There’s a lot of talk recently about a new opportunity for home sellers. And that’s the opportunity that Zillow Offers has catapulted into the market with a marketing effort as home sellers, without the hassle.
A bunch of our friends, and even a few of the realtors in our group have received unsolicited phone calls from people about selling our homes and getting an almost instant offer for it with a closing scheduled in as early as a week.
So hey, that sounds awesome, right? Well, maybe. And the old adage, “if it looks too good to be true, it probably is” keeps screaming in our heads.
A recent calculation showed that the average sales price for a home in Triangle Multiple Listing Service was $322,172. In North Carolina, a home sale with a real estate agent typically takes 6% of the selling price (3% for the buyers agent and 3% for the selling agent).
Are you wondering what Zillow charges? Zillow charges 7.9% to 13% for the same transaction. On their website is a complete explanation about Zillow Offers. There’s also a brief video explaining how the transaction works. They scroll through an offer and it shows a home price of $260,000 with cash at closing of $236, 860. That’s a fee of 9%. And this offer is also based on a subsequent home inspection which might change based on the condition of your home, age of your appliances, care and upkeep of your property, etc.
So let’s do the numbers:
Average Home Sales Price for Triangle MLS in May 2019:
$322,172
Typical Realtor Percentage: $ 19,330 (6%)
Zillow Offers Transaction Percentage: $ 28,059 - $ 41,882 (7.9% - 13%)
Wait, what? A potential difference of $22,552? That’s a car. A few extravagant vacations for the whole family. College tuition at NC State for 2 1/2 years. A nice boat. And the list could continue.
So Caveat Emptor and DO YOUR HOMEWORK. Don’t just listen to the loudest horn in the band, pay attention to the music.
At NC Pro Realty Group, our seasoned real estate agents can help you to get the most out of you home, with the maximum amount back to you, because we believe that the equity that you gained in your home, should be yours.
