Do I Need a Realtor to Buy a Home?
Do you need a realtor to buy a home? No, you don't. There's no law that says you have to hire one.
But that doesn't mean going without one is in your best interest. After about 25 years in Atlanta real estate, I've seen what happens on both sides of that decision. Here's my honest take on when you need an agent, what one actually does for you, and who can reasonably go it alone.
The Short Answer
You're not required to use a realtor to buy a home
Finding the house is only about 10% of the process
The other 90% is where an experienced agent protects your money
The seller usually covers the buyer's agent fee, but every fee is negotiable
A small group of very experienced buyers can reasonably go without one
Finding the House Is Only 10% of the Job
Most people think a buyer's agent is someone who unlocks doors and sends listings. With today's home search apps, you can do that part yourself. That's the easy part.
In my experience, finding the house is only about 10% of the real estate process. The other 90% is everything that happens after you say "that's the one."
What the Other 90% Looks Like
A good buyer's agent navigates and guides you through:
Inspections
Appraisals
Contract outs and contingencies
Title issues and concerns
Mortgage fees
Negotiating price
Closing date
Items left in the home
Repairs
Past insurance claims
Open work orders
Property taxes
Contractor quotes
Any one of those can cost you thousands of dollars if it's handled wrong. Several of them come with hard deadlines, and missing one can cost you your leverage or your earnest money.
It's More Than Reading the Contract
Some buyers figure they'll just hire an attorney to review the paperwork. Attorneys are great at what they do. But I've been the agent for multiple closing attorneys over the years. Even people who close real estate deals for a living hired me as their agent. That tells you the job is about more than understanding the contract. It's about knowing the market, the people, and the moves to make at every step.
How I Got a Client $40,000 Back
Here's a real example of the other 90% in action.
I had a client buying new construction. The project went sideways. It ended up 12 months past the expected completion date, and my client was stuck waiting with a lot of money tied up in it.
The tricky part was the timing. The buyer's contingencies and deadlines were well in the past. On paper, it looked like there was no easy way out.
I was able to navigate the situation and get my client out of the deal, along with the return of $40,000 in construction deposits and upgrades.
A buyer on their own, past every contingency deadline, would have had a very hard time getting that money back. That's what experience is for. It's not about the day everything goes right. It's about the day something goes wrong.
What Does a Buyer's Agent Cost You?
This is the question behind the question. A lot of buyers worry that hiring an agent means writing a big check out of pocket. Here's how it actually works.
Every Fee Is Negotiable
Broker fees are a negotiation, just like everything else in real estate. Commissions aren't set by law. The National Association of REALTORS® says agent compensation is fully negotiable for both buyers and sellers.
Who Usually Pays
In my deals, the most frequent arrangement I see is about 3% of the purchase price going to the buyer's agent and about 3% going to the seller's agent, with the seller typically paying both. That's what I see most often, not a fixed rate, and your deal may look different.
The reason sellers usually cover it is simple. The buyer is already carrying the brunt of the costs: the down payment, the title attorney, the inspection, and mortgage lender fees. If the buyer also has to pay their own agent, they usually have less to spend on the house itself. A buyer who is capped out on budget often has to offer less. So when a seller covers the buyer's agent, it helps keep their home affordable to more buyers.
The Written Buyer Agreement
Since August 17, 2024, under the NAR settlement rules, agents who use the MLS need a signed written agreement with you before they tour a home with you, including a live virtual tour. That agreement has to:
State the agent's compensation in a clear, specific amount or rate
Prohibit the agent from receiving more than that agreed amount
Say plainly that fees are not set by law and are fully negotiable
Sellers can still agree to pay your agent's compensation or offer concessions, like help with closing costs. Those offers just can't be posted in the MLS anymore. I walk every buyer through this agreement before we start, so there are no surprises about who pays what.
Who Can Reasonably Buy Without an Agent?
I'll be fair about this. There are buyers who can go it alone. In my opinion, it makes sense if you are:
A long-time investor with more than 10 deals under your belt. You've seen the inspections, the appraisals, and the curveballs enough times to handle them.
A former broker. If you used to do this for a living, you know the process.
An agent licensed in a different state. The rules and customs vary from state to state, but you know how a transaction works and what to watch for.
If you don't fit one of those, my honest advice is to hire an experienced agent. You don't need one to buy a home. But the other 90% is where most of the money is won or lost.
So, Do You Need a Realtor to Buy a Home?
No, you don't. But for most buyers, it isn't in your best interest to go without one. Finding the house is the easy 10%. Inspections, appraisals, contingencies, title, taxes, repairs, and negotiations are where an experienced agent earns their keep, and where a mistake can cost you thousands.
If you're thinking about buying in Atlanta, let's talk. I'll walk you through how it works, what it costs, and who pays, before you sign anything.