How to Select a Listing Agent

 

If you've never sold a home before, the real estate world can seem intimidating... especially if you don't know where to start. Perhaps you're hoping that the real estate fairy will come and whisk you through the home selling process. Unfortunately, she's overbooked. Instead, you're going to have to get out there and find a suitable agent. You're probably full of questions. Don't panic yet. We're full of answers.

Where do I look for potential agents?

Look for agents who have a market presence in your neighborhood. Agents "farm" certain areas, making them experts in particular neighborhoods, types of homes, or even special clientele such as seniors or first-time homeowners. Look for an agent with expertise in your neighborhood for your type of home.

 

  • If you know an agent, or one of your friends raved about theirs you should think about contacting them first.

     

  • Check out advertisements. In the homes section of the newspaper, agents will advertise their listings and sometimes the homes they've sold. See which agents have the most listings/sold homes. Busy agents are good agents.

     

  • You can also look on our web site for agents in your area. Just click on "AGENTS" and this will take you to a list of states. Next, select the city you're closest to/in. A list of agents will show up. There's even a link there to tell you what all the letters after an agents name mean. Also, you might try http://www.realtor.com which has a similar setup.

    I don't know any agents. Should I look for someone with a small company or a big franchise?

    Bonnie Sparks' book: If you're clueless about selling your house and want to know more, published by Dearborn, points out that some people "prefer independent agencies because such companies can operate in ways that are tailored to the customers in their local markets, without kow-towing to a home office halfway across the country." Boutique companies often have a stronger market presence in their niche than larger companies with more agents. Just make sure your type of home and your neighborhood match their niche.

    Other sellers prefer franchises because of their large networking capabilities and advertising budgets. For example, Coldwell Banker puts all their listings on the Internet, matches the criteria to buyers' requests, and then emails them when homes are listed meeting their criteria.

    I've found several agents I'm comfortable with... how do I choose just one?

    Bonnie Sparks' book also lists seven questions which help "clue you in on how competent the firm is and how it conducts its business."

     

  • How many years have you been in the business? Just because someone's been in the business for a long time doesn't necessarily mean that they're good. You don't want an agent that's just been skimming by for the past 15 years. However, these agents usually will have built up a reputation and be able to provide recommendations. But don't overlook the agent who is just starting out - they can be more excited and motivated, and more able to give you personal attention.

     

  • What professional designations do you hold? This is where all those letters at the end of a name (Jane Doe, GRI, CRS, ABR) come into play. These are designations that indicate an area of expertise. It means that the agent has put in extra time to learn their trade and has earned the designations through experience and passing tests. The letters, however, are only significant to you if they mean the agent is more qualified in the areas you need. An ABR, for example, is great if you are looking for a buyer's agent, but as a seller, you will be more interested in a GRI, or a CRS. Ask what the letters mean and how the designation benefits you as a seller.

     

  • How many sellers do you currently represent? A busy agent is a good agent....most of the time. You don't want an agent who has 50 bajillion clients because then they're going to have less time to spend on you. Find out what kind of staff they have to support the number of listings they have. However, someone with only one client is not necessarily a good thing.

     

  • How many properties have you sold in the last year? What type of properties were they? Whatever they answer this question with will really help you compare them to other agents. Ask how long, on average, it took the agent to close these deals. You probably want your home to be sold quickly. Just as you found out what types of homes the agent specializes in, find out the price range of homes they generally sell. If they specialize in selling million dollar homes... your condo will probably very low on this agent's totem pole.

     

  • Can you provide me a list of references? Check with the agent's former clients and see if they were satisfied.

     

  • Do you work on your own or are you part of a real estate team? If the agent is a part of a team, this can work to your advantage because you have the other members working to sell your property as well, and you don't have to pay any extra. Just make sure to meet with the other team members if this is the case. You want to get along with everyone in the team. Find out who you would contact for all phases of marketing and closing. A good agent will make sure that she or he is always available to you, so that you aren't left hanging for answers, or getting response calls from people you don't know. If you find you are always talking to an assistant and never to the agent you hired, you may be understandably frustrated. A good agent will never let that happen.

     

  • Is there anything else you'd like to tell me about yourself, your company, or your career? This is where you give the agent an opportunity to get all warm and fuzzy with you. A "bonding" moment, if you will. You want your agent to be someone you can trust, and feel comfortable working with. Really examine their personality.

    Sparks says that once you've interviewed all of the potential agents, narrow the list down to about three. Then ask these three agents to put together a formal presentation for you. "This presentation should include a comparable marketing analysis (CMA). The analysis lists the selling prices of houses similar to yours and is used as a guide for you and your agent to determine how to price your place. The presentation should also include an overall marketing plan for the house."

    Based on the answers the agents gave at the interview, and the way their presentation looks, you should be able to confidently choose an agent. It's a bit of work, but in the end, it will ensure your happiness with the agent you choose to help you with your real estate needs.