Many homeowners sell a house without a real estate agent to avoid the standard 6% commission. The for sale by owner (FSBO) allows sellers to directly manage their listings on platforms like Zillow and even classified advertisement websites like Craigslist.
While Craigslist offers free listings, managing a FSBO sale requires taking on all responsibilities of the selling process, from pricing and marketing to negotiations and closings. This can be overwhelming without the expertise of a real estate professional.
Craigslist also doesn't provide the same visibility or reach as specialized real estate websites, putting you at a disadvantage against properties listed by experienced agents on more prominent platforms.
Working with a knowledgeable local realtor is the most effective way to achieve a favorable sale for most sellers. If concerns about realtor commission fees are holding you back, consider partnering with Clever Real Estate.
Clever negotiates low commission rates with top-rated, full-service agents nationwide, allowing you to enjoy professional service for a 1.5% listing fee—a significant reduction from traditional costs.
» Ready to connect with a top agent? Discover top local agents and enjoy savings on commission with Clever Real Estate
How to sell a house on Craigslist
Create a compelling listing description
To increase your chances of success on Craigslist, start by crafting a compelling headline and listing description highlighting your home's unique features and any recent improvements.
For your headline, try using descriptive words (avoid generic ones) and keep it concise. Your headline should spark interest and make people want to learn more, so consider using unique adjectives.
For example, instead of saying 'Cute House for Sale,' you might write, 'Charming Colonial Home with Ocean Views.'
Be thorough in your description to cover essential property details such as parking, laundry facilities, and yard space. This can help minimize unnecessary queries.
Using emotional language to highlight aspects like the natural surroundings, recent updates, and any luxury amenities is also a good idea.
📧 Craigslist home seller tip: Use email!
To avoid unwanted late-night calls, consider providing readers with an email contact rather than a phone number. Doing so protects your privacy and allows you to manage inquiries on your own schedule – so you can respond thoughtfully and at your convenience. Email also makes it easier to track showing requests and negotiations with buyers.
Include high-quality photos
In today’s digital age, most home buyers (about 92%) start searching online, where visuals are key. According to a recent industry study, the most valuable website content was photos (85%), followed by detailed information about the property for sale (53%).[1]
High-quality listing photos are crucial because they're potential buyers' first impressions of your home. Professionally captured images can make your property more inviting, stand out in crowded listings, and increase visibility.
Ensure you include multiple high-quality images taken in good lighting to effectively showcase various areas of your home. Include multiple shots covering all areas of the property, both interior and exterior.
Keep your listing updated
To maintain your listing's visibility and attractiveness to potential buyers, it's essential to keep it updated and renew it as frequently as allowed.
Regular updates are crucial, especially if there are changes in property status, price adjustments, or improvements to the property that could make it more appealing.
Craigslist permits free postings to be renewed every 48 to 72 hours by clicking the "renew" link next to the posting title on your account page. This helps maintain high visibility and prevents your listing from becoming stale—a situation where a property lingers on the market without offers for an extended period.
Pros and cons of selling on Craigslist
Pros
- Save on realtor commissions
- More flexibility and control
Cons
- Increased responsibilities
- Limited exposure and visibility
- Potential for scams
Pros
Save on realtor commissions. One of the biggest reasons sellers decide to sell their home on Craigslist rather than working with a real estate agent is to save on real estate agent commission, which average 5.49% nationwide.[2]
On a $400,000 house, the average commission costs home sellers over $20,000. On a $1 million dollar house, the commission could be $50,000 or more.
However, it's important to remember that you'll likely only save on listing agent commission by selling FSBO, averaging 2.83% nationwide. You'll still be on the hook for the buyer's agent fee.
Commission changes may be coming!
A pivotal lawsuit against NAR challenged the established practice of sellers paying the buyer's agent commission rate, leading to a groundbreaking settlement in March 2024.
The settlement is expected to shift the buyer's agent commission cost from sellers to buyers, potentially reducing the average real estate commission rate and enabling direct negotiations over rates for specific services between buyers and agents.
No immediate changes are expected (the changes will go into effect in mid-July 2024), so paying the buyer's agent fee remains standard practice. Sellers can still save on listing fees through Clever, which offers reduced commission rates of 1.5% compared to the usual 2.5-3%.
💰 SAVE: Sellers save an average of $7,000 with Clever. Find out how much you can save!
Flexibility and control over the process. When you handle the sale of your home yourself, particularly through platforms like FSBO on Craigslist, you gain complete control over every aspect of the process.
You can establish a listing price, create and distribute marketing materials, and negotiate directly with potential buyers. This level of control can be attractive for those who have specific ideas on how their home should be presented and sold.
Cons
Increased responsibilities. On the downside, handling the sale of your home independently requires significant time and expertise in the real estate market. While ideal for those experienced in real estate or eager to learn, the responsibility can be overwhelming without professional guidance.
