Do I have to use a realtor? | What realtors do | Steps to buy without a realtor | FAQs
Most home buyers use a real estate agent when they buy a house ― but you don’t have to use an agent if you don’t want to. Find out how to buy with no realtor.
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Can you buy a house without a realtor?
We recommend using an agent so you can tap into their valuable expertise and support ― especially since you won’t have to pay your realtor’s commission (learn more).
That said, you may not need a realtor in a handful of situations:
🤝 When you buy a FSBO house from someone selling a house without a realtor (a.k.a., For Sale By Owner), the seller may refuse to pay an agent’s commission. If you don’t want to pay a realtor yourself ― and you feel comfortable navigating the process solo ― you may decide against signing with an agent.
🏗 When you get a new construction home, you often buy through the building company rather than a realtor.
✍ If you purchase a house from someone you know and trust, you may just use a real estate attorney to handle your paperwork.
💼 Buyers who have lots of home-purchasing experience may feel comfortable negotiating and handling the transaction without a realtor’s help.
| Pros of skipping an agent | Cons of skipping an agent |
|---|---|
| – Complete control over home-buying journey – Direct communication with seller | – Greater time investment – Responsibility for communication, negotiation, and paperwork – Lack of access to MLS database and certain properties – No guidance |
How to buy a house without an agent
1. Set your home budget
Experts say you shouldn’t spend more than five times your gross annual income, and that no more than a third of your monthly income should go toward housing.
You should also get pre-approval from a mortgage lender. That’ll help solidify your budget and prove to home sellers that you’re a serious buyer.
2. Find homes you want to look at
Next, you’ll want to think about your priorities. Do you care about schools? Crime? Having a south-facing driveway? Sites like Zillow can help you see what’s out there.
Then you can either schedule a showing through the website or contact the listing agent to set up a tour.
3. Make an offer on your favorite house
Once you’ve found the right home, go ahead and submit an offer. Your offer should include your proposed sales price, closing date, and any contingency clauses you want to add.
4. Get an inspection and appraisal
With any luck, the seller will accept your offer. Then you’ll want to get an inspection and a home appraisal done.
Depending on what the inspection finds, you might want to try negotiating after your home inspection. Or, if it comes back clean, you can enjoy feeling confident in your home purchase.
5. Close on your new home
Since you don’t have a realtor, you may want to hire an attorney to help make sure all your closing documents are in order. Some states actually require that an attorney attends closing.
You should also work with your lender to make sure you know exactly how much money you’ll need to bring to closing.
Will I save money by buying a house without a realtor?
Not really. Buyers usually don’t pay out of pocket for their agent’s commissions — that’s usually baked into the purchase price and paid for by the seller. Generally speaking, you’d be responsible for paying your own agent fees only if a FSBO seller refuses to pay your realtor’s commission.
» SEE: Better ways to save money when buying a home
Working WITH a realtor may actually be more cost-effective if they offer home buyer refunds in the form of rebates or cash back. Basically, your realtor shares a part of their commission with you!
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How does a realtor help me buy a house?
A realtor can help you throughout the whole home-buying journey:
🔍 When you’re house hunting, they can help you define your priorities, find houses within your budget, and arrange home showings.
🏡 When you’ve found a house you like, they can perform a CMA, help draw up a reasonable offer letter, and negotiate with the seller and their agent.
✍ When you’re under contract, they can recommend professionals (inspectors, appraisers, attorneys, etc.), communicate with the sellers, and attend the home inspection or walk-through with you.
FAQs
Can you buy a house without a realtor?
Yes, you don’t have to use a real estate agent to buy a house. In most cases, you should get a realtor to help you buy a house ― even though you don’t have to. Real estate agents give you valuable support with house hunting, negotiation, paperwork, and more.
Will I save money by buying a house without a realtor?
You won’t usually save money by foregoing a realtor when you buy. That’s because the seller pays the realtor fees for your agent―so you don’t have to worry about the cost. There are better ways to save money when buying a home.
Related reading
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