Do I Need a Real Estate Agent to Buy a House?

The home buying process can be overwhelming, especially if you are purchasing your first home. However, if you have bought a home before, you may feel like you have the process under control. This can be especially true if you flip houses on a regular basis because you could be losing considerable time and profits by paying your real estate agent.

While there are some situations when a real estate agent is useful, other home buyers may be able to handle the process on their own. Keep reading to find out whether a realtor is necessary to buy a house.

The short answer

No, you do not need a real estate agent to buy a house. Home buyers can purchase a home without using a realtor if they so choose. Millions of people have managed to purchase their home without the assistance of a licensed real estate agent. There are a variety of tools available for homeowners going it alone, making the process easier than it once was.

Benefits of having a real estate agent

While you technically do not have to have a real estate agent to buy a house, there are many benefits to using a real estate agent’s service. Their experience and knowledge will ensure your home buying process goes smoothly. If you are unprepared during the process, you can end up paying more for a property than you planned or losing out on your dream house 

Finding a home

Searching for a home to purchase can be a major task, taking up a considerable amount of time. There are plenty of online platforms like Zillow and Trulia that provide information on homes available in your area, but an agent has access to more robust listings and properties that are not even listed yet. They can provide listings that are already within your price range and include items on your wish list.

Your real estate agent will also have considerable knowledge on pricing. They can help you determine if an asking price is justified as well as your possible counteroffer. Agents are also savvy when it comes to neighborhood facts and comparable homes that are for sale in the area.

Filling out paperwork

Another headache in the home buying process is the paperwork. Real estate transactions include a lot of forms and contracts. From counteroffers, appraisals, inspections, and more, it is important that everything is filled out correctly and on time. If you make an error on these forms or omit information by accident, your entire purchase could fall through. In extreme cases, you may be liable for breach of contract.

Your real estate agent is experienced in all of the paperwork that comes with buying a house. They have the time and resources to devote to forms and contracts, and they likely have staff members to help them out. Licensed agents also have insurance to limit the risk of errors on any of your forms or contracts. 

Negotiating the best price

Negotiating in any situation can be stressful, but that is especially true when it is as large of a purchase as a home. Your real estate agent can help you navigate these waters thanks to their considerable experience negotiating. They can work with your budget to help you find the best deal on your new home and offer advice on when to take an offer and when to walk away.

The price of your home is not the only cost to consider. Negotiations also include clauses in your purchase agreement, home inspection costs, credits from the seller, and anything else that may come up during the process. If you are not prepared for these costs, they can quickly derail your home buying plans.

Benefits of buying a house without a real estate agent

Not every situation calls for the help of a real estate agent. Foreclosure properties from FHA are usually one instance when a real estate agent is not necessary. You can place a bid without an agent required. Also, if you are purchasing a home from someone you trust, like a close friend or family member, you may not require a real estate agent to facilitate the process.

Experienced house flippers may choose to go through the home buying process without a real estate agent once they complete several projects. If you have knowledge of your desired area and the home you want to purchase, you may not need an agent to help you. Also, people who have purchased multiple properties are more familiar with the process.

How to buy a home without a real estate agent

Properly prepare

One of the most important things for buying a home without a realtor is proper preparation. You will have a better chance of buying a home on your own if you are pre approved for a mortgage loan. Sellers will be more likely to entertain your offer. Also, you should write an offer letter to express interest in a property.

Pay attention to the inspection

Be sure to have a thorough home inspection conducted before purchasing a home. This will provide information on any repairs that are necessary before you can move in. If you skip the inspection, you may find some unpleasant surprises after you close on your house. Issues with your home can equal serious costs later. You could end up paying much more for your home than you originally intended. A home inspection will provide all of the necessary information on your property from the beginning.

How much does a realtor make?

One concern home buyers have when purchasing a home is the cost of employing a realtor’s service. They fear that they will have to pay out a large commission or service fee on top of the purchase price of their house. However, there are some common misconceptions around real estate agent fees. Many people overestimate the cost of having a realtor help with the home buying process.

The average realtor commission is around 5 or 6% of the purchase price of your house. Typically, the commission is split evenly between the listing agent and the buyer’s agent. In many cases, the sellers of the property shoulder the cost of the commission. You cannot assume that this will be the case, but it is possible to negotiate this point in your contract.

Why do I need a real estate agent to buy a house?

You may not need a real estate agent to buy a house, but it is recommended. A real estate agent can walk you through the home buying process and ensure your purchase goes smoothly. Realtor fees typically cost more for sellers than buyers, and they are usually worth the amount you pay. Handling complicated paperwork and negotiating contracts are much easier with an experienced real estate agent on your side. 

However, if you frequently flip houses and are familiar with the home buying process, you may not require a realtor. Buyers who know the area that they are interested in and have a total understanding of the property they want to buy will have an easier time finding properties. You may also have negotiation skills and an understanding of fair home prices.

Find the right real estate flipping partner

Whether you are new to house flipping or you’ve been completing flip projects for years, Wealth 212? offers a unique partnership. Members can receive 100% funding for their flipping projects and rely on the considerable knowledge and experience Wealth 212? has developed over the years. This one-of-a-kind opportunity offers financial security and flexibility for house flippers with almost any project.