Summary of Key Points
More and more young people are now bypassing real estate agents and buying and selling houses directly through social platforms like REDnote and Douyin, mainly to save on agency fees and avoid the various tricks associated with them. However, the process is not without its challenges—they have to identify fake properties, handle the paperwork themselves, and deal with fluctuations in bank appraisal values. The real estate agency industry is clearly in decline (with fewer agents and stores), but self-managed transactions are not necessarily easier or more profitable. There is no clear answer as to whether saving money or avoiding hassle is more important. Nevertheless, young people tired of the interference of agents continue to give it a try, and this trend may gradually change the rules of the real estate market.
Why Do Young People Prefer to Sell Houses Themselves?
The main reasons young people choose to sell houses without agents are to save money and avoid being overcharged. For example, for a house priced at 1 million yuan, the agency fee would be 15,000 yuan, which is a significant amount for someone who has just started working or is planning to get married (for instance, Lao Li saved more than 20,000 yuan by selling his house for 1.69 million yuan).
Another factor is a lack of trust in agents. Many have had negative experiences: Ao Liao had his rent stolen by an agency that rented out his apartment for a year, resulting in a loss of over 10,000 yuan. Some have also encountered agents who advised homeowners to lower their prices or used fake properties to attract buyers (for example, Qiu Qiu discovered that some “direct sales” by homeowners were actually staged by agents using attractive photos).
The Benefits of Self-Managed Transactions
Self-managed transactions have several practical advantages:
1. More Honest Information: Homeowners are more likely to provide accurate information about their properties. For example, Lao Li mentioned that insulation was added to the rooftop, and the homeowner Ao Liao encountered directly explained any defects, as well as provided details about the neighborhood (such as the location of markets and schools), which is much more reliable than the standardized information provided by agents.
2. Flexibility in Pricing: Agents may try to persuade homeowners to lower prices or buyers to pay more, but in self-managed transactions, both parties can negotiate directly. Ao Liao was able to negotiate a lower price of 1.385 million yuan by agreeing to split the 1.5% commission with the homeowner.
3. Personal Touch: Homeowners often have personal reasons for selling their houses, such as mentioning how the design is suitable for children or how living there helped them get promoted at work, which makes the property more appealing to potential buyers.
The Challenges of Self-Managed Transactions
The benefits of saving money come with additional costs and effort:
1. Identifying Fake Properties: Many “direct sales” on social platforms are actually staged by agents. For example, they may use fake photos or low prices to attract buyers and then offer other properties. Lao Li had to be cautious of scammers who claimed to be buying the property with a large sum of money but required the use of an unknown app. Qiu Qiu also had to verify the authenticity of the homeowners.
2. Handling Paperwork: From signing contracts to transferring ownership, everything has to be done independently. Lao Li had to go to the bank and the real estate office, and Ao Liao took a five-hour break from work to handle the paperwork. Although he saved 5,000 yuan in fees, the process was quite cumbersome. Le Tao, who wanted to handle the transaction herself after retirement, eventually decided to use an agent due to the complexity of the process.
3. Unexpected Costs: Bank appraisal values can be a major issue. Ao Liao’s house was sold for 1.385 million yuan, but the bank appraised it for only 1.2 million yuan, resulting in a 100,000 yuan difference in the mortgage amount, forcing him to pay an additional 50,000 yuan as a down payment. Agents may have connections to influence appraisal values, but in self-managed transactions, buyers have to deal with these issues on their own.
Is the Real Estate Agency Industry in Decline?
Yes, the industry is indeed facing challenges:
- The number of agents has decreased by 3.1% year-on-year, with 7.5% fewer active agents. Data from 58 Tongcheng shows that by 2025, the number of real estate companies and stores is expected to decrease by 5.6% and 6.8%, respectively, and the average income per agent is expected to fall by 18%.
However, agents are not completely obsolete. Older buyers or those who prefer convenience are still willing to pay for their services (for example, Le Tao paid 10,000 yuan for an agent to help her sell her 590,000 yuan house). Agents still play a role in handling complex situations, such as dealing with mortgaged properties and communicating with banks about appraisal values.
Future Trends
Self-managed transactions are not for everyone; they require time, knowledge of the process, and the ability to assess risks. However, more and more young people are willing to try them:
- Buyers are getting their properties through different channels, with video platforms accounting for 44.1% of transactions in 2026, up from 31.3% in 2025, surpassing traditional physical stores (19.7%).
- The trust in agents is shifting; buyers now rely more on social platforms, their own judgment, and official systems (such as Guangzhou’s self-service signing processes and bank regulations).
This trend may lead to a transformation of the real estate industry, with agents shifting from being mere information providers to offering more professional services and risk management.
In summary, self-managed transactions require time and effort but offer greater transparency and control for those willing to take the initiative. Agents, on the other hand, provide convenience but come at a cost. There is no clear winner, but the increasing number of young people trying these methods is making real estate transactions more direct and transparent.