Thinking of selling your home privately? What South African sellers should know

With the rising cost of living and tighter bank lending conditions, many homeowners are looking for ways to cut costs when selling, including the idea of avoiding estate agent commission by selling privately. While this may seem like a way to keep more money in your pocket, the risks in today’s market are far higher than most people realise. A private sale can quickly become expensive, stressful, and legally risky if you’re not fully prepared.

You carry all the marketing responsibilities

When you sell your home yourself, every aspect of marketing falls entirely on your shoulders. You must pay for and manage your own online advertising, create listings, monitor enquiries, and ensure your visibility is high enough to attract buyers. You also need to comply with your municipality’s signage bylaws, invest in for-sale boards, and run your own viewings.

Professionals, on the other hand, follow strict industry protocols to ensure safe, well-run viewings. They tap into established marketing systems that private sellers simply don’t have access to, including buyer databases, professional photography, and national and international advertising networks that significantly increase exposure.

Limited buyer reach

One of the biggest challenges for private sellers is visibility. Most homeowners do not have the tools or experience to reach a wide enough audience. Estate agents, by contrast, have access to large buyer pools and premium placements on major property portals such as MyProperty. Without this reach, your home risks staying on the market longer than necessary, and the longer a property sits, the harder it becomes to achieve the best possible price.

Pricing mistakes can be costly

Modern buyers are more informed than ever. They compare similar properties, check recent sales, and research trends long before making an offer. Without access to current sales data, suburb-specific statistics, and professional valuation tools, private sellers often unknowingly overprice or underprice their homes. Overpricing results in no offers, while underpricing can mean losing out financially, the exact opposite of what sellers hope to achieve when going the private route.

Negotiation is tougher than it looks

Negotiating the sale of your own home requires emotional distance, market understanding, and strong negotiation skills. Many buyers today expect a “discount” simply because the seller is not paying commission. They arrive prepared, informed, and ready to negotiate hard. Most private sellers have not negotiated a property deal before and may find it difficult to secure a fair, balanced outcome. Experienced estate agents negotiate daily and know how to guide both sides toward an agreement that stands up legally and financially.

Legal and compliance challenges

South Africa’s property legislation has become far more complex in recent years. Private sellers must understand the Offer to Purchase, disclosure obligations, FICA requirements, the Consumer Protection Act, and the Property Practitioners Act. Any error in the legal process, even an innocent one, can delay the transfer, expose you to liability, or even collapse the sale. Estate agents are trained to navigate these requirements and work closely with conveyancers to avoid complications.

Difficulty screening financially qualified buyers

With stricter bank lending requirements, prequalification is essential. Agents typically verify affordability before allowing buyers to view a property, ensuring that only serious, financially capable buyers enter your home. Private sellers often lack the tools and experience to do this, leaving them vulnerable to time-wasters or, in some cases, individuals attempting occupation scams or fraudulent offers.

Safety concerns

Opening your home to strangers without any screening poses clear security risks. Agents act as a buffer and have processes in place to protect sellers, track viewings, and ensure the safety of both the property and the homeowner. Without this layer of protection, private sellers expose themselves and their families to unnecessary danger.

The real cost: months of holding costs

Perhaps the most overlooked risk of selling privately is how long the property may sit on the market. Incorrect pricing and limited exposure often lead to extended selling periods — and every month your property remains unsold costs you money.

Using a home priced at R1.1 million as an example, monthly holding costs may include:

• Bond repayment — ±R8 500
• Rates — ±R500
• Utilities — ±R2 500
• Insurance (homeowner’s cover & credit life) — ±R1 000
• Security & maintenance — ±R1 000

That’s ±R13 500 per month.

At that rate, the total surpasses a typical agent’s commission (around R77 000 at 7%) in just six months. A professional agent can significantly reduce days-on-market, preventing these accumulated losses.

The takeaway: private sales often cost more than they save

While selling on your own is possible, the modern South African property market is complex, data-driven, and highly regulated. The risks, from pricing errors and legal pitfalls to security concerns and costly delays, often outweigh any potential savings on commission.

A qualified estate agent offers market expertise, professional negotiation, legal guidance, and access to serious buyers, ultimately helping you achieve a faster, safer, and more successful sale.