buying a house without a realtor

6 times buying without a realtor is a big, fat fail

Bethany RamosFirst-Time Homebuyer, Home Buying, Industry Professionals, Realtors

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Most people start shopping for houses online when they’re ready to buy. Then they start looking for a mortgage lender and a realtor. Then they start to question how much help they’re really going to need along the way.

Buying a house with a realtor: 5 reasons it works

buying a house without a realtor

A few highlights to remember:

  • When you hire a real estate agent to sell your current home or buy your dream house, you’re making a powerful decision.
  • A real estate professional brings experience to the table, equipping you to navigate confidently through the homebuying process.
  • It’s important to work with an agent who knows the current conditions of the housing market and can explain them, simply and effectively, to you and your family.

Buying a house without a realtor: 6 reasons it might fail

Here are some of the most common problems that can occur when you try to buy a house without a realtor:

1. There’s a language barrier.

Real estate jargon is not for the faint of heart. Many times, a simple Google search may not be enough to translate the legalese on the housing contract you have in your hand. An experienced realtor can interpret, guide, and help.

A great realtor also knows how to write a seller’s promotional material that features a home to attract more buyers. On the buyer’s side, a knowledgeable realtor can help you break down the language used in a listing to determine if a home is what you’re looking for.

2. You don’t like what you see.

There are literally thousands of homes listed for sale online, but your realtor may do you one better. Simply put, using a realtor gives you access to more homes and media outlets than if you fly solo. Oftentimes, a real estate agent can provide you with listings that aren’t being actively advertised.

3. You get steamrolled.

A successful real estate deal is all about the art of negotiation. It may look like you’re saving money off the top by forgoing a commission, only to pay more for a house because of a gridlocked price. The negotiating table is where you’ll see a realtor’s commission as money well spent. And, FSBOs (for sale by owner transactions) usually sell for less.

4. You don’t know who to call.

It’s not Ghostbusters, but a realtor who’s well-connected in the community. This reputable kind of agent is worth their weight in gold. A realtor who’s in touch with other people in the industry — closing attorneys, title companies, surveyors, professional stagers, contractors, insurance agents, and more — can be a one-stop shop and save you time and energy.

5. You need someone to supervise.

A licensed buyer’s agent is often required to be present at your home inspection and appraisal. If you’re not using a realtor, the seller’s agent may be willing to help — and may charge for their services.

Having a realtor with you in an unfamiliar home can also ensure your personal safety. As a practice, realtors are trained to pre-screen people before they come into a house. A realtor can vet any outside parties, like appraisers and inspectors, before they meet you at a property site.

6. You don’t know what to do next.

The sheer volume of real estate paperwork alone can be intimidating. It’s your realtor’s job to keep track of your documents, explain those pesky contract contingencies, and walk you through each homebuying step. Without the representation of an agent, you’ll have to drastically alter your schedule to accommodate a seller’s requests and other needs at closing.

Your realtor’s gonna love this: Use our free LoanFly app to remotely access your loan docs and cut down on piles of paper.

Though it’s well within your legal rights to buy any house you please without a real estate agent, there’s still the commission factor to consider.

If you choose to buy without an agent, it’s possible that a seller’s agent may pocket that extra commission anyway. A large number of real estate agents denote variable commissions in their contracts with clients. A variable commission means that a seller’s agent could get the leftover commission that would have gone to a buyer’s agent.

Even if you opt-out of using a realtor, you may still have to pay for outside help. Signing multiple legal contracts to make a major financial purchase — in this case, buying a house — can be risky without some type of legal guidance.

Show of hands of who’s ready to start house hunting?

Knowing that a good realtor and a great mortgage lender have your back gives you that priceless peace of mind that’ll get you through to closing day. Let us help you put together your winning team: Get prequalified to find out how much house you can afford. Get a referral to a trustworthy realtor we’ve successfully worked with in the past. Get ready to move in 10 days.

For educational purposes only. Please contact your qualified professional for specific guidance.

Sources are deemed reliable but not guaranteed.

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