Wednesday January 24th, 2018 For Sellers, Move-Up Buyers, PricingIn today’s housing market, where supply is very low and demand is very high, home values are increasing
Questions You Should Ask An Agent Before Listing Your Home
In the US, the average number of real estate agents a client interviews prior to selection is 1.2. This number is down from 2.7 just 5 years ago. This means that most clients are making decisions on looks and gut feelings, not necessarily factual evidence. We have compiled a list of questions to ask before you list your home. Please also note that just because an agent may answer all of these, doesn't mean another agent may not have better answers AND evidence to support them. We suggest interviewing at least 3 agents before making a selection.
What is the agent's experience in Real Estate as well as their prior experience. Keep in mind that experience solely in real estate is not always the best scenario. Real estate changes frequently and longterm agents can get stuck in certain habits. Agents who come from strong corporate backgrounds tend to have strong business acumen, negotiating expertise, contract knowledge and better systems, processes and tools.
How will the agent market your home and do they have statistical evidence why? Don't simply accept an answer of "online". Where online? Why? In what order? Why? To whom? Why? You get the point...
How will the agent communicate with you and at what frequency? Will they communicate even when there doesn't seem to be anything to say?
Will you ever represent both the buyer and seller in a transaction? The legal term for this is Limited Agency and while it is not illegal, it can present some significant challenges. Basically in a limited agency scenario the agent has to become neutral so as not to represent either side. This effectively pauses the entire reason you selected them in the first place.
Do you work with buyers and sellers? If you have ever bought and sold a home, you know there is a drastic difference in the needed competencies between buying and selling.
What do you know about financing, appraisals and home inspections? These are the three main things that can kill a transaction. An agent who isn't well versed in these areas could be setting you up for failure AFTER you have an accepted offer.
What are your stats? Two good stats are List-to-price and Average Days on Market. The first lets you know if the agent tends to inflate the price of a home just to get the listing. The second can reflect correct pricing, marketing and tenacity. Not every home will sell in days. There are some sellers who are simply unreasonable about the price and/or condition of their home. Knowing how an agent addresses this is helpful.
While there are certainly more, this list is a very good starting point. If you only ask these questions, you will be much further along in selecting a solid agent than most other sellers. Lastly, understand the difference between good salespeople and confident business people. Don't feel pressured to make a decision right then. Most agents are trained to have the contract ready to sign and will ask you questions such as "What haven't I covered that would prevent you from selecting me tonight?". I promise they will be around next week should you decide to choose them, but at least you will be more confident in your decision.
In November 2014, I made the decision to get my real estate license and join Keller Williams. Shortly thereafter I was blessed with the opportunity to join the Dietel Realty Group with a goal to build....
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In the US, the average number of real estate agents a client interviews prior to selection is 1.2. This number is down from 2.7 just 5 years ago. This means that most clients are making decisions on