Selling Home Without an Agent in 2025 Could Cost You Thousands

By Jeff Hernandez, Realtor & Attorney — The Connie Colla Group at RETSY

Cutting costs is on everyone’s mind these days, and when it comes to selling a home, some homeowners wonder if skipping the agent and going the “For Sale by Owner” (FSBO) route is a smart way to save. On paper, it sounds simple: put a sign in the yard, snap some photos, and wait for the right buyer.

As a Realtor and attorney in Scottsdale, I’ve learned one undeniable truth: what appears to be a savings upfront can often cost sellers far more in the end. In today’s housing market, where buyers are pickier, inventory volume is increasing, and competition is fierce, having an expert on your side isn’t a luxury. It’s essential.

Let’s dig into why selling without an agent in 2025 could cost you more than you think, backed by the latest data.

The 2025 Housing Market: More Homes, More Competition

A few years ago, sellers had the upper hand. Homes were selling in days, often with multiple offers above the asking price. It wasn’t unusual to see a neighbor throw up a FSBO sign on Friday and be under contract by Monday.

That’s no longer the reality.

According to Realtor.com’s July 2025 Housing Report, active listings rose 24.8% year over year in July 2025 to 1.10 million, the 21st straight month of growth and the third month in a row above one million. Even so, inventory is still 13.4% below pre-pandemic levels. Homes also sat longer: the median time on market was 58 days, seven days more than a year earlier and now above pre-pandemic norms. And while price growth remains positive, 20.6% of sellers cut their list price in July, showing just how selective buyers have become .

I see this firsthand every week in Scottsdale and Paradise Valley. Buyers walk through a stunning property and then immediately compare it against three others they viewed earlier that day. If the home isn’t priced right or doesn’t “wow” them with presentation, they move on.

In this environment, standing out isn’t optional — it’s a matter of survival.

FSBO vs. Agent: The Real Numbers

Let’s tackle the biggest myth: selling without an agent will save you thousands in commission.

In reality, the opposite is true.

The National Association of Realtors (NAR) reports that in 2024, the median FSBO home sold for about $380,000, compared to $435,000 for agent-assisted sales; a $55,000 gap, nearly 15% more when you work with an agent.

Critics sometimes argue FSBO homes are usually smaller or in rural areas, skewing the numbers. That’s partially true. But even when you account for those factors, agent-listed homes consistently outperform FSBOs in net return. Why? Because pricing, marketing, and negotiation expertise matter more than ever in today’s complex market.

The Hidden Costs of Going Solo in Selling a Home

Selling a home isn’t just about finding a buyer. It’s about navigating a complex transaction filled with potential pitfalls. Here are the areas where FSBO sellers often stumble:

1. Pricing Mistakes

Setting the right price is both an art and a science. Price your home too high, and it will sit, growing stale. Price your home too low, and you leave money on the table.

• Fact: NAR data shows 17% of FSBO sellers struggled with pricing .

2. Time on Market

The longer your home sits, the weaker your negotiating position. FSBOs often take longer to sell compared to agent-assisted listings.

3. Paperwork & Legal Hurdles

Disclosures, inspections, addenda; it’s a legal minefield. With my background as an attorney, I can tell you that a lack of diligence or a misworded clause can be costly.

• Fact: About 10% of FSBO sellers said paperwork was their biggest challenge.

4. Staging & Presentation

A yard sign and phone pictures simply don’t cut it. Today’s buyers expect professional photography, videography, and staging that highlight a home’s best features.

5. Negotiation Skills

From inspection objections to appraisal gaps, negotiations can make or break your sale. A skilled agent knows when to push, when to concede, and how to protect your bottom line.

Why More Sellers Are Choosing Agents in 2025

Given these challenges, it’s no surprise more homeowners are leaning on professionals. FSBOs represented just 6% of sales in 2024, the lowest in NAR’s survey history .

Even among those who try FSBO, nearly 21% eventually hire an agent after struggling to attract buyers, according to Zillow’s How to Sell Your House For Sale By Owner . That tells you something: the do-it-yourself approach often turns into a do-over.

Here’s what you gain when you hire a Realtor®:

• Pricing Precision: Accurate, data-driven pricing strategies that position your home to sell quickly and for maximum value.
  
  
• Professional Presentation: Staging advice, luxury photography, and marketing that elevate your property above the rest.
  
  
• MLS & Buyer Network Access: Exposure to qualified buyers you can’t reach alone.
  
  
• Negotiation Expertise: Protection during inspections, appraisals, and when drafting contract terms.
  
  
• Local Market Knowledge: Understanding neighborhood nuances that influence value.

Why Agent Value is Greater Now than Ever

In a rising-inventory market, the stakes are higher. Consider this Realtor.com data:

• July 2025 marked the 21st straight month of inventory growth nationwide.
  
  
• The median time on market hit 58 days, signaling buyers have regained leverage.
  
  
• Nationally, the delisting-to-new-listing ratio rose to 0.21 in June 2025 (about 21 delistings for every 100 new listings), up from 0.13 in May 2025.
  
  

In short, today’s market doesn’t forgive mistakes. Sellers who try to go it alone risk not just lower prices but no sale at all.

When FSBO Might Still Work

To be fair, FSBO isn’t always a mistake. If you’re selling a vacant lot, transferring property within the family, or listing in a small town where inventory is limited, FSBO can sometimes work.

But even then, it’s crucial to:

• Get a professional appraisal for pricing guidance.
  
  
• Hire a real estate attorney for contracts.
  
  
• Invest in professional photography to attract buyers.
  
  
• Consider limited MLS access to increase exposure.
  

Still, in luxury markets like Scottsdale, Paradise Valley, or Arcadia, FSBOs almost always leave money on the table. Buyers at this level expect polished marketing, and they negotiate hard.

Conclusion: Don’t Leave Your Biggest Asset to Chance

Selling a home is one of the largest financial moves most people will ever make. In 2025, with inventory climbing and buyers becoming more selective, there’s no time to cut corners.

Data shows that homes sold with an agent earn significantly more, and my own experiences in Scottsdale and Phoenix consistently prove this. From pricing to negotiations to legal protections, an agent’s expertise protects your equity and reduces stress.

If you’re considering selling, ask yourself this question: Is saving a commission worth risking thousands or more in lost value?

At Jeff Hernandez, Esq., Scottsdale Real Estate Agent & Attorney, I bring the precision of a legal background and the expertise of a seasoned Realtor® to every transaction. I’d be honored to guide you through the process and help you achieve the highest return for your home.