I'm shopping for a house. I got a group of listings, and as I was driving by one of the houses, I ran into the guy selling it who reccommended that we leave out the real estate agent and save us both some money. Have any of you ever done this? What are the pros and cons?

I'm a mortgage lender, we work with and with out the real estate agent. It basically cuts the cost of their commission, . If this guy, has away to get the title work, the apprasial done, and a way for you to get the loan, great. Not to mention the insurance taxes, etc...

Pros: save some moneyCons: no professional representation.I personally prefer to leave out the agent, most of them don't know all that much more than common sense will tell you. Have the house inspected, it will probably cost you a few hundred bucks. Make sure the seller fills out and discloses any and all potential problems with the house and have everything that is included written into the contract. Check a book out of the library on real estate transactions and learn a little yourself and you could save yourself a couple thousand bucks. The last house I bought (with an agent) the agent commission was just under 20 Grand. Good Luck.

We bought our house 16 years ago straight from our neighbor. I'm the one that had to call the attorney and set up appointments and supply information so they could do a title check on the property. I had to test our water and take it to the PSA. Twice it came back bad and we had to dig and fill the well with clorox bleach. Finally got that right. We had to call an inspector and septic guy. Everybody had to be paid out of pocket. We finally got the house after about two months. Lot of work. Next time, I'm willing to let a realtor do all the running.

He's not saving you any money. He's making himself MORE money. By leaving out your real estate agent, he gets the whole commission himself. If the house is selling for $200k, and the commission is 6%, the total commission is $12,000. If you have an agent representing you, this commission would be split $6,000 for the seller's agent, and $6,000 for your agent. Either way, it's not saving you or him any money. To answer your question, though, yes I have bought properties without an agent but if you're brand-new to housebuying, I'd get one. They cost you nothing. The seller pays their commission.

I am a real estate agent and many people sell their homes "For Sale by Owner". In North Metro Atlanta it takes the average "For Sale by Owner" 180 days or more to sell per local for sale by owner magazines. Full time real estate agents sell, on average, within 60 to 90 days or less, so the motivation factor is there. Is it worth continuing to pay monthly payments, taxes, upkeep, etc. to sell your own home. Most homeowners have no idea the different avenues to market and most are free.Pros: You as the buyer pay no commission. You as the buyer are protected and remain within the laws of your state most homeowners are not familiar. By not using an agent you need to hire a real estate attorney that is your expense unless you feel confident and absolutely sure about the deal. Using an agent, the agent does this for free for you.Cons: Many times during negotiations homeowners selling their own home will tell the agent I need this amount of money to pay a commission which may be more than quoted. The actual price can be substantiated by comparable sells in the area and the home can never sell for more than its actual value in most cases. This is negotiable because the agent will make the homeowner understand he stands to pay more monthly payments, taxes, etc. than if we can do the deal now. The disadvantage is not to you the buyer but to the homeowner because you need to make absolutely sure it is a good contract being offered, the price is reasonable, and their are no liens or outstanding loans against the property you have no knowledge of.Protect yourself and be extremely careful. It can be a good buy but make sure before you do it.

don't let the "chicken little" out there scare you...get a purchase and sale agreement filled out (you can probably pick one up at office depot..or find one online), make sure you make your offer contingent on a home inspection and any other items you see needing repair on the home. Offer the seller at least 8-12% less then what he is asking depending on the market you are in and what he is asking (this is the amount that would be paid to agents if they were involved) You can check with your local assessors office to determine recent sales with like homes in the area for market type anaylisis. Then find a good title and closing agent in your area..(ask around who your family and friends have used)..list this title and closing agent on your purchase and sale agreement...you or the seller brings this document with your ernest money to the title and closing office and sit back and wait for a your closing date....It is as simple at that, I have bought multiple residences, rentals and raw land without agents...you can to!