Buying an Off-Market deal WITHOUT a Realtor

[Alyssa Davis]

I'm currently renting a house from an owner in California and the owner wants to sell it ASAP. We've discussed buying the house directly from her (off-market/before she tries to sell it) and she told us to make her an offer. She has made it clear that she will not be using a seller agent to represent her and that she is looking to get "market value" (wants the bidding war common in the CA market) and will NOT consider seller financing.

Currently I am trying to figure out how to make a compelling offer (knowing seller's alternative is to wait for the bidding war to ensue) -considering things like paying all seller closing costs, waving any requests for credits (based on issues that come up in the inspection), but most likely keeping all the contingencies. The house needs quite a bit of cosmetic work/upgrades, but we are aware of these issues (since I've been living there for 2+ years). Long term strategy would be a buy & hold with sweat equity to provide some added value. Also considering foregoing a real estate agent and just working with a real estate attorney to save on closing costs. The money saved would allow me to better fund the rehab.

Would appreciate opinions on forgoing a buyers real estate agent to represent me since I live there, know the market, and already have a relationship with the seller, have access to the property, etc. This would be my first property. Also would love to hear your thoughts on how else we can make the offer more enticing besides throwing more money at it. Unfortunately at this point in my investing career, I have more time than money.