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"Well when I go to buy a house for $300k and my agent gets his $9000 for doing only a few hours of work, he'll essentially have earned $3000/hr. Thanks for making the RE attorney look like a freebie by comparison. "
Not true, in most cases. It might be true if you were paying for your agent as a buyer (as Pennoyer points out, where the seller isn't using an agent and it's a "for sale by owner"). But if the seller has an agent, the buyer's agent is free as far as the buyer is concerned, since the seller is paying for the buyer's agent too.
However, if you hire a lawyer, you ARE paying, out of your pocket. And depending on how many offers you need to make before you get an offer accepted, and how complex the transaction is, the legal costs can become quite significant. I'm not suggesting that a buyer shouldn't use a lawyer (although my personal feeling is that in most deals it's not necessary); I'm simply saying that from a cost perspective it's going to come out of the buyer's pocket, unlike an agent.
As an agent, I've also rarely, if ever, only done "a few hours of work." Again, I think you're missing an understanding of how the process works and how much time agents usually spend on a transaction.
Anyway, BobbieBRB, glad we could all help. Bottom line: use an agent; they're free to you as the buyer and their job is to help you minimize costs, get the best deal you can, and reduce your level of hassle and time.
Since February 2009
Since October 2009
One other thing to keep in mind is that you'll pay an attorney up front, but you won't pay an agent, since the seller pays both agents' commissions. I also haven't seen a $150/hr attorney in a long time - usually it's well over $200/hr.
One of the comments suggested that you try to get the seller to reduce the price by the 3%. This is usually the commission the seller's agent pays to the buyer's agent. Since the seller won't have to pay your agent (since you won't have one), the theory is that the seller can just reduce the price by that amount. But the seller can't do this, in most cases. The listing agreement with the seller's agent states that the seller's agent is entitled to a commission of x% of the sale price. The seller's agent then promises to pay a portion of his commission to the buyer's agent. If there is no buyer's agent, then the seller's agent is entitled, contractually, to the entire commission. The seller has no control over it, in most cases. So if you wanted to negotiate a reduction, you'd really have to do it with the seller's agent, not with the seller.
Don't hold your breath.
Anyway, since the agent service is free to you, you should probaby take advantage of it and use an agent to represent you. Unless, as has been pointed out, you're familiar enough with real estate transactions to do it yourself.
Since February 2009
My clients use me to make sure they don't pick the wrong house or overpay for it. But if you are sure abourt those things you can use a lawyer for a pretty cheap flat fee:
Since February 2009
Lender rating
Since January 2009
... and, it's free and anonymous
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I'm doing all the work So why have a agent
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