How do you select a real estate agent for the sale of your home?
You need to be very careful when making this decision. It can cost you thousands of dollars. You want to sell your home at the best price possible because it is likely to be your largest financial asset.
What skills are required of the agent you choose to represent this important transaction?
What to look for when choosing a real estate agent
1. Professionalism is required
The person you think most like is not necessarily the best agent. Your agent should be able to relate to many different buyers and not just to you or your family.
When interviewing agents, look for signs of professionalism such as:
- Communication: Are they clear and engaging when answering your questions?
- Do they show a genuine interest in your interactions? The way a real-estate agent interacts with people can have a significant impact on how buyers perceive your property.
- Punctuality – Do they arrive on time for meetings, virtual or otherwise? They may not treat customers equally badly if they do.
2. Their network and database
Do they have a database of buyers who are eager to buy in your area? They should be able to contact them as soon as you hand over the contract. You want to be sure your agent has a good rapport with buyers and provides them all the information they need to do their due diligence.
The best agents will have good relationships with other agents within their company and their competitors, who can bring buyers to their properties. They may also be able to help with other professionals that you will need to complete the transaction, such as home inspectors and repairmen.
3. The sales record of the company in your area
What is the agent’s actual sales record? Look at how many homes they have sold and what the prices were. How did they react when it was difficult to sell a house? Have they sold in tougher markets? You’ll want to find agents who have sold similar properties and already have buyers lined up.
Open houses are a great way to find agent talent
Open houses in your area are a great way to start your search. You can see the different agents working and how they work. Pick five agents, attend their open houses and observe how they present themselves. How do they compare on making callbacks after the open homes? Not all agents make this happen. Are they part of a team, or do they work alone and host all open houses themselves?
Open houses are a great way to gauge the agent’s energy and passion. You should choose an agent who will stand in the house and make buyers comfortable and welcome.Agents are responsible for creating the experience you have in a house. Does the agent call you after the open house and keep you updated on the property that you saw? Do they notify you of similar properties that come on the market if they do not hear from you?
This will give you an idea of what level of commitment and effort you can expect from each agent if they were to represent your property.
Asking real estate agents the right questions when you are selling your house
After you have a list of agents that you prefer, it is time to meet them. It is important to interview at least two agents in your locality.
The first time you meet with them, they will give you an estimate of the value of the home, usually as a range between low and high.
Don’t listen to the agent who claims they can sell your house for the highest price.
An agent who is able to explain to buyers any issues that may come up in a building or LIM report, who can manage the process and has experience with a variety of markets from boom to bust will be able to offer real value.
You should treat your first meeting with an agent like a job interview. You’ll want to learn about their past experience and how they would approach the sale of your home.
Start with these good interview questions:
- Do you have a sales history?
- Are you licensed?
- How has your listing performed in the past six months?
- Have you recently sold any houses in my neighborhood? Have you followed recent sales? If not, can you explain the reasons why homes are sold at these prices?
- How would you describe my neighborhood to buyers and how well do you understand it?
- What schools and transport connections are available in the area?
- What are the markets that you serve?
- How relevant are the local market reports for my home?
- How many days did your sales spend on average in the market?
- What would you say about my house to a buyer? What are the best features of your home?
- What would you recommend to add significant value to a property before a sale takes place?
- How will you market my house using digital media?
- Will you promote my house on social media?
- How did you handle challenges such as a failed sale or receiving less bids than anticipated?
- How much does it cost to sell a house? (such as marketing costs, commissions and other fees?
Also, we recommend that you check references, reviews, previous clients, and their social media presence. Ask if you could speak to the homeowners that they are currently selling for.
This information is useful if you discover that the agent hasn’t been in touch with the seller much, or if the sale was shifted to a junior. Ask from the start who will help with marketing your house, who will attend open houses, and who will take buyers through.
Selling methods
You can ask any agent to explain the different methods of selling, including auctions, negotiations, deadline sales, tenders and asking prices. The methods of sale may vary based on the current state of the marketplace. Ask how many units they’ve sold under the different options, and how they performed.
Good agents will ask their clients what they prefer to sell and may make a recommendation based on market conditions, the style of the home and the price range. You can ask them if they charge different fees depending on how you sell.