Buying a home without real estate agents when both parties know each other requires a structured approach to avoid legal disputes and financial risks. Key steps include drafting a legally binding purchase agreement, conducting a thorough home inspection, negotiating price and terms directly, and ensuring proper funding and closing procedures. Both parties should document all communications, verify property ownership through county records, and consider hiring independent professionals for inspections and appraisals.

This process is feasible but demands meticulous preparation. A 2023 National Association of Realtors report found that 9% of homebuyers in the U.S. used a direct purchase agreement, with savings averaging $15,000 compared to traditional agent-mediated transactions. However, the same study noted that 34% of FSBO (For Sale by Owner) deals faced delays or falling through due to incomplete paperwork or miscommunication. Negotiating price directly can save 5-6% on closing costs, as real estate agent commissions typically range from 5-6% of the sale price, according to the CFPB. Additionally, a Bankrate survey (2022) revealed that 68% of buyers who bypassed agents reported higher stress levels, underscoring the need for professional guidance during negotiations. Legal compliance is critical: 22% of failed FSBO transactions in 2023 involved disputes over property boundaries or liens, per the American Bar Association. Thus, while cost savings are possible, thorough due diligence and transparency are essential to mitigate risks.