Do you intend to enter the real estate market? Approximately 89% of homeowners use a real estate agent or broker when buying or selling a home; therefore, selecting the right agent is essential for a successful real estate transaction.
• In order to select the ideal real estate broker or agent, you must inquire about their familiarity with the local market and the type of property you are interested in.
• Ask a broker about their marketing strategy, methods of communication, references, and relationships with other real estate professionals.
• Be certain to employ a full-time professional.
• A realtor should be able to guide you through the home-buying and home-searching processes.
• Local realtors who work independently should not be discounted. Unlike larger real estate firms, they may have insider knowledge of a community.
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Questions to Ask a Real Estate Agent
The sale of your home will likely be the largest financial transaction of your life, making the selection of a real estate agent both crucial and intimidating. To assist with the assignment, we consulted Victoria Vinokur, a New York City-based real estate agent, about the most crucial questions to ask when interviewing brokers. Here's a summary of what Vinokur had to say regarding the list of the most important questions to ask.
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What are your qualifications and experience?
This does not necessarily refer to how long a broker has been in the industry; rather, it will help you determine how well they know the local market and the type of property you are interested in. Ask them what has sold in your area over the past three and six months, for how much, and how long ago. Ask questions such as "What are the prices of similar properties in that location?"
A competent broker will not agree to market an overpriced property. Ask how often they've had to reduce the price of a property in order to make a sale, as listing your home at the correct price is crucial. Brokers should have all of this information readily available, support it with data, and understand the market's psychology.
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What is your marketing strategy?
You desire a comprehensive description of everything the broker will do to market your property. Does the broker have creative ideas that have been proven to work, such as blogs or exclusive cocktail parties for invited brokers and prospective buyers? How will they distinguish your property from the competition that a buyer will encounter?
Since digital marketing is crucial (more than 90 percent of buyers conduct online searches), request examples of web listings.
Ensure that a professional photographer is included in the marketing budget, and not just someone who will take average wide-angle shots. You want someone who can capture the important and interesting details of your home, such as the breathtaking view from your deck or a distinctive feature of one of the rooms.
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How do you intend to keep me informed?
Indicate to the broker your preferred method of contact: text, phone, or email. Please note that texting is not appropriate for any legal or other important communication. Ask if they will commit to a regular schedule of detailed written marketing and activity reports (every two weeks is a reasonable expectation), and make sure they are accessible whenever you have questions or require an update.
Inquire if they have a skilled colleague who can fill in for them if they are unavailable, and ensure that they never allow anyone to view the property unless they or their representative is present.
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How Much is Your Commission?
The standard commission rate for real estate brokers is 6%, which is typically split between the listing agent and the buyer's agent. A portion of the commission is paid to the listing brokerage, and the agent receives between 60% and 90% of the remainder. However, there is always room for negotiation regarding the commission rate.
Ask to see the budget, and make sure you understand which sales-related expenses will be covered by the broker's commission and which you may be responsible for (e.g., staging).
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How Well Connected Are You?
This does not imply that you want to know how many social media friends the broker has. Instead, it indicates that you value their connections within their firms and the real estate industry. A seasoned broker will have trustworthy connections to other real estate professionals, including staging companies, real estate attorneys, photographers, and movers.
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Do You Have Any References?
Don't ignore this opportunity. Obtain the names of recent customers. It's always helpful for the broker to bring a page or two of client quotes to the initial meeting, but you shouldn't rely solely on these. Make the phone calls.
The Real Estate Broker Hiring Checklist
There are additional factors to consider when selecting a real estate agent or broker in addition to the aforementioned questions.
Find a Person Who Is Immediately Available
Although there are competent part-time agents who sell real estate, you must hire someone who can show your home at varying hours or, if you are a buyer, can take you out to view properties at a time that is convenient for you.
Ask your real estate agent if they are flexible when it comes to scheduling showings and property tours if you are a buyer. You may prefer a full-time realtor, but a good part-time realtor should not be overlooked. Simply inquire beforehand about their availability.
Locate Someone Who Provides Suggestions
Whether it's a pool, a screened-in porch, or another desirable feature, savvy real estate agents are aware of which features sell homes in the area. In this regard, they will suggest which rooms or features to highlight or downplay.
Ask the agent if there are any changes you could make to the home that would increase its desirability during the initial interview. More often than not, the best agents will make these suggestions without prodding on your part.
Find an Area Expert
Employ or retain a person with extensive knowledge of the subject area. These agents will also be more familiar with the typical asking and selling prices in the neighbourhood than agents who do not typically work there.
Ask a local brokerage or your friends or family members if they know anyone who has sold numerous homes or businesses in the area. Another suggestion is to peruse local real estate periodicals to determine which agents have the most listings in specific regions.
Find Someone You Like
Particularly, sellers should seek out agents whose personalities complement their own. For a home to sell quickly and at a favourable price, the listing party and the agent must be on the same page regarding the marketing strategy, the price, and the showing schedule. Coordination of these concepts will be simplified if the parties involved get along and intuitively comprehend one another.
How Can I Locate a Real Estate Agent?
You can find a real estate broker by asking your local friends for recommendations or by visiting the local real estate brokerages. The National Association of Realtors (NAR) database can also be searched online.
Do I Need a Real Estate Agent to Sell My Home?
If you hope to attract multiple bidders by selling your home through an experienced realtor as opposed to "for sale by owner," the commission is usually worth it. A realtor will assist you in vetting potential buyers, deciphering the rules and regulations surrounding a sale, and advocating on your behalf with the buyer's agent. When selling a home, real estate agents have access to large networks of realtors and others, which will attract prospective buyers.
How much do real estate professionals earn?
According to Indeed.com, the average salary for a real estate agent is $94,515. Obviously, where a real estate agent works and the number of homes they sell each year will impact their income. Real estate agents who work on commission have a high earning potential, but high-paying sales require long hours and effort.
The Bottom Line
Even if you believe you have retained the ideal agent, you should think twice before signing an exclusivity agreement. Even if your agent is competent, the greater the number of agents who can potentially show and sell your home, the greater the likelihood of a sale. Retain a listing agent unless exceptional circumstances exist, but insist that the property be listed on the Multiple Listing Service (MLS).
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