.
2.3. You want to skip the hassle of working with realtors
If you want to sell a house without an agent in Denver, and your main reason is because you want to avoid the hassle of working with brokers and middlemen, you have two alternatives. The first one is, of course, to list it and sell it directly on the market yourself. However, as we mentioned previously, there are a few challenges that you will have to tackle yourself too.
On one hand, even if you want to skip the middlemen, you might still have to work with a lawyer or another legal representative to make sure that all of your documentation is filled out and prepared properly. This will require selecting the right partners and coordinating well with them to ensure that the process is running smoothly, but it often creates the exact same hassle that you wanted to avoid in the first place.
However, by selling your home to a professional cash buyer, you will be able to skip the whole hassle of working with any sorts of middlemen. Because it’s a direct purchase, there will be no need for renovations, lengthy listings, messy showings, and on top of that – you will also save up on realtor fees, closing fees, transfer taxes, etc.
2.4. You have a lot of time on your hands
Of course, if you have a lot of time on your hands, selling your home to a cash buyer might not be the best alternative. For once, because you will have enough time to figure out how to sell a house without an agent in Denver, work on each step of the process, and it won’t really bother you if something goes wrong during the transaction and the due date is prolongated.
If you have a lot of time, but you don’t want to dedicate it on figuring out how to do it yourself, a real estate agent can be a good option here. It’s still going to be a longer process when compared with selling to a cash buyer, but at least you will not be pressured by time.
Needless to say, if you have a lot of time to sell a house without an agent in Denver, but still don’t want the hassle of real estate agents, selling your home for cash is still a good option.
2.5. You are facing foreclosure
In a different case scenario, if your home is about to be foreclosured because of an unpaid mortgage, you are encountering a delicate situation which has to be dealt with carefully. If you are facing foreclosure, you typically don’t have the time to go through the whole real estate process, let alone having to do it yourself (which we already saw can be double the time).
In this case, your best alternative would be to sell your home for cash so you can pay your mortgage as soon as possible, and start over sooner. Companies such as Ultra Home Buyers have helped hundreds of people in this situation, as well as homesellers looking to downsize, sell a property they recently inherited, and so on.
2.6. You don’t have real estate knowledge or experience
If you don’t have any knowledge or experience in real estate and how the markets work, and you are really scared of messing things up, it might be better to go with a real estate agent. They not only have the industry know-how to guide you through every step of the process, but also have specific knowledge in your particular area, which can be very helpful.
However, this is not the only alternative. By selling your home to a professional property buyer, you have no chances of messing anything up either (as opposed to doing everything yourself). Cash buyers do all the work for you so you can sit back and relax. Additionally, you can skip the whole hassle and stress of listings, visits, and all that jazz, and sell your house in an easy and seamless process.
However, if you want to sell a house without an agent in Denver and you are really worried about doing it yourself without the necessary knowledge or experience, it’s better to have someone who can take that responsibility off of you.
3. Sell a house without an agent in Denver
Now that you are aware of the different alternatives that you have according to each scenario, the next step is to actually sell a house without an agent in Denver (or any other location, for that matters).
If you have selected the option to sell with a realtor despite your initial intention of skipping the middleman, that’s perfectly fine. Make sure that you do your research and due diligence to select a trustworthy broker or real estate agency that will still get a good deal for you. Keep in mind that, between realtor fees, closing fees, and different taxes, the actual net amount that you may be expecting for your property can get reduced significantly.
On another hand, if you have decided to sell a house without an agent in Denver the FSBO route, you will get the benefits of having full control over the process while negotiating the deal on your terms. However, this may not be your best option if you don’t have time, experience or know-how in the real estate market, because you may end up losing money if something goes wrong.