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In today's hot real estate market, you need to be able to move quickly.

Houses are quickly disappearing from the market, many are receiving multiple offers and more than half are selling above the asking price. This is on top of the already complicated process that requires the paperwork, negotiations, and the huge sums of money that come with it.

Because of this, the vast majority of home buyers and sellers work with a real estate agent: 89% of sellers and 88% of buyers, according to the National Association of Realtors. "Without a realtor, I wouldn't buy or sell a home," said Stephen Brobeck, a senior fellow of the Consumer Federation of America, a nonprofit consumer protection organization.

With over 3 million licensed real estate agents in the US, finding one is easy. But just under 6.5 million homes were sold last year, so you may need to do a little more research to find an experienced agent with a good understanding of your local market.

Most realtors out there are reasonably knowledgeable, Brobeck says, but a seasoned realtor can help you identify the little things you need to do to get the best deal possible, or to get the best deal when selling a home.

Working with the right real estate agent can help make your home buying or selling process much smoother. Before you register with the first real estate agent found, here are five tips to make your search for the perfect real estate agent a little easier.

5 Tips to Selecting the Right Real Estate Agent for You

1. Be prepared

If you are well prepared and know what you want, it will be easier for you to find a broker that suits your needs.

As a buyer, you should get pre-approved for a mortgage. "It is important for the buyer to qualify for a mortgage," says Brobeck. "A lot of the best agents won't really care if you haven't [pre]qualifies for a mortgage. "Once you know how much home you can afford, you can speak to agents who are experienced with the types of properties in your price range. For sellers, you can search websites like Zillow or Redfin to get a rough idea of ​​the value of your home and how long it might take to sell.

If you know which segment of the real estate market your property fits into, e.g. If you are selling your family's vacation home, you may not want to work with someone who is only experienced in dealing with first-time buyers.

2. Ask friends and family for recommendations

When looking for an agent, you should interview several people, and a good starting point for your search is your existing network. Family, friends, and co-workers who recently bought or sold a home can be good sources of unbiased recommendations from real estate agents.

You can look at online reviews for local agents, but they should be used with caution. "Almost all of these ratings are created indirectly by the agents themselves, so there's a positive trend," says Brobeck. You can also check out a realtor's social media presence which could also be a good marketing tool if you are selling a home. "You can make a good sense of someone based on the kinds of things they share on Facebook and Instagram and decide whether you would really trust that person with your precious assets," said Karin Carr, a licensed broker and CEO of Georgia Coast Homes.

3. Find someone who is active and experienced in your area

When interviewing brokers, be sure to check how long they have been in the industry and whether they work part-time or full-time in real estate. "I worry if someone does this on the side," says Carr. What if they are unavailable to view homes because they are doing their full-time job, explains Carr. Also, to get an idea of ​​what type of experience someone has, you can request a list of their past transactions to see what areas and types of properties they are experienced with.

You want someone who knows the nuances of the local market that you are buying or selling in. And it can be helpful to have someone who lives relatively close to where you are buying or selling. "I would choose someone from the local area, but as far as possible, it doesn't have to be someone who lives in that particular subdivision," says Carr. If your agent lives several hours away, this can limit their availability for last minute demonstrations.

4th Find someone who meets your needs and suits your personality

A big reason why meeting and interviewing some real estate agents before choosing one is so important is having the right personality. "It's an advantage to interview the person in person and not over the phone," says Brobeck. "You will pay them a lot of money. If you don't take the time to speak to someone personally, I would find someone else. "It's important to trust your agent and feel that you can rely on them when there is a problem.

The right broker can also help you with the emotional side of buying a home. "It can be a very stressful transaction. We talk about a lot of money changing hands, and especially when you've never done it before, "says Carr. You want to work with someone who has a style and expertise that suits your needs.

Be clear and straightforward about your expectations in advance and make sure that your agent is comfortable meeting them. "I have a friend who said he doesn't work on Sundays," says Carr. "Whenever he meets a new customer, he says, 'I just want to be very open with you. I don't work on Sundays. If that becomes a problem. Let us talk about it.'"

Pro tip

Find out in advance what times your agent will be available to ensure that it suits your needs.

Ask your potential agent:

  • What hours are they available for demonstrations?
  • At what times they are available for questions.
  • Your preferred means of communication.
  • Will you be working with them directly or mostly with a staff member or assistant?

5. Know what you are giving and receiving

Once you've found the person you want to work with, you'll usually need to put this commitment in writing. A typical exclusivity contract with a real estate agent has a term of three months, and a listing contract with a seller has an average term of six months. However, the duration of these contracts is negotiable depending on the market and your needs. Just make sure you are happy with the length of your engagement.

Real estate agents work on commission, and the typical brokerage fee is 5 to 6%. But if you are a buyer, you are not paying anything out of pocket. This fee is usually paid by the seller once the home is sold and shared between the buyer's and seller's agents.

You can shop around or negotiate brokerage fees, says Brobeck. If the home value is high, the total commission value can still be high, even if the percentage is a little lower. However, the lowest fee may not always be the best for you. "The real question shouldn't be just what you are asking for, but what do you do with that money?" says Carr. The cost of marketing a home comes from the agency commission, so a lower fee could translate into less pressure to sell your home. When you are negotiating the fee, make sure that you not only know what you are paying, but also what you are getting.

source https://seapointrealtors.com/2021/07/26/how-to-choose-a-real-estate-agent-5-tips/

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