There have been a lot of changes in the real estate market over the past year. A ruling from the Competition Bureau now allows sellers to use agents who charge flat fees at much reduced costs just so their property can be on MLS. But is this the best situation for you?
In a hot market like the one Toronto has seen for the past couple of years, many sellers think they can just sell their property themselves, realize more of a profit, and not have to pay the commission. Approximately 90% of all homes are still brokered by realtors, and yes, it's easy to attack agents for the commission the average seller has to pay. But look what happens when you don't. Yes, your property will be on MLS and get more exposure, but what about the network of buyers and other agents a realtor selling your house will have? What about open houses? Showings? Lock boxes? Insurance? But let's say you are able to get a potential buyer. Are you skilled to negotiate a deal? Would you be too emotional? Do you know what the market is demanding in your area and how your house matches up to the ones that have sold?
Yes, it may sound very easy to sell your house when the market is hot. However, realtors are professionals, trained and experienced in pricing your home, marketing your home, staging your home and all the other aspects that come with selling or purchasing a property.
These new discount brokerages will definitely give potential sellers an option which is great, but if the market does slow down, more and more people will return to the licenced professionals who go to school and do this for a living.