According to the most recent issue of Florida Real Estate Headlines, Vol 11 - Issue 6, Feb 20, 2006,
"Sellers (in Florida) who chose to sell their home on their own fetched $45,000 less than they would have if they used a real estate professional."
Knowing a bit about the business, I have certainly learned a thing or two about hiring a professional -- I am one. There is some truth to that mentioned about a property in a hot market selling itself. However, what is neither seen nor heard about is the nightmare property or transaction (maybe only 5% of all transactions, maybe more, maybe less - I have no stats, but my own experience). If you do not have a professional who handles these transactions on a regular basis, you may be in for a world of trouble. Most transactions are completed without incident, but a good Realtor truly gets paid for the nightmare transactions. In some ways, it is not too different from an Airline Pilot. Most of the flights are smooth sailing, but they, too, are thrown a doozy on occasion, and that is when the experience pays off. Sure, a seller and or buyer may save some money by selling or buying a By Owner (FSBO), but not without effort. If a problem arises or a contract doesn't address all of the issues, either the buyer, seller, or both, can be in for a lot of headaches and potentially, a financial nightmare. I guess some people are willing to play the odds and take their chances.
I don't have the stat in front of me, but somewhere recently I read that only about 25% of all FSBO's actually end up selling their property on their own. I guess that tidbit may present the rest of the story.