Does it Matter Who You Hire to Sell Your Home?

Does it Matter Who you Hire to Sell Your Home?

Does it make a difference who you hire to sell your home? I mean, aren't all real estate agents the same? Are we just a commodity? In a hot, competitive seller's market, does it even matter how you market or negotiate for your home? Lastly, does it matter which brokerage you work with?

Stick around and we're going to review the data so you can see why who you hire to sell your house really matters.

I want to start off by acknowledging the fact that we truly respect and appreciate our fellow realtors. There's this misconception among the public that it's super cutthroat in the industry, but the reality is, the absolute best agents out there are the ones that work collaboratively to get things done. The fact that we have so many amazing realtors in the Dane County area is something that we all benefit from.

Some people think we're all the same, and honestly, in a lot of cases, it's kind of true. I can understand and appreciate why people would think that. Do you know, in fact that it's super easy to get your license? In Wisconsin, it takes 1500 hours of work to get your cosmetology license. Meanwhile, it's only 72 hours of pre-licensed coursework to get licensed to be a realtor. So yes, absolutely, a bunch of licensed real estate agents lack the training and education to really be great at the job.

What does the data say? Does it really matter who you hire? And when someone says that it doesn't matter how you market your house because houses are flying off the shelf, is that good advice? Let's dive into all the numbers.

Our team pulled this information straight from the South Central Wisconsin MLS. We reviewed single family homes that sold in Dane County in 2021 with less than one acre. The reason we excluded houses over one acre is because they're a unique property that sell much differently, and they're going to have an impact on days on market, pricing, and other factors that aren't as influenced by more traditional sales.

In Dane County, these single family homes sold for an average of 19 days on market, and for 1.93% over asking price. Meanwhile, our team averaged nine days on the market and 4.23% over asking price. In other words, we sold our listings 52% faster and 119% more than the typical listing in Dane County in 2021.

Let's acknowledge and keep in mind that while I certainly believe we do a great job for our clients, there are many agents in the area that you'll find have similar statistics. The point I'm trying to make is that yes, it absolutely matters. When you have agents who can produce these statistics against the market, they are doing something different and better and something that you should expect as a consumer. It's very clear that the experience, the market knowledge, the education, the marketing capabilities have a significant impact on your bottom line as a home seller.

Does it matter what brokerage you list with? The number one goal of any home sale is to actually get the house sold.  Our team sold 100% of our listings in 2021 and our brokerage sold 97% of listed properties. Meanwhile, when you look at the top five brokerages in terms of sales in Dane County, you will see that one of them didn't sell 13% of the houses they listed - and that's in a hot seller's market when everything is supposedly flying off the shelf.

Well, what about pricing? Our brokerage averaged 3.3% over asking price for our sellers. You'll see that one other brokerage did crack 4% with a 4.2% over asking price average. It's pretty impressive. But none of the other three brokerages broke 3%. Now, while these numbers can seem small, they can add up to thousands of dollars for our clients. So let's take a look and see how this average list of sales ratio comes out to play in a typical $350,000 sale. (graph in video)

Now, while all the top five are selling over asking price, you'll see that the average sales price could go from 355 up to 364. That's an almost $10,000 difference that your brokerage could make you.

I also think it's super important that we take a look and see where your brokerage is heading. The last two years have brought about a lot of change, and it's really important to see who's evolving and changing with the times and who's falling behind. Our team has seen a 46% increase in sold listings over the last two years despite there being fewer listings available to sell. Yet, three of the top five brokerages have seen a decrease in sold listings over the last two years, including two that have lost 10% of their business since 2020.

I don't know about you, but personally speaking, I would rather put my faith in the hands of the business that's shown they can grow and evolve through changing markets and changing dynamics in the industry, instead of relying on practices from the past that are no longer relevant.

Whether it's the agent you choose or the brokerage you work with, even among the top firms in the area, there can be a significant difference in your bottom line when you choose to sell your house. In fact, it's costing you a significant amount of money if you choose not to work with a realtor that specializes in digital marketing, high level exposure and can consistently outperform the market. We continue to take our education seriously as we evolve and improve our strategies in order to get you the highest return on your investment.

As always, if you have any questions about your unique situation, give our team a call. We're always happy to help. Let's talk soon.