When you’re ready to move on from your current home, perhaps one of the first questions you’ll ask yourself is, what’s the cheapest way to sell a home? Selling real estate is a complicated process, and between real estate boards, closing costs and housing preparation costs, many homeowners are shocked at how much they have been lost in fees.
Good news? There are several inexpensive ways to reduce unnecessary costs. This guide will show you the cheapest ways to sell your home, from using Flat Fee MLS lists to DIY methods such as per sale (FSBO). So whether you’re focusing on selling a home in Birmingham, Alabama or selling a home in Los Angeles, California, continue to explore ways to save money when selling a home without sacrificing too much of its final selling price.
How to sell cheaper
1.
One of the cheapest ways to sell a home is to skip the traditional real estate process completely. By selling FSBO, you have complete control over your marketing, show your property and negotiate directly with your buyers. This approach can save tens of thousands of dollars by eliminating the standard 5-6% fees you would otherwise pay an agent.
Strong Points:
Get complete control over marketing, pricing, shows and negotiations. A huge savings on agent commissions. Direct communication with buyers and motivation to maximize profits, as well as intimate knowledge of neighborhood and community perks.
Cons:
Time and Negotiation skills are required, compared to a professional list, you need to manage your legal documents yourself
If you’re wondering, “What is the cheapest way to sell a home?”, FSBO should definitely be considered. However, it is important to note that NAR data shows that FSBO homes are statistically sold in less quantities than those sold using real estate agents. That being said, success depends on your level of comfort, depending on your marketing and contract handling.
2. Online Real Estate Platforms like Redfin
Listing your property on a reliable online real estate platform like Redfin will expose your home on a massive scale without the bulk of traditional agents’ expenses. Many sellers have discovered that combining FSBO with an online platform is the easiest way to sell your home without overexpenditure.
Some online services also allow you to process everything from uploading photos to buying communications online, reaching motivated buyers while becoming one of the cheapest ways to sell this online.
3. Flatfee MLS List
If you need properties for multiple listing services (MLS) (if this is the main database agent you use to find a client’s home), you don’t need to hire a full-service real estate agent. Instead, you can pay a flat rate MLS listing service. This allows access to thousands of agents and buyers without paying traditional fees.
Typically, the Flat Fee MLS option charges a one-time fee ranging from $100 to $500. This is one of the cheapest ways to sell your home while leveraging a professional network of buyers and agents to ensure widespread visibility.
4. Discount broker or flat cooking real estate agent
Another option for sellers who don’t want to go solo entirely is to work with a discount broker. These agents charge a reduction committee (often 1-2%) or a flat rate, rather than the standard 5-6%. You won’t save as much as you go to FSBO, but you’ll keep a lot more money than if you had hired a full-service real estate agent.
This approach gives you access to pricing expertise, negotiation skills and specialized marketing support, but all reduces the costs associated with sales. This is an attractive choice for homeowners who want the security of professional guidance without sacrificing revenue.
5. Sale to cash buyers
If speed is your number one priority, the cash purchasing company will buy your home directly. The main drawback is that it usually requires you to sell because it is less than market value. However, these companies can quickly close in just seven days, often covering many of the closure costs.
This option is ideal for:
You are facing foreclosure You have inherited an asset you don’t want to maintain
This isn’t the cheapest way to sell your home in terms of maximizing your profits all the time, but it can be the easiest way to sell your home when you have limited time.
Bonus tips to save money and sell faster
Regardless of the method you choose, it is important to prepare your home for sale. Fortunately, there are cheap and practical steps to reduce costs and increase sales capabilities.
1. Prepare your home
Presentation is important. Start by organizing all your rooms and giving them a deep clean home both inside and outside the home. Simple fixes such as repainting the walls in neutral colors, replacing outdated lighting fixtures, and repairing small issues like leaky faucets can make a big difference in the way buyers perceive your property.
The charm of curbs is also important. Mowing the lawn, adjusting the shrub and adding fresh mulch are low-cost steps that can instantly enhance the appearance of the home.
2. The price is correct
One of the most common mistakes a seller makes is overprice. Setting realistic and competitive prices will help you quickly attract buyers and prevent your home from sitting in the market. Use Redfin’s Home Value Estimator or get a low-cost, professional rating to guide your pricing strategy.
3. Sellers yourself online
One of the best ways to maximize exposure without spending much is to market your home online. Free, low-cost platforms like Facebook Marketplace, Craigslist, local neighborhood groups, and Community Boards allow you to connect directly with potential buyers. By posting on multiple platforms, you can reach a wider audience, generate more interest in your property, and increase the likelihood of fast sales.
4. Negotiate the closing costs
Closure costs are another area where sellers can save money. These costs, which may include title insurance, transfer taxes and attorneys’ fees, typically account for 1-3% of the home’s selling price. To cut back, sellers can negotiate with the buyer to reduce their costs and fees. Those selling FSBOs may typically avoid certain administrative costs covered by agents.
5. Consider a quick cash sale (if profits are secondary)
If your priorities are speed and convenience than maximizing profits, cash sales are perfect. Some buyers may even cover certain fees, which can even cut your costs even further. Keep in mind that they usually sell for less than traditional methods.
FAQs about reducing costs when selling a home
What’s the bottom of the house?
Major structural issues, outdated interiors, neglected repairs, and the appeal of inadequate curbs are the biggest factors that reduce property value. Overpricing your home can also lead to older lists that will lose interest in buyers.
Do cash purchase companies usually pay the closure fee?
In some cases, cash-buying companies can fully cover closure costs and make this an effective way to minimize out-of-pocket costs.
Is the seller responsible for closing costs?
In most cases, yes. In most states, sellers cover some closure costs, usually 1-3% of the selling price. This may include title insurance, transfer tax, and attorney’s fees.
What is the minimum committee to sell a house?
Some discount brokers offer a low 1% fee, while flat rate MLS services only cost a few hundred dollars.
