Hire an estate sale company or do it yourself? How to decide.
Hiring a professional can save you weeks of work and potentially raise more money. It can also take a hefty cut of that money and put strangers in the middle of your stuff. Here is how to tell which path fits your situation, before you commit to either one.
By Brian Filip, founder of Aveho and an experienced executive in the home-contents valuation industry. Before founding Aveho, Brian led a team of over 250 people at one of the nation's largest providers of home-contents valuation services to insurance companies.
The short version: hire an estate sale company when the contents are valuable enough to raise at least $5,000 and you are okay giving up 35% to 50% of the money raised. Do it yourself when the contents are modest in value, when you have the time and the right tools, or when keeping more of the money is important to you. It really comes down to a tradeoff between your time and the money raised.
What does an estate sale company actually do?
An estate sale company runs a sale of a home's contents on your behalf. A good one prices the items, stages the home so it shows well, advertises to its buyer list and the public, staffs the sale over a weekend, handles every transaction, and often manages the leftover cleanout afterward. You are paying for three key things: their labor, their pricing knowledge, and their guidance on the process.
How much does an estate sale company charge?
Most companies work on commission, taking a percentage of the gross sale total rather than charging an upfront fee. Commission commonly runs 35% to 50%. (An EstateSales.org poll put the most common rate at 45%.) The rate usually moves inversely to the value of the home: a full house of desirable items might be worked for 35%, while a smaller or lower-value home can command 50% because the company does similar labor for a smaller return.
Two other cost considerations to check before you sign anything. Are there additional fees (advertising, extra staffing, cleanout, card processing) layered on top of the commission? And does the company have a minimum? Many estate sale companies will not even work on your sale if they do not think it will raise at least $5,000 to $10,000. Below that, the commission does not cover their costs and it is not worth their time.
A quick example. If an estate sale makes $6,000, with a 40% commission going to the estate sale company, you keep about $3,600 before any added fees. If that same home only makes $4,000, most estate sale companies will decline it, and you are back to doing it yourself anyway. (But you get to keep the whole $4,000, because there is no commission.)
When does hiring a company make sense?
Hiring a professional could make sense when several of these are true:
- The contents are genuinely valuable. Enough sellable inventory to comfortably clear the commission and any minimum.
- You are short on time, or there is a deadline. A closing date, an out-of-state move, or a facility move-in that will not wait.
- You live far from the home. Running a sale remotely is difficult, and repeated travel adds up fast.
- The volume is large and physically demanding. A full house, a packed garage, decades of accumulation.
Should you do it yourself?
Doing it yourself tends to win when:
- The contents are modest. If the likely gross is below what a company will take, DIY is often your only real option anyway.
- You have the right tools. The right tools make the process easier and replace much of the expertise you would have gotten from the estate sale team. Tools like Aveho are designed to guide you through the process and give you the same knowledge the pros have.
- You have time and a few helpers. A motivated family group can accomplish a great deal over a few weekends.
- You want to keep the full proceeds. Skipping a 40% to 50% commission is meaningful money on a valuable estate.
- Control matters. Especially with sentimental items, you may want to decide personally what is kept, gifted, sold, or donated. And you may not want strangers in your loved one's home.
Here is the quick version, by situation:
| If this sounds like you... | Lean toward |
|---|---|
| A valuable, full home, little time, and you live far away | Hiring a company |
| Modest contents, or a likely gross under ~$5,000 | Doing it yourself |
| A few valuable pieces in an otherwise ordinary home | DIY: sell the standouts, donate or remove the rest |
| A hard deadline and a whole house to clear | Hiring a company, or a hybrid |
| You want to keep sentimental items and control the process | Doing it yourself |
The question almost everyone skips: what are the contents actually worth?
Here is the part that trips people up, and it is the single most important input to this entire decision. Most people badly misjudge what a home full of belongings is worth, in both directions.
The uncomfortable truth from years of valuing household contents at scale: in a typical home, most items carry very little resale value, and the real value concentrates in a small fraction of the belongings. Everyday furniture, mass-produced decor, and used kitchenware usually sell for a small fraction of what they cost new. Traditional dark wood furniture, once a reliable store of value, has fallen sharply over the last fifteen to twenty years as tastes shifted. Meanwhile the real value tends to cluster in a few categories: jewelry and precious metals, certain collectibles, quality tools, firearms, some artwork, and the occasional genuine antique.
Knowing what actually has value in the home lets you make smart decisions about whether it is worth hiring a professional, or just selling the few items of real value on your own and donating or removing the rest. Guessing wrong in either direction is costly: overestimate and you waste weeks chasing value that is not there; underestimate and you give away or throw out things worth real money.
Valuation is just one of the major challenges that Aveho can tackle for you. Snap quick pictures of the items and get automated identification and an informed sense of value in just seconds. You can easily build a clear picture of a home's contents and value before you commit to a path. With that knowledge in hand, and the additional tools that Aveho provides, the estate-sale-versus-DIY question becomes dramatically easier to answer.