Do you think not hiring a Realtor to help you purchase a home will save you money? Practically every home listed for sale is listed through a Realtor. Let me drop some knowledge on you.

Prior to the home being listed for sale, the seller has agreed to pay the Listing Realtor a commission (Typically 6%) and the Listing Realtor has agreed to pay the Buyer’s Realtor part of that commission (Typically half of the Listing Realtor’s commission, 3%).

When you approach a home for sale on your own, that Listing Realtor just becomes your Realtor with a Dual Agency Agreement. The Listing Realtor will be getting both sides of the commission (6%) anyways per their previous agreement with the seller. None of the commission will end up going to you as the buyer, hence, you’re not saving anything trying to “represent yourself”. Dual Agency is illegal in some states for obvious reasons, however, it is a common practice here in Arizona. Will the Listing Realtor really have your best interest in mind? I like to think they would. The crazy thing is some buyers still think they were representing themselves even though they had to sign the Dual Agency Agreement.

Personally, I would prefer to have my own representation and I will always highly recommend that to anyone else buying a home. It doesn’t cost you a thing! It’s pretty reasonable to agree that most homes listed for sale are listed at a higher price as the seller is usually expecting to negotiate a little bit. Do you know how much to offer without over paying? Your Realtor will have access to the tools you will need to assess the value of the home and help make sure you do not over pay. Your Realtor would negotiate with the Listing Realtor on your behalf with your best interest in mind. Your Realtor will assist you through with the entire 30-45 day escrow process, walking you through the home inspection period, the loan process, contracts, buyer inspection reports, seller disclosures, appraisals, warranties, etc.

There are a lot of things you can do yourself these days, but buying a house without an experienced Realtor is something you ought to think twice about. You are very likely to save more money with a Realtor on your side! I know that may sound like a sales pitch, but it is the reality of how real estate transactions are conducted in Arizona.

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Home Buying Mistake