You would never hire a babysitter to watch your kids without asking a few questions. Right? So why would you hire an agent to help you buy or sell a home without also asking some questions? You wouldn’t. That’s why you need to ask these eight questions before you decide on an agent.
Asking the right questions is what separates the qualified from the unqualified agents. These are the eight questions you want to be sure to ask an agent before hiring them to help you buy or sell your home.
Don’t forget that finding an agent is the same as hiring an employee to execute a job. This job you are hiring the agent to do is a pretty big job. Buying or selling a home is a big financial task. You’re trusting this agent to represent you in a transaction and get you the best deal possible. This job comes with a big price tag. You want to make sure you’re getting the agent with the right skill set for the job.
Buying or selling a home is no easy task. There are plenty of responsibilities and undertakings when it comes to real estate. This is why so many people choose to go with an agent rather than going the FSBO route. They want someone there that knows what they’re doing and will get the job done right. You want that, too.
You want an agent that knows what she’s doing and how to do it right. That means she knows the market and its current conditions and trends. She knows how to price your home so it sells fast and at top dollar.
Her negotiating skills are top-notch and she is ready to go to bat to get you the best possible deal. She will not leave money on the table.
How do you know what to ask an agent to weed out the good from the best agents? It doesn’t matter whether you’re new to real estate or have bought and sold a few homes. Finding the right agent for you should involve some interviewing. If you aren’t even sure what to ask, you’ve come to the right place.
I encourage all my clients to ask me these tough questions too. I want my clients to feel confident and secure in their decision. My clients know that I’ll be their advocate and fiduciary representative.
A 2021 Home Buyers and Sellers Generational Trends Report came out. It showed that 88% of buyers used an agent when they purchased a home. Finding and selecting the right agent is step number one when it comes to buying or selling a home.
Before we dive into the questions, let’s start by explaining what an agent does. As well as explaining why their role in your home buying or selling process is so important.
What role does an agent play in your buying and selling process?
A licensed real estate agent represents buyers and sellers when it comes to the buying or selling of real estate or real property. An agent guides you through the process. As well, they represent clients in legal negotiations.
They have valuable information and resources. One of these resources is the MLS. This is a database that is only accessed with a real estate license.
An agent reviews all the legal documents with you. They make sure you understand what you’re signing. An agent sees to it that you’re protected with any clauses or contingencies. A knowledgeable and skilled agent can save you money in legal fees. Even more important, they help you win the home of your dreams at a fair price.
When you hire an agent, you’re hiring someone to act on your behalf. An agent is your advocate during one of the biggest financial transactions of your life. An agent is there to remove some of the stress involved with buying and selling a home. A great agent can make a challenging process smoother and cleaner.
Here are eight questions that every agent should be able to answer for you. This way you can have confidence, and assurance that they will get the job done for you. Be sure to take notes and ask follow-up questions with your interviewee.
#1. How many years have you been an agent?
This isn’t to say a newer agent is not going to get the job done. An agent that has been around for a few years has connections and experience. As well as relationships with other agents.
However, if they are new to the industry, a follow-up question would be, “Do you work with other agents or do you have a mentor that works with you?”.
#2. Do you work as an agent full-time or part-time?
This question is important for a few reasons. Full-time agents devote all their time to their business. They don’t work a few hours a day, or when it works for them. Yet, it might also mean they have a few other clients they’re working with.
Part-time agents might have some limitations with their schedules. That also might mean they only work with one client at a time. So when they’re your agent, you’ve got their full attention.
#3. Are your clients typically buyers or sellers?
Most of the time an agent will do both. Say your agent is representing a seller and you become that agent’s buyer. This creates a conflict since they’ve got a fiduciary responsibility to both of you.
It’s not to say that agents can’t work with both buyers and sellers. They most can. You want to make sure that you have fair representation when it comes time to put in an offer.
Remember that a listing agent and a buyer agent wear two different hats. Each one comes with its own set of skills. Say your agent has more experience selling homes than helping buyers find a home. That should come with some follow-up questions. Especially in this market. Buyer’s agents need to have strong negotiating skills to win an offer.
#4. What’s your plan for marketing my house?
If you’re interviewing an agent to sell your home, you want details on what they’ll do to get the word out. A skilled agent should already have a marketing plan in place for your home, even before it’s listed.
You want to know how they will spread the word about your home. This includes the internet, social media, as well as through print ads, and mailers. The agent should have a clear, concise marketing plan for your home to get you the best deal the market allows.
#5. How do we agree on a listing price?
Most sellers already have a number in mind when it comes to the list price. That’s fair. It’s your home and you know it better than anyone. A smart, savvy, and skilled agent won’t tell you what you want to hear to get your listing.
Instead, they’ll have market data that supports the price your home will most likely sell for. They’ll be honest with you and set a list price that will sell your home for top dollar. The last thing you want is an agent that is afraid to tell you the truth.
You want an agent that knows the market. Is familiar with the comparable homes in the area. This way they list your home at a price that creates a multiple offer situation.
#6. I’m a new buyer-what can I expect?
Let your agent know if this is your first time buying a home. This is crucial information and helps an agent understand your process better.
Your agent should explain to you the home buying process in detail. They should let you know what’s going on in the market and what you can expect as a buyer. A prepared agent will have valuable resources to guide you along the way.
Along with this question, be sure to ask the agent if they have recommendations. This includes mortgage brokers, appraisers, inspectors, and even moving companies. You want an agent that has names and numbers of trusted and reliable people to help you in this process.
#7. This is awkward, but how do you get paid?
It’s true that your relationships with your agent can become personal. It’s important to remember that you hired this agent to do a job and that job does come with compensation.
If you’re the buyer, often you won’t pay the agent. The seller pays the commissions and fees. This fee goes to the broker. From there, the brokers split the commission with the buyer’s agent.
It’s okay to ask if an agent is willing to negotiate on their commission. Be prepared for the agent to answer honestly and tell you why or why not they will or will not budge on that fee.
#8. Do you work alone or with other people?
This might be the most important question. If they’re a newer agent, and they work with a team, that can be most beneficial. They’ve got a fantastic set of resources available to them. That might also mean that you could work with another member of their team if they need extra help.
If they work alone, you can expect to have plenty of one-on-one time with them. Yet, that might also mean their availability comes with limitations. They can only be in one place at a time.
Finding the right agent is as important as finding the right house. You want an agent that understands your needs and wants. Don’t hire an agent without doing a proper interview. This could result in unmet expectations. Ask the tough questions and your agent should be able to give you qualifying answers.
If you live or are thinking about moving to Kitsap County, Washington I would love to assist you. My name is Wendy Bathgate and I’m a real estate agent in the Kitsap County area. I take these questions seriously because they matter to my client.
Connect with me. I would love to answer these questions and any other questions you have. Looking forward to hearing from you.