15 Things I Learned Selling a House Without a Real Estate Agent

I have sold several homes throughout my lifetime, and I chose to do the process myself each time rather than work with a real estate agent.

That isn't the right choice for everyone, but with my financial and legal background, I felt comfortable doing it. And I wanted to save on commission costs as these can be a very expensive part of investing in real estate.

As a bonus, I learned a lot about the sales process because I had to handle every aspect of the transaction myself. And are my 15 biggest lessons.

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The biggest thing I learned was the importance of proper pricing.

Obviously, no one is going to buy a home that's priced too high based on market value. But while it's easy to assume you can just lower the price later, this creates a few problems.

You miss the "new home" buzz and the attention that goes with it if you don't price the property correctly. And once you drop the price, people start thinking you're desperate to sell, so they may not offer as much as they otherwise might have.

On the other hand, you also don't want to price the home too low and get less money than you could. So, it's important to carefully research market values.

ALSO READ: Home Prices Are Up More Than the S&P 500: How Real Estate Investors Can Take Advantage

If you want your house to look its best, removing clutter is key. Having too much stuff around can obscure the house's features or make it look smaller -- neither of which is good when trying to attract buyers.

It's also important to make sure each room has a clear purpose, as potential buyers need to be able to visualize how they would live in the house. A dining room that doubles as an office, for example, is less attractive than a dining room with a nicely set table.

When I first listed my house, I took the pictures myself and got very little interest. The problem was that my photos weren't as professional or attractive as competing properties.

Once I hired a professional to photograph it, they made the space look much nicer. And since pretty much everyone looks first for houses online, the right pictures are crucial.

ALSO READ: Selling Your Home? You'll Want to Hear This First

Selling a home is more likely to go well if you have a huge pool of potential buyers looking at it. And to get your house in front of the majority of people looking for a property, you will need to be listed on the MLS.

The MLS, or Multiple Listing Service, actually refers to local databases of properties for sale. Real estate agents are the only ones who can put homes in the MLS, but those selling homes themselves will likely need to find a way to post their homes there. This usually involves working with a flat-fee MLS service.

The MLS is not used only by agents helping clients find homes; it is also the data source for most of the popular online home search websites. If you aren't in it, you'll really narrow your pool of potential buyers.

When I opted to sell my house on my own, I did so to avoid paying a commission. But you typically cannot escape real estate agent fees entirely.

You can save money by avoiding paying a seller's agent. But almost all buyers are represented by an agent of their own -- who is going to expect to be paid.

If you list your home on the MLS, you are actually required to offer at least some commission to the buyer's agent. And if you offer much less than is standard, chances are that agents are going to steer their buyers elsewhere.

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Selling a home is generally not a very quick process. You may have a huge number of people come through your house before you actually get a viable offer.

Each time we sold our homes, we had to deal with arranging dozens of showings to potentially interested parties. Fortunately, there are online services that streamline this process by allowing people to request to see the property at a specific time by submitting an internet form.

ALSO READ: Here's Why We Could See an Uptick in Home Listings This Year

When you have a showing scheduled, you'll probably spend a lot of time getting the house ready. Unfortunately, this can end up being time wasted if people don't show up.

You should be prepared for many no-shows, as well as some people who come for just a second and then leave. Don't get too discouraged by this, as it's just part of the process.

When you sell a property -- especially if it is For Sale by Owner -- you're probably going to get people who make low offers. You can choose to counter these, which could, ultimately, lead to a viable deal.

But if the proposed purchase price is far below what you think your home is worth, you may not want to waste time negotiating back and forth with someone just hoping you were desperate enough to agree to a bad offer.

ALSO READ: How Real Estate Counter Offers Work

When you do get a reasonable offer, in most cases, you aren't going to just immediately accept it. You'll want to read the details carefully and see whether you want to counter on the price or any of the contract terms.

It can take several days, even a week or more, to finally reach an agreement with possible buyers -- especially if you are negotiating the deal on your own without an agent to help things along.

Buyers generally request a home inspection. And when they do, some minor (or perhaps even major) problems are almost always found. That's because it's rare to find an older, lived-in home that's in perfect condition.

This can pose problems, though, because potential buyers often use an inspector's report to try to reopen negotiations and either get money knocked off the price or get you to pay for repairs.

Keep this in mind when reviewing offers and be ready with your bottom line price you're willing to accept.

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Potential buyers may include a number of contingencies in their offer. These are conditions that must be met prior to a deal going through. They can include financing contingencies, inspection contingencies, and others, such as the sale being conditioned on the buyer's selling their own home first.

It's important to watch for these contingencies because agreeing to some of them can be really risky. While you may find you must accept an inspection contingency because almost all offers come with one, if the sale of your house is conditioned on another house selling first, there's a really high chance of the deal falling apart.

ALSO READ: Selling a House? Why You May Not Want to Accept a Contingent Offer

When someone does make an offer on your home, you want to know for sure they have the funds before accepting it and listing your house as pending. That means you should ask for a pre-approval letter or proof of funds if the buyers are paying cash.

A pre-approval letter is a letter from the bank indicating they've reviewed the buyer's financial credentials and determined the buyer can most likely qualify for a mortgage loan.

One of the most frustrating aspects of selling my house was seeing people come up with all sorts of ridiculous reasons not to purchase it.

In one case, for example, the wife who was visiting made clear she adored the house. But the husband didn't like our furniture and didn't want to buy the house because he thought it looked "old-fashioned."

The house wasn't being sold furnished, but he just couldn't look past the antiques we had decorated with to imagine the property with his own furniture in it. The bottom line is that you can't please everyone.

ALSO READ: 5 Reasons to Sell a Home As-Is

Even after you get an offer, you shouldn't expect to be able to walk away from your home right away. It can take weeks for the buyer's financing to come through, for title searches to be completed, and for the home sale to close.

You'll also have to pay closing costs when you move, including the commission to the buyer's agent and potentially for title insurance and transfer taxes.

Whether you have a real estate agent or not, selling a house can be time-consuming, stressful, and fraught with complications. But the good news is that the right buyer comes along eventually, and hopefully, you'll be able to get a fair price and move on your desired schedule.

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Whether or not you decide to use a real estate agent, you need to be prepared. The home-selling process can be time-consuming and stressful. Just keep in mind that you will hopefully end up in a better place at the end of the process.

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