Pros and cons of selling my investment property without a realtor

[Jarod Clayton]

I bought and moved into a house a year ago to fix it and sell.  We are about 3 weeks from being finished and putting it on the market.  The property is in a very sought after neighborhood in a nice town.  My next door neighbor heard we were getting ready to sell and said she had friends looking to get into the neighborhood.  She asked if they could see it before we put it on the market.  They have already been looking in the area so I know they have a realtor already.  I have not signed with a realtor yet and if I only have to pay the 3% out to the buyers realtor it will save me about 20K.  So my question is what risks do I run if I do not use a realtor and are they worth it? 

[Christopher Brainard]

Jarod,

If you aren't an informed consumer, a good realtor will help you get top dollar for your home and ensure that the deal you make is the right deal. The right marketing, staging, and exposure can make a world of difference in the selling price. A good realtor is well worth the 3% you pay to the listing broker.

With that said, a bad realtor (and there are many out there) will provide little to a transaction other than paperwork processing. Not worth 1%, let alone 3%.

-Christopher