Selling FSBO, Buyer Using Agent

[Reese Thompson]

My cousin is trying to sell his house without using an agent (For Sale By Owner, FSBO). He called me a couple days ago saying that he received a verbal offer from buyers using an agent. He was frustrated because his intent of not using an agent was to save the commission. The conversation he had with the agent seemed to have a lot of focus on whether or not he would pay her a commission.

So I asked him, "Why would the buyers use an agent when you have it FSBO?" He said that they are first time home buyers, so they were nervous. Understandable.

So I recommended to him that since they are first time home buyers, they are most likely going to only want to pay the down payment and whatever other minor closing costs they have to so that they are using as little out of pocket as possible.  Because of this, he should say that whatever price they agree on, he'll divide it by 0.97 and give the agent the 3% (typical split commission if my cousin were to have used an agent), he's not losing anything extra, and the buyers have that cost tied into their mortgage and aren't out that amount themselves.

I'm curious what other techniques people have used if selling themselves and are approached by a buyer's agent?