It is a general opinion that brokers are generally selfish and indulge in many fraudulent activities which will lead to inflated home prices and issues. While this is partially true there are a bunch of realtors who are professional and they really care for the home buyers. This article is written keeping in mind good realtors in the market. Now let us look at various risks involved in buying a home without a realtor.
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Paying a Premium
If you don’t have a realtor while negotiating pricing with the seller there is a chance that you might end up paying extra. Without a broker the price is decided by the home owner who may not be an expert in the current market pricing. It is a common occurrence that they will over price their property and also might not be willing to negotiate. The same scenario with a broker will be different. He will have a clear idea about the market pricing and also know how to evaluate a property and will guide the seller in pricing it right.
Lack of Availability.
If you have selected a property for buying without any realtor, then you have to deal directly with the seller each and every time. Like you, the seller is also a common man with his own set of commitments and timing constraints. He might not answer your phone call all the time as he might be busy with his work. He might not be available for a property visit at your convenient time and you need to reschedule many times as per his availability. If there is a realtor, you don’t need to wait or reach to seller for these things and it will be taken care directly by realtor. He will be working full time on this and will be available almost all the time when you need him.
If you are approaching a seller without a realtor then you need to blindly trust whatever the seller is telling about the property. A property might have had many issues in the past including both emotional issues and physical damages or even legal disputes. A buyer who is a common man is not capable enough to carry out all the background checks by himself. A seller might not disclose all the negative things about their property as it might hinder the sale or reduce the cost. With a realtor, he will know the neighborhood clearly and will have a decent idea about the property history. If there are some negative incidents or legal issues with respect to property it becomes the responsibility of the realtor to disclose those things to the buyer and safeguard him.
If you are planning to a buy a home in a new location for which you are a total stranger it is strongly advised to take the help of the realtor. Location of the property is of prime importance. As a new comer you will have no idea about the facilities in the area like hospitals, schools, colleges, transport connectivity, security, etc. If you hire a realtor he will be an expert in that area and will guide with all the pros and cons of the area.
Growth Potential and Risks
When you buy a property either for self-occupation or investment you would prefer it has got a good growth potential and the property value doubles in a decade or so. You might not be aware of the future scope of the area completely; a local realtor will have a much better idea about this as he has got good contacts with local government agents. He will be able to guide you about upcoming development schemes in the area by the government, One example is when you look at a area, it might not have a Metro Train facility, but a realtor might be able to tell you whether government is planning to introduce the same or not?
Another issue is the future infrastructure projects might cause the property some issues, Government might plan a new flyover which requires land acquisition and the property you have selected might come under that area causing unnecessary worries.
These are just some of the many risks in buying a property without a realtor. Selecting a reliable and honest realtor is the most important thing, so enquire among your friends, relatives to find a good realtor who will help you land your dream home.