When it comes to list your home, most sellers have two questions for their real estate agent : How much will they get for the property and what will the commission be? Most sellers hire an agent on a gut feeling and appearance, but selling a home is an important transaction that should make sellers dig deeper to finding the right agent for them. A better approach would be for sellers to treat that first meeting like an interview and ask a wide range of questions before making a decision.
1. What’s your experience?
– It may sound like an obvious place to start, but many sellers don’t ask potential agents about their job experience. There’s no magic number when it comes to experience, but sellers should look for agents with enough sales under their belts to comfortably handle deals from listing to closing. Equally important, agents need to know the area – so ask them about their recent listings.
2. How do you plan to market the listing?
– Sellers really need to ask their agents how they plan to market their home to the greatest number of potential buyers. Find out what the agent’s philosophy is for marketing listings and what the agent will do after taking the listing. Take a look at the agent’s marketing track record, especially how they market on the Internet.
3. How will you communicate with me?
– You’ll hear from your agent a lot, so it’s good to go over communication basics before you hire them. The seller needs to have expectations for frequency of communication and should know what media will be used for communication. There should be understanding upfront, and the agent should approach the sale of your home as if he or she is part of a team.
4. Do you rep both sides of the transaction?
– It’s a good idea to find out whether your agent is working both sides on your deal. Although it isn’t automatically a conflict of interest, a situation where the agents represents both the buyer and the seller in the same deal can get sticky. Many clients end up feeling like they don’t know whose interest the agent is really looking out for.
5. Do you work with buyers in this price range?
– It’s a good idea to ask an agent if they have experience working with buyers who are looking for homes in the same price range that they are listing it at. That insight into the mind of a buyer makes an agent a more effective negotiator.
6. What do you know about home loans?
– It’s valuable to find an agent who has a solid grasp of home financing because loan issues can make or break a deal. Realistically, a good seller’s agent can salvage a deal if they’re financially fluent and well connected with quality lenders. That’s why you should always ask a potential agent what they know about home loans before you hire them.
7. What are your stats?
– The first stat to check is the list-to-price ratio, which is the final sale price divided by the most recent listing price. If the percentage is over 100 percent, the agent’s home sell for more than their list price. Understanding this percentage helps sellers determine if the agent is knowledgeable and not inflating the price just to obtain the listing. An equally important stat is how long the agent’s listings stay on the market. The average days on the market figure reflects the agent’s ability to price appropriately, as well as effectively market the property.
