How Common Is Selling Your Own Home in the US?

(It Used to Be 1 in 5 — and It’s About to Rise Again)

Most people assume selling your own home is rare.

But for decades, it was one of the most common ways to sell in America — and it’s still happening at scale today.

In the 1980s, about one in five homes was sold directly by the owner.

Even now, hundreds of thousands of people sell their homes every year without paying traditional agent commissions.

And with major industry changes underway, that number is poised to grow again.

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The Numbers: From 21% to 6% — Still Hundreds of Thousands of Homes

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According to the National Association of REALTORS® (NAR):

• In 1985, about 21% of all home sales were For Sale by Owner (FSBO) transactions.
  With 3.2 million total existing-home sales, that was roughly 675,000 homes sold directly by their owners.
  
• By 2024, FSBO share was about 6%, or roughly 245,000 homes out of 4.06 million total existing-home sales.
  
  

So while the share declined over time, the absolute number of FSBO sellers remains enormous — hundreds of thousands of people choosing to handle their own sale every year.

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Why the Share Declined

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The FSBO model didn’t fade because it stopped working — it faded because the traditional real-estate industry tightened its grip.

For decades, Multiple Listing Service (MLS) data — the backbone of home marketing — has been tightly controlled by brokers.

That limited visibility for owner-sold homes, while large franchises and national associations invested billions in messaging designed to convince sellers they needed an agent.

The message stuck, and FSBO’s share fell — even as the process itself stayed fundamentally the same.

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What’s Changed

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Today, the factors that once held homeowners back are disappearing.

• Home discovery is public.
  Buyers find listings on Zillow, Redfin, and Realtor.com — not by calling agents first. Exposure is no longer gatekept.
  
• Information is open.
  Tools like Ridley Insights give sellers access to the same pricing and market data agents use.
  
• Paperwork is standardized.
  State-issued forms and disclosures are now fill-in-the-blank, supported by digital signatures and clear guidance.
  
• Technology connects the dots.
  Platforms like Ridley let sellers manage the process end-to-end — from pricing to closing — without middlemen.
  
  

Selling your home today means taking advantage of transparency, not fighting complexity.

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The System Is Shifting

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In 2024, the National Association of REALTORS® reached a landmark legal settlement over long-standing commission rules that effectively forced sellers to pay buyer agents’ fees in almost all transactions.

The settlement effectively ended that practice, paving the way for more flexible, negotiable commissions and greater consumer choice.

It marked the first structural challenge to the traditional 6% model in decades — and it confirmed what homeowners have sensed for years:

The old system isn’t just outdated — it’s untenable.

Combine that with today’s technology and transparent data, and the conditions are in place for a massive realignment in how homes are sold.

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The Stage Is Set for a Comeback

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From ~675,000 owner-sold homes in 1985 to ~245,000 today, one truth has never changed:

Homeowners can do this — and they always have.

Now, with commission reform, digital platforms, and smarter tools, the playing field has never been more level.

The 6% era is ending. The next wave of home sales will be driven by informed, confident homeowners — not intermediaries.

The infrastructure is here. The incentives are shifting.

And the movement is ready to grow again.

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Want to learn more about how Ridley can help you navigate the selling process? Click here to book a consult with our team.