The Hidden Risks of FSBO: Why Selling Without a Realtor Can Cost You

Selling your home on your own—known as FSBO (For Sale By Owner)—can feel empowering. You’ve likely invested time, money, and heart into improving your property, and you want to see that reflected in your sale price. It’s natural to feel that no one knows your home better than you do, or that saving on commission could mean more money in your pocket.

But the reality is, selling real estate is more complex than it may seem. And even the most well-intentioned FSBO sellers often face unexpected challenges that can derail a sale—or leave money on the table.

Should I Sell My Home By Myself?

Many homeowners ask this question when considering a move. On the surface, selling your home on your own—also known as FSBO (For Sale By Owner)—sounds appealing. After all, avoiding commission fees might seem like a way to keep more money in your pocket.

The reality, however, is that selling a home involves far more than putting up a “For Sale” sign. Marketing, negotiations, legal requirements, and timelines all add complexity. Without professional representation, sellers often encounter obstacles that create stress, delays, and even lost deals.

This is why so few homeowners ultimately choose FSBO, and why most who do find the process more difficult than expected.

FSBO vs. Realtor: The Numbers Don’t Lie

At Coldwell Banker Heritage, our own data shows a clear trend: homes sold FSBO consistently sell for much less than homes sold with professional representation.

• 2024: FSBO homes with a buyer’s agent averaged $189,127, while Realtor-assisted sales averaged $264,697. That’s about 28.6% less.
• 2025: FSBO homes averaged $209,033, compared to $294,088 for Realtor-assisted sales. That’s about 28.9% less. Note: 2025 data is year-to-date (January 1, 2025 – August 29, 2025).
• Across both years, FSBO homes consistently sold for ~29% less on average than homes listed with agents.

That’s a difference of $75,000–$85,000 on average—far more than the typical commission.

These results echo national data. The National Association of Realtors reports that FSBO homes typically sell for 15–26% less than agent-assisted properties.

Why FSBO Homes Sell for Less

1. Limited Exposure and Marketing Reach

Without access to the MLS (Multiple Listing Service) and professional marketing, FSBO homes often don’t reach the largest pool of buyers. A smaller audience means fewer offers and less competitive pricing.

2. Pricing Is Emotional—And Risky

It’s understandable to want to price your home based on improvements and personal investment. But market value is set by buyers, not by what was spent. Overpricing leads to stale listings, while underpricing leaves money behind. Realtors use real-time market data to set the right price from the start.

3. Negotiations Are Complicated

Inspections, contingencies, and timelines all require skilled negotiation. Without a Realtor guiding the process, sellers may make concessions they don’t need to—or create unnecessary conflict that puts the deal at risk.

In fact, one recent local FSBO nearly collapsed because the seller refused to work with the buyer’s Realtor. All communication had to go through the buyers themselves, creating friction and stress. The deal almost fell apart, despite the buyers having already sold their own home and needing to move quickly.

4. Legal Risk and Paperwork

Disclosures, contracts, and closing procedures must be handled correctly. FSBO sellers often find themselves overwhelmed—or worse, exposed to legal liability—without professional oversight.

5. Emotional Decisions Cloud Judgment

It’s hard not to take offers or feedback personally when it’s your home. Realtors provide an objective buffer, helping sellers stay focused on the end goal.

The Bottom Line: FSBO Isn’t Saving—It’s Losing

While skipping an agent may look like a way to save money, the data tells a different story. Both locally and nationally, FSBO sellers walk away with significantly less—nearly 29% less in our region—than those who use professional representation.

At Coldwell Banker Heritage, we believe in protecting your investment and ensuring you get the strongest possible return. With expert pricing, broad marketing, skilled negotiation, and full compliance support, we guide you from listing to closing with professionalism and care.

Work with a Realtor

Because your home sale should reward your investment—not diminish it.