Some home buyers decide to work without a realtor, which is possible, but somewhat challenging for someone without real estate experience. Part of the process involves learning about the housing market and asking the right questions about it. Here’s a look at the steps you can take to purchase a home without a realtor.
Do Your Homework
If you are not going to hire a real estate agent to help you purchase a home, you need to put in time for researching the home-buying process as well as the current market data. This detailed work can seem tedious, but it’s necessary to secure the right deal and not get trapped in an unfavorable one.
Options for DIY Home Buyers
A for-sale-by-owner (FSBO) listing is potentially an easier route for the home buyer without a realtor. However, you can still put in a bid on any home for sale. Be aware that sometimes a seller’s agent might take the extra commission that would’ve gone to the buyer’s real estate agent based on the contract.
Another important point to keep in mind when buying a home is that each home buying opportunity is a unique experience; not all sellers behave the same way or perceive prospects the same way. For example, some sellers are open to DIY home buyers while others are more reserved, expecting prospects to have all their paperwork together.
Even if you decide to work without an agent, you will still need to hire an attorney. Avoiding professional legal help can be a high risk if you are unprepared. You need legal assistance to make sense of complex contracts. Some states require home buyers to hire an attorney.
Home Buying Tips
If you are a first-time homebuyer, you should collect as much information from experts about your real estate market as possible. The more information you have about home transactions in the region, the more prepared you’ll be to make a favorable bid. Follow these additional tips for a smooth home-buying experience:
- Organize your financial information that you’ll report to the seller and the lender. Showing proof of a pre-approved loan lets the seller know you are serious about purchasing their property.
- Be aware that the seller determines the commissions for both their own agent and the buyer’s agent.
- It’s possible to save money by negotiating with the seller about lowering the price instead of paying an agent.
- You need a licensed agent to witness your home inspection or appraisal. Usually, the buyer’s agent plays this role, but it can also be performed by a listing agent.
Every home comes with its pros and cons. As a homebuyer, you need to do your own research to make sure you’re buying it at the right price. You may still want to get advice from a realtor. Contact our experts at Andraya Coulter to learn more about the process involved in buying a home.