Rumors about the enormous and undeserved earnings of realtors often keep many people restless. After all, what’s so difficult? Show a house to a client, submit an offer to the seller, sign the deal, and collect commission that seemingly falls from the sky… Why not do all this yourself? After all, as they say, even gods don’t make pots themselves.
Want to “buy real estate” without an agent? Let’s go through all the steps and hidden pitfalls—what should you expect? Maybe it’s not as scary as it seems?
Everything starts when you decide to buy a property. You believe that the unnecessary link in the chain “seller – seller’s agent – buyer’s agent – buyer” is your agent, and logically, by skipping the buyer’s agent, you could save that 2-2.5% by dealing directly with the seller’s agent (who, unfortunately, you cannot remove from the process).
At the beginning of the search, I usually work with my clients to determine the search area—property type, location, proximity to public transport, school options, etc. We also analyze past sales of similar homes in chosen neighborhoods and assess market trends (whether prices are rising or falling, and how fast) to make informed predictions about potential property value and what fits within the budget.
Without an agent, you will have to do all this research yourself. Keep in mind that an error in your initial assumptions can end up costing you a lot.
On a typical viewing day, I shortlist about 10-15 properties that match a client’s budget, preferences, and location criteria. Suppose you are able to identify suitable options on your own and determine whether a price is too high, slightly undervalued, negotiable, or if a bidding war is coming.
To view a property, you must call the seller’s agent and schedule a showing. If you want to see 10-15 homes, you need to do this 10-15 times with different agents (and there’s no guarantee all of them will respond or be willing to meet with you). I believe you wouldn’t shy away from any effort to save money, but knowing how agents typically treat bargain hunters, I would love to see how this plays out. I’m not saying it’s impossible. Probably possible. In any case, life is about trying everything, and this is a great opportunity to do so.
Don’t forget, your own agent (a buyer’s agent) will analyze many properties and advise which ones are better or worse—because they prioritize your interests and don’t have a preference for any particular home. What you buy isn’t critical to them; what matters is that it meets your needs. The seller’s agent, on the other hand, will not show you other properties and will insist that their listing is the best choice (which is fair—they work for their client, not for you). As a result, any drawbacks of that specific home may not be disclosed to you—or may even be intentionally hidden.
Let’s stay focused and continue our agent-free house-hunting journey.
So, you have now viewed 10 homes with 10 different seller’s agents. By the way, you won’t be allowed to see a home on your own, without a realtor, because sellers don’t usually allow random strangers to walk through their homes unaccompanied. But let’s say you managed to overcome this small obstacle and have chosen a property you like.
Now comes the big moment: you’re ready to submit an offer without your own realtor, expecting to save the agent’s commission.
At this exciting moment, ask yourself a few questions:
- Why would the seller’s agent agree to lower the price for you?
- Why would cutting out 2% in commission be in their best interest?
- Why wouldn’t they simply tell you that there are two more offers (with three more incoming) and that you need to act fast before the property is gone?
And since you decided to save on your agent, you won’t have anyone to verify whether this is actually true.
The seller’s agent works for their client, not for you. You are just a random buyer, and if the deal falls through (for example, you fail to submit the deposit or secure mortgage approval), they will be responsible for explaining it to their client. Why would they take that risk for free? You are simply easy prey for the seller’s agent, who will collect the full commission while making you do all the work.
Right now, we’re in a growing market with multiple offers on almost every attractive property. Homes are usually listed at a certain price, but in reality, the seller expects to receive 10-15-20% more. If you walk in and ask for a 2% discount just because you’re not using an agent, put yourself in the seller’s shoes and imagine the poetic, rhymed response they might give to your offer.
In practice, from my experience, buyers who try to save on an agent do NOT get a better deal. They simply don’t know what a good deal looks like, don’t know how much commission the buyer’s agent actually received, and don’t know how much of a discount the seller was really willing to offer. I’ve seen cases where a buyer without an agent managed to get a 2% discount, but if they had used an agent, they could have negotiated 5% off while the agent still got paid. Why do you think that happens?
Let me conclude with an obvious point.
If you want to save more than the agent’s commission—find a good agent.
You know the number (and if you don’t, here’s a hint: 416 305 6525).
