How to Make a Strong Offer Without an Agent in 8 Steps

As you’re looking to buy a home, it’s possible that you may not have a real estate agent. Whether you weren’t planning on buying a home and suddenly found a home you want to make an offer on, or maybe you worked in real estate, there are reasons that you may be buying a home without an agent. So when the time comes to make an offer, you’ll need to know the steps.

In this Redfin article, we’ll highlight the steps of making an offer without an agent. If you’re looking to buy a home in San Francisco, CA, or Dallas, TX, here’s what you need to know about making a strong offer on a house if you don’t have an agent.

Step 1: Create a plan and account for key considerations

Making an offer on a house without a real estate agent is entirely possible, but it can be complex and physically and mentally taxing. That is why creating a game plan and acknowledging potential limitations is a great place to start: 

• Create a plan: Establish a firm budget, evaluate comparable sales that may inform your offer and develop a strategy for professional communication with the seller or their agent.
• Seller’s agent represents the seller: Keep in mind that the seller’s agent is legally obligated to act in the best interest of the seller, not you. You’ll need to be your own advocate.
• Negotiations can be nuanced: Without professional representation, you’ll need to approach them with confidence, clarity, and a solid understanding of market value and contingencies.
• Expect a significant time commitment: Without an agent guiding the process, you’ll need to coordinate showings, research comps, draft offers, and stay on top of deadlines on your own. 

Step 2: Get pre-approved

If you’re buying with a loan, include a pre-approval letter with your offer. This shows the seller you can afford the home and you’re ready to buy. A mortgage pre-approval can also reassure the lender that your financing is likely to be approved during closing.

Step 3: Choose a price that can win

Price is usually what sellers care about most, so think twice before bidding too low. Here are some general guidelines:

• In a competitive market, homes tend to get multiple offers and sell for around list price or higher.
• In a less competitive market, or if a home has been for sale for 30 days or more, successful offers under list price are more common. However, a recent price drop could create new buyer interest and more competition.

Make sure to learn about the local housing market as it can influence how much you offer on a home.

Step 4: Cut back on contingencies

Contingencies are designed to protect you, but sellers dislike them because they give you the opportunity to back out of the deal. Look for ways to trim them from your offer without compromising too much (for example, you should probably include a financing contingency but may consider waiving an inspection contingency if the seller had a pre-listing inspection).

• Combine inspections. If you want to inspect for lead, oil, or other specific issues, consider looking into these as part of a general inspection contingency, rather than including separate contingencies for each one.
• Do some homework up front. In a competitive situation, you can ask to do a pre-inspection of the home. If you’re satisfied with the report, you can waive the general inspection contingency.

Step 5: Set a closing date for 30 days or less

Closing day is when ownership of the home transfers to you, the buyer. Most sellers like to close fast so they can wrap up the sale and get paid. In a seller’s market, a shorter closing period can make your offer even more attractive – cash offers usually close within two weeks.

If the seller wants more or less time, and the rest of your offer looks good, they’ll let you know.

Step 6: Pay your own closing costs

You have the option of asking the seller to pay some of your closing costs, such as title and loan fees. But generally speaking, the more costs you ask the seller to pay, the less appealing your offer becomes.

Step 7: Talk to the listing agent

When a home is for sale, there’s often a lot happening behind the scenes – buyers expressing interest, offers coming in, sellers considering their options. You may need to act fast or make your offer more attractive to stay in the game. Consider contacting the listing agent and asking:

• Have you received other offers, or do you expect to soon?
• When is the seller planning to review offers?
• Is the seller looking for a fast or flexible closing date? Do they have other preferences I should know about?

Step 8: If you get a counter-offer, negotiate

Once you submit your offer, the seller will review it and accept, decline, or send a counter-offer. If your offer is rejected, ask why so you can make your next one stronger.

Counter-offers are common. The seller may want to negotiate on price, dates, or contingencies. But remember – your initial offer must catch the seller’s eye and convince them you’re serious about their home. If it doesn’t, they won’t bother negotiating. Look for a balance between your needs and the seller’s, and you’ll be on your way to sealing the deal.