Buying property without realtors

[Texaus 389]

Always had a realtor to walk me through the process. Made an offer and owner accepted. Financing is not a problem. Do we just make appointment and walk into a title office together and deal gets done?

[1978horn 904]

Sounds like you need the assistance of a realtor

[GlenFromTheMailRoom 1639]

41 minutes ago, Texaus said:

 

Always had a realtor to walk me through the process. Made an offer and owner accepted. Financing is not a problem. Do we just make appointment and walk into a title office together and deal gets done?

 

If you're buying, you don't pay them anything.  Seller pays commission.  Why would you not use one?

[South Austin 53151]

I've bought my last two houses without a realtor and gotten the sellers to give me a credit for the 3% they would have otherwise paid my realtor.  My wife and I are both lawyers, but even nonlawyers can fill out a standard Texas Real Estate Commission form contract. 

Realtors can be helpful for first time buyers or buyers who recently moved to a city and are unfamiliar with the market.  Beyond that, I don't think they add much value.  I think they're much more valuable for selling a house (pricing, marketing, staging, etc.).   

 

 

[BrazilHorn 6788]

Responsible party to ensure all paperwork in order is seller. 

You need to negotiate earnest money amount, how many days you have to pull out (giving up money potentially)

youll need to line up an inspector (do not let sellers agent do this for you)

you may want to pay to run a title search 

[Texaus 389]

My offer was significantly below appraised value and seller agreed to the offer in large part because he won’t have to go through trouble of listing with an agent and paying the 6% commission. This land abuts property I already own and I want it badly. Appreciate the advice.

[Chicken fried bacon 46]

Make sure you have a lawyer review all the documents before you sign anything. 

[Errestaurants 2570]

i sold a property without a realtor and we just had the title company prepare everything.  I could be leaving out some minor details as its been 8 years but i remember it being very easy. 

[dlatin 328]

36 minutes ago, Errestaurants said:

i sold a property without a realtor and we just had the title company prepare everything.  I could be leaving out some minor details as its been 8 years but i remember it being very easy. 

I sold my last house sans realtors.  We used a standard TREC contract, i used contracts from prior house purchases as a guide.  We lined up a title company and the title company handled everything.  It was pretty easy.  It helps if both parties are honest peeps negotiating in good faith.  Both parties made out well in the agreement.

[Bernard 879]

As stated above, fill out the TREC contract. There's one specifically for land. After both parties sign, walk it in to any title company and say, "I have a purchase/sale contract and want you to provide title insurance." Deliver earnest money to the title company at the same time. Check made out to title company.

Is there an existing survey? If so, deliver that to the title company as well.

Bernard 

[TexasEd 8248]

If just land main thing is to review the survey for easements and title restrictions.  Title company on the hook for any liens.

[dcbc 14641]

Texas Association of Realtors website has all of the forms available to download.  No need to reinvent the wheel when it comes to documents.  You can always read through them and strike/initial language that doesn't benefit you or otherwise applies to you.

[Bernard 879]

I think you mean TREC website, not TAR website. 

Bernard

[dcbc 14641]

Yes.  It's been a while.

https://www.trec.texas.gov/forms-and-contracts

[elnimo 55]

I just closed on my home solo. 

TREC form is pretty standard.  Make sure you fill out Section 23, which is your option.  Fee should be no more than $250, and I'd ask for as much time as you can get (10 days at least).  This is your get out of jail card (i.e., you can terminate and get your earnest money).  If your option period expires, and you terminate, you lose your earnest money.  Also make sure you pay the fee ASAP after the agreement is signed and get the seller to sign the option fee receipt on the last page of the form contract.  That is super key.  Seller pays for the title policy (6a).

Make sure you attach all of the necessary addendums.  Third party financing, HOA (if applicable), Non-Realty items (if you are getting any property other than fixtures), etc...

Make sure you have the inspection done ASAP (if not vacant land) after signing.

Section 6c deals with survey.  You can use the existing survey if your title company and lender are ok with it, or you can get a new one done.  If the survey is really old, or the seller has put up buildings or a fence since the survey was done, you might want a new one.  Give yourself at least 20 days to get a survey done if needed. You may also want to opt for the additional shortages endorsement.  

Some people ask for a home warranty (7(h)).  $400-$550 is customary and its a Seller cost.

Title company will run title, but make sure you read the commitment and the exclusions and permitted exceptions in the commitment.  For residential, that's usually all standard.  But read it anyways and ask the title company if you have questions.

The biggest time suck is negotiating any repairs and getting those done or costs approved prior to closing.  It's friggin brutal.

If you are financing, give your bank 30 days from the end of your option period to get the appraisal and close.

 

Edited April 7, 2018 by elnimo

[Anastasis 23699]

What’s the purpose of the additional shortages endorsement?

[MNLonghornFUKM 8963]

Bought my lot I'm building a house on this yr without a realtor. Basically emailed the developer and said I'd like to buy lot x on block y.

 

I dropped off a 1000 holding check until my home equity loan was approved, and when I got that check, walked into the title company, signed the papers and handed them the check.

 

The lots next to me were bought by home builders which marked the price of the lots up almost 8 grand more for what I paid for.

 

 

[UTPhil2006 3907]

Definitely have a lawyer look over everything.  Mortgage company can assist with helping you find, set up a title company