Written by Olly Cooper, Money Team
Real estate agent fees are one of the major expenses when selling a home, but changing rules and the rise of private sale websites have made it more common for people to sell privately.
But how easy is it? And what do you need to know? We spoke to industry experts to find out.
First, what do real estate agents do for money?
Real estate agents typically charge anywhere from 1% to 3.5% of the sales price.
This means that for an average house price (£284,691 from December) you could pay between £2,846 and £9,964 in fees.
“If you use a real estate agent, their fees include professional photography, advertising the home, conducting property viewings, and negotiating the price on your behalf.” jack smithson From home ownership website Better.co.uk.
Additionally, your real estate agent will compile comprehensive details of your home, including room sizes and a description of amenities and fixtures.
“We will also provide concise articles about the local area, highlighting amenities, schools and transport connections,” Jack added.
They will then conduct buyer checks on your behalf (more on this later).
Sounds like a lot…
“Selling a home on your own is a manageable process if you take a few key steps,” says Jack.
preparation
You should start by thoroughly researching house prices in your area using websites such as Rightmove and Zoopla, but you should also consult a local real estate agent for free to ensure you have a realistic asking price in mind. Please request an appraisal.
Next, you want to take high-quality photos of your home.
Jack advises using YouTube tutorials to learn new filming and editing techniques to take you to the next level.
Next, you want to write down what makes your home unique.
“Why not take it a step further by highlighting what you like about living in the home and surrounding area, while browsing other properties for inspiration,” suggests Jack.
“Whether it's the refreshing scent of the coastline or the quiet sounds of village life, incorporating these details will help potential buyers imagine what it would be like to live there,” he advises.
Just like you use YouTube for photography inspiration, you can use free tools like ChatGPT and Grammarly if you need help with your writing, says Jack.
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This is probably the biggest perk of going through an established real estate agent. Real estate agents have an established audience and market, so your home is much more likely to be seen. However, it is quite possible to do it alone.
“When advertising your home, consider a variety of avenues, including local newspapers and social media,” says Jack.
“Consider using websites like Strike, which allows individuals to list their properties for free on platforms like Rightmove,” he suggests.
Appreciation
Once you have secured some viewings, you have the opportunity to make it a little more personal than a real estate agent. This is a big advantage.
“Explain why you made the decision to purchase the property, highlight its unique features, and share aspects of the neighborhood that make it a desirable place to live,” says Jack.
When guiding someone, the little things matter, so try to look around objectively before guiding someone.
Do the same thing you always do. Make sure it smells nice and is clean and tidy.
“Finally, it’s worth knowing that you’re legally required to provide potential buyers with a free Energy Performance Certificate (EPC).”
the sale itself
Perhaps the most difficult aspect is the physical exchange of contracts and money.
A real estate agent typically oversees the process from accepting the initial offer to handing over the keys to the new owner.
However, if you go it alone, you will be the central point of contact, bridging the gap between the solicitor or conveyancer and the buyer and their legal representatives.
“Once you have accepted an offer on a property, your first job is to draw up what is called a memorandum of sale,” says Jack.
This document is a written confirmation of acceptance of the offer and details the agreed price and specific terms agreed to by both parties.
“In that case, we recommend engaging a lawyer or real estate agent to ensure that all legal obligations are fulfilled,” says Jack (of course, even if you have a real estate agent, this can be You need to do).
The cost of hiring someone typically ranges from a few hundred to more than £1,000, depending on factors such as fixed fees, hourly rates, the complexity of the sale and additional costs such as property surveys and land registration fees.
“In the absence of a real estate agent, it is their responsibility to keep the buyer informed of the progress of the sale. This includes regular updates on the status of legal proceedings and any relevant developments,” says Jack. and then added that this is possible. That's actually a good thing.
“Taking on these responsibilities independently gives you more control over the sales process. However, it requires you to be very organized and you also need to have very good communication skills. .”
Are there any risks I should be aware of?
Rita Patel Legal director at law firm Brown Jacobson said the biggest risk for those selling property without an estate agent was the lack of vetting and verification processes for potential buyers. .
The real estate agent verifies the buyer's identity and verifies the buyer's evidence and source of funds. Without this, there is no way to assess whether the buyer is legitimate and can afford the purchase.
“Lawyers can help with this process, but it often comes at an additional cost. Also, if there are issues with the identity or financial eligibility of a potential buyer, you may need to start from scratch. Yes,” says Rita.
More generally, selling without an agent can increase the time it takes to sell.
“Zoopra suggests that this period is typically around 17-34 weeks, but with no one consistently driving and driving a property sale through all stages, acting alone can slow down the process. It drags on,” Rita said.
“Agents can also mediate potential communication breakdowns between buyers and sellers, reducing the likelihood of having to go back to the market and start over.”
advantage
laura owen brown A Gloucestershire public relations manager said he plans to sell his home without an estate agent in the near future.
“My disappointment with my real estate agent stemmed from their lack of knowledge of the property I was trying to sell when I purchased my current home,” she says.
“They didn't tell me the really important details, such as the best time of day for the sun to be in the garden, how much council tax I would pay, what material the roof was made of, or where I could walk my dog off-leash. . Traffic effects after Sunday's soccer game.
“Details like this can shape the experience of living in a home for years and are as important as the property’s square footage, EPC rating or number of bedrooms,” she added.
She said she feels the current “transactional” approach to home sales is “impersonal and outdated.”
“Yes, you will have to deal with more admin, but it will be worth it as you will save both money and time.” Being in touch means I can be in control and be transparent throughout, especially during negotiations,” she says.
as a whole…
As Laura says, it's a matter of being able to withstand the demands of management and being willing to take the risk of a background check.
If you are aware of all of the above and are willing to take on the organizational burden, you could potentially save yourself a lot of cash.
