Working with a Realtor® when Purchasing a "For Sale By Owner"

It is possible to sell your home without the assistance of a real estate professional.  Many people have done it.  But before you take the plunge, there are a number of things you may want to consider.

Most real estate agents working for buyers learn about properties for sale through the Multiple Listing Service (MLS), a database of properties that is available to agents.  The only way you can get your home into the MLS or listed on the mega-site Realtor.com is to work with an agent.  Without exposure in these very important databases, the only ways people will learn about your home is through word of mouth, by driving by, or by seeing a classified ad in the paper (that you place).

Some agents don’t like to show homes that are For Sale By Owner for the simple reason that they won’t get paid if their clients purchase the home.  When competing properties offer agents commissions, there’s no reason for an agent to bring their clients to homes that offer no commission. 

Certain buyers may feel intimidated or uncomfortable viewing a For Sale By Owner home.  Asking questions and negotiating is often easier for buyers if there is at least one agent to act as a go-between.

As if not being listed in MLS and discouraging agents from showing your home wasn’t enough, when you are responsible for showing your home, you have to be there.  Many sellers do not realize how much time and effort is involved in showing a house to potential buyers.  Furthermore, the people who come to your home might not even be qualified buyers.  A seller’s agent will help to pre-screen potential buyers and handle all the arrangements to show the home.

Finally, selling a home can be a complicated legal process.  Pre-closing paperwork can be overwhelming, and any issues with the title of the property or fulfilling contingencies can turn into major headaches.  A seller has a number of responsibilities to the buyer, and unless you’re completely comfortable with your understanding of the ins and outs of real estate law, you could encounter legal complications.