Limited exposure and visibility. Selling your home through FSBO on Craigslist significantly limits your exposure compared to professional marketing avenues used by real estate agents.
Agents typically list properties on the Multiple Listing Service (MLS), local newspapers, social media, and through their professional networks—platforms that reach a wide and targeted audience. According to the National Association of Realtors, about 86% of all sellers utilize the MLS, the leading listing method, yet only 3% of FSBO sellers do, despite it being most buyers' primary search start point.[1]
Without listing your property on the MLS, your exposure to qualified buyers diminishes, potentially slowing your move to a new home.
If you opt for Craigslist, consider partnering with a flat fee MLS service to ensure your property is listed on the MLS and automatically syndicated to high-traffic websites like Zillow and Realtor.com, significantly broadening your reach.
High risk of scams. Craigslist has a scam problem, including fake buyers and listings, bogus rental properties, and lies about the square footage of homes. Additionally, many buyers on Craigslist aren't serious about purchasing a home.
Sifting through all the responses you get on Craigslist can take a lot of time and effort. As an inexperienced seller, it may be difficult to determine which buyers are serious and which are just window-shopping (or phishing).
If you don't have a background in real estate, you may be better off working with a professional realtor. An experienced real estate agent can protect your best interests and vet potential buyers, ensuring you don't waste time with fake offers.
Reporting scams on Craigslist
If you encounter what you suspect is a scam on Craigslist, it's crucial to report it:
- Record the URL or the 10-digit post ID number of the suspected scam listing.
- Email the details to [email protected], and include the URL or post ID.
- Use the “spam” flag link in the top right corner of the posting to mark it as spam directly on Craigslist.[3]
By taking the time to report suspicious listings, you help maintain the integrity of the Craigslist platform and protect other users from potential scams.
Craigslist alternatives
Flat fee MLS companies
A flat fee MLS service provides a cost-effective option to list your home on the local Multiple Listing Service (MLS), a critical tool real estate agents use to find properties for their clients.
Unlike limited platforms like Craigslist, listing your home through a flat fee MLS service ensures extensive visibility. MLS listings aren't only accessed by real estate professionals but are also automatically syndicated to major real estate websites such as Zillow, Movoto, and Realtor.com, expanding your home’s exposure.
Access to the MLS usually requires a real estate license, but flat fee MLS services employ licensed brokers to list your home, bypassing the need for a traditional realtor.
However, not all flat fee MLS companies deliver equal value. It's crucial to thoroughly compare different services, assessing their reputation, the extent of their network, and the additional support they offer to ensure you choose a provider that aligns with your needs and budget.
» The best flat fee MLS listing services
Low commission realtors
Opting for a low commission realtor could be the ideal solution if you aim to save on commission fees without taking on the responsibilities and risks of selling FSBO.
Low commission agents offer the full spectrum of services from traditional real estate agents but at significantly reduced fees. For example, some provide listing rates as low as 1.5%, well below the national average of 2.83%.
However, be cautious of low commission realtors associated with brokers enforcing high minimum fees, sometimes reaching up to $8,500. Such fees can eliminate any savings, especially if your home is at a lower price point.
Carefully compare brokers and understand their fee structures before deciding to ensure they align with your financial goals.
» The best low commission real estate agents
Cash buyers
If you have a property that needs extensive repairs, are facing urgent financial strains, or need to sell quickly, "We Buy Houses" companies can help. They specialize in providing fast cash offers and can close deals in one to two weeks, although the offer may be below market value.
To make the most of this option, it's important to research and find reputable home buyers known for fair dealings and transparent processes. Reading customer reviews, checking industry credentials, and seeking recommendations can help you find the right cash buyer for your needs.
» The best companies that buy houses for cash
FAQ
How do I post a real estate listing on Craigslist?
- Go to your local Craigslist page.
- Click on "Post to Classifieds" once you're there.
- Choose "Housing Offered."
- Select the appropriate property type: "For Sale by Owner" if you're selling independently or "Real Estate by Broker" if you're working with an agent.
- Pick the community nearest to your property.
- Craigslist will direct you to the listing details page, where required fields are marked in green.
- Fill in all the necessary information, including a map, and upload up to eight photos of your property.
- Once Craigslist emails you, confirm the ad and your listing is live!
How much does it cost to sell on Craigslist?
Listing a home on Craigslist is free, as are most Craigslist postings. The only relevant exception is brokered apartment rentals in the NYC, Chicago, and Boston areas, which cost $5, as well as commercial real estate listings.[4]
How do I successfully sell a home on Craigslist?
Selling a home successfully on Craigslist requires a combination of key steps. Begin by crafting a compelling listing description and ensuring your property is clean and well-presented. Even when opting for Craigslist, quality photography is crucial, as attractive visuals can significantly enhance buyer interest. Pricing your home accurately is also essential, and you can leverage online tools and conduct your own comparative market analysis to determine the optimal listing price.
Following these steps can increase the likelihood of attracting serious buyers and achieving a successful sale.
