Post # 1
My husband and I have found a home that we love. They are using a listing service, but it’s for sale by owner. Has anyone bought a home that is for sale by owner? We’d love to drop our agent, as she’s a moron, and someone said that if we didn’t use an agent, we might be able to bargain better with the owners. If someone has experience with this, any advice would be greatly appreciated.
Post # 3
We put an offer in on one FSBO. In that case, the sellers had agreed to work with the buyer’s agents—we got outbid anyway, though. I would absolutely have an agent or at a minimum a real estate lawyer handling it, though—especially if you’re first-time buyers, you want to make sure your interests are protected. There should be reduced commission or a flat fee because the seller did the marketing and you found the home, though. Where we live a standard commission is 6%, split 3% to seller’s agent and 3% to buyer’s, so we did 1.5% with our FSBO offer, I think. This theoretically translates into a lower price for the house since the seller doesn’t have to pay such a large fee. There are also some agencies in our city that specialize in flat-fee sales. (The agent definitely still gets something, though, because they will need to do a lot of paperwork on your behalf; you’re paying them—or rather, the seller is paying them—in part to make sure you don’t get taken for a ride.)
All of this said, if your agent is a moron, you should get rid of her anyway! 🙂 The last thing you want is an agent without a clue trying to negotiate badly for you, whether the sellers have an agent working for them or not.
Post # 4
Yea, I’d be very anxious to buy a house without a realtor on my side, even more so if the seller is making everything up as they go along too. You want someone who is versed in real estate law to be telling you what the seller is obligated to do and how to structure your offer, handle the appraisal and get a really good home inspector and title company. (The differences between good and bad in all of those cases can be a huge problem.)
If you don’t like your agent, find one you do!
Post # 5
we bought a FSBO but we were going through a realtor. Worked out great and we love our home!