Choosing the Right Listing Agent to Sell Your Home

There are several areas that you may want to consider during the interview process, which are addressed below. When you decide to interview an agent, this serves as a great list of talking points to discuss. 

1. Experience: How long have you been in the real estate business? Do you have additional experience in related fields? Do you work full-time or part-time? How well do you know the area? In what type of sales (luxury homes, foreclosures, commercial, etc.) do you specialize, and in what locations do you work? 


The time on the job isn’t the most reliable factor. An agent with less time as a Realtor sometimes actually has more experience, because they close more transactions. That is why the additional questions listed above will help you to better determine experience versus job time. The key is to find out if the agent’s experience and expertise mesh with your needs

• The typical Realtor had 8 transaction sides in 2010—this is up from 7 sides in 2009.

• Brokers and broker associates typically had 10 transactions, while sales agents typically had 7.

***To compare, my real estate team and I close 120 transactions per year.***

• A transaction side can either be the selling or buying side of a real estate transaction. If the agent worked as both the buyer and seller’s agent that would count as two transaction sides.

2. Knowledge: What expertise do you have? What is your knowledge of the area and the market? What are homes like mine selling for right now? 


Make sure the agent you choose has a good feel for the market around your home. Some agents work in just one city, while others work in multiple counties. Agents can be very successful with either approach. It’s also recommended you determine the agent’s overall knowledge in real estate, marketing, negotiation and closing of transactions. 


3. Organization: Do you work by yourself or do you have an assistant, office staff or team? What are their names and what will be their role in the transaction? 



It is not uncommon for agents who sell a lot of houses to hire people to work with them, as we have. As their businesses grow, they must be able to deliver the same or higher quality service to more people. You may want to know who on the team will take part in your transaction, and what role each person will play. 


4. Marketing Plan: Can you tell me specifically what your marketing plan includes? Where do you advertise (internet, print, networking)? How and where your home be marketed? Do you use social media (Facebook, Twitter, blogging)? Does the agent create virtual tours/video of your home? Does the agent hold broker’s open houses and do any other open houses? Do you have a home stager? Does your agent have an overall presence in the community as a “known” expert in the field? 

If you said yes to all of these, the marketing effort appears to be strong. However, the effectiveness of the marketing plan can still be an issue. That’s why communication and sharing the results of the marketing efforts is important; so a contingency plan can be created to give your home maximum exposure to buyers


5. Communication: How often do you or your office staff stay in touch with me? How do I get feedback on showings of my home? How quickly do you contact buyer’s agent about feedback? Do you provide reports that will show me the results of your marketing and update me on near-by home sales? 


This is a huge point to explore, and one that is tough to gauge until you actually start working with that agent. My advice is to see how the agent addresses questions about communication and follow up. If the agent is not concise with these points, this may be a good indication that communication is not a strong suit. 


6. Pricing Strategy: Can you show me how much homes are selling for near me and how you developed the recommended pricing for my home? What is you sales price percentage compared to the list price? How long do your listings take to sell, compared to other agents? 


The agent should be able to help you determine a recommended listing price range and provide you with the information used to come to that conclusion. Finding out the agent’s statistics regarding sales price versus list price and market time will help show you how accurate the agent is with his/her advice. You want an agent that can not only give you the correct information, but also have the conviction to tell you the truth instead of what you want to hear just to get the listing. 


7. Commission Structure: How much do you charge? Are there any additional administrative or service fees? What will be my estimated net proceeds after the transaction? 


Make sure you know what you’ll be charged before you commit to an agent or commit to a list price. You should be able to determine what your net proceeds will be first. Hopefully by now, you can begin to determine if you’re getting the service you require for the commission you’ll be charged. 


8. Success: What is your level of success among your peers? Are you a top agent in the area? How many transactions do you complete in a year? 


This is some good information to have, especially if you’re "on the fence" about hiring an agent. You may find an agent that has everything you need that does not sell 100+ listings a year. However, if they only close a few transactions a year, you may want to interview another agent before making a final decision. 


9. References: Can you share references of current and/or past clients? 


This is a better way to truly determine success…through the words of actual clients. What current and past clients have to say about the agent carries a lot of weight versus just simply looking at "the numbers." References are where you can begin to determine the intangibles such as care, attention, importance of client needs, ease of transaction, etc. 


Once you’ve gone through these points, you should be able to determine whether a given agent fits your needs and expectations. You should feel you found an agent that sets him or herself apart and meets or exceeds your expectations. 

Now It’s Interview Time

Unless you’ve determined that your previous agent still fits the bill, you’re going to want to set up an interview with another agent or two. There is no real "best" time of year to interview an agent or list your home. If you want to sell your home, the best time is now…
Feel free to Contact Me anytime for more information.

Selling For Sale By Owner vs. Using a Realtor

In every market and every economy, there are always home-owners that opt to market their homes "for sale by owner."  As a real estate agent, I pay close attention to the market, including these homes. 

In my opinion, I think owners should explore the option of selling their home by owner.  The main reason owners try to sell on their own, is to save money on the commission.  I understand that this can be an expense someone would like to avoid, but on the average, homes sold by owner sell for more than 10% less than a home sold by a Realtor. Successful home sales by owner make up a very small piece of the entire sales market, so you should know the facts before taking this endeavor head-on.


Here are some statistics for the National Association of Realtors:

For Sale By Owner (FSBO) Statistics
FSBOs accounted for 9% of home sales in 2010. The typical FSBO home sold for $140,000 compared to $199,300 for agent-assisted home sales.

FSBO Methods Used to Market Home:
• Listing on Internet . . . 27%
• For-sale-by-owner Web site . . . 11%
• Yard sign . . . 46%
• Friends/neighbors . . . 39%
• Newspaper ad . . . 12%
• Open house . . . 14%

Most Difficult Tasks for FSBO Sellers:
• Getting the right price . . . 23%
• Preparing/fixing up home for sale: 18%
• Selling within the planned length of time: 14%
• Having enough time to devote to all aspects of the sale: 13%
• Understanding and performing paperwork: 10%

Of that 9% of national home sales, approximately half of those sales are made to a family member or friend.  So, unless you know someone close to you that already wants your home, you have your work cut out for you.  In fact, even the Founder of ForSaleByOwner.com recently sold his home with a real estate agent.


I don't know how accurate these statistics are, but from my experience, homes sold without an agent involved are very few and far between.  If you do move forward with selling your home by owner, here some tips, insights and advice to give you the best chance of success.

• Price your home correctly for the market from the start.  Research home sales within a 1-mile radius that are the most similar to yours. Look at your home as a buyer, not as the owner, and give an honest evaluation.  It will save you a lot of time and money.  Buyers looking at homes in the area, learn the values quickly.  If you're over-priced, home-buyers will simply choose another home to purchase.

• Advertise!  The internet is your biggest source for buyers.  Over 90% of home-buyers use the internet to find their home and 87% use a Realtor. That said, you may want to get your home into the MLS. In addition, use as many home sales sites as possible. My real estate team and I advertise on nearly 300 sites!  Choosing the right sites, will bring the right kind of inquiries.  Newspaper ads produce low response rates