FSBO vs Using A Real Estate Agent

When selling your home, one of the first things you will do is look at what real estate agent will represent you. This can be a scary process as you are trusting this agent with selling your most asset. Often sellers consider selling their home as an FSBO and cutting the agent out directly.

What is FSBO?

FSBO or For Sale by Owner is where you would decide against using a real estate agent and sell your home yourself. This means that listing your home, marketing it, negotiating the sale, drawing the paperwork, and closing on the home is your complete responsibility.


The most common reason that someone will sell their home FSBO is that they do not want to pay a real estate agent the 6% commission fee that is standard on the sale of homes. While selling FSBO could save you from paying a seller agent’s commission, you could end up paying more in the long term. Below are the pros and cons of selling your home with or without an agent.

Pros of FSBO

  • Avoid paying the Seller Agent’s Commission
    When you forfeit the use of an agent, you no longer must pay out their commission. While you will still most likely pay the buyer’s agent on the transaction, this can leave you with much more money.
  • Control over the sale
    If you are uneasy about letting a stranger sell your home, FSBO gives you much more control. You will decide price, what offer to accept and any seller concessions.
  • Only 1 home to sell
    Considering that you do not sell homes for a living, selling your home FSBO means that it is your priority. You will be focused on selling your home until it is gone. However, a real estate agent might have 4-5 listings that they are trying to market at once.

Cons of FSBO

  • Hidden costs
    You may end up footing the bill for things such as marketing the property, staging the property and MLS fees. You could also lose money on the sale of your home by listing it incorrectly (too high, at the wrong time or not marketing it properly) and end up selling it for much less than you would with an agent.
  • Objectivity
    You have spent years in your home and may have a bias when it comes to selling it. While you may think your home is worth a specific amount, it may not match what is comparable in your neighborhood. Having an agent on your side they can gather data to make a smart decision on how to list your property.
  • Time costs
    Although you may save money by not paying an agent, be prepared to spend significant time selling your home. You will need to set up showings, work with buyer’s agents, negotiate the deal, sign all the paperwork and this can be hours of time wasted. Paying an agent allows you to delegate this to them and avoid the hassle.

When deciding on whether to sell your home FSBO it is important to meet with an agent and decide for yourself what you want to do. If you would like us to introduce you to a real estate agent in our network, click here and ask to speak with one of our mortgage advisors. They will be able to help you get in touch with a real estate agent today.