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n a bold move, 61-year-old Jill Langen decided to forgo the traditional real estate agent route when selling her Clarkston, Michigan home of 25 years. With no prior experience in the field, she took on the challenge alone and managed to secure an agreement with a buyer within seven days.
Langen's decision was influenced by recent changes in industry practices following a series of lawsuits that challenged standard commission fees. The average commission for traditional Realtor-assisted sales is around 5-6% of the sale price, which could have cost Langen up to $30,900 on her $515,000 home.
However, Langen's experience was not without its challenges. She spent countless hours researching comparable homes in her area and crafting a detailed listing description with the help of OpenAI's ChatGPT chatbot. The response was overwhelming, with 20 calls per day from Realtors soliciting their services.
Despite the chaos, Langen persevered, hosting an open house and fielding multiple showings. She eventually received competing offers on her home and settled on an unrepresented buyer, saving herself thousands in commission fees.
Langen's success story is not typical, however. Her friend had already sold their home via FSBO, giving her the confidence to try it herself. Additionally, her home was located in a desirable neighborhood with low inventory, making buyer interest high from the start.
Not everyone has been as fortunate. Aditya Srinivasan, 70, recently retired and planning a move to Eugene, Oregon, had a disastrous experience listing his California Bay Area home on Zillow. He was bombarded with phone calls and text messages, many of which were scams or lowball offers. After weeks of frustration, he decided to pull the listing and enlist the help of a trusted Realtor.
Langen's experience highlights the pros and cons of FSBO sales. While it can be a cost-effective option for those with time and knowledge on their side, it requires significant effort and dedication. As industry practices continue to evolve, some homebuyers and sellers may find themselves seeking alternatives to traditional real estate agents.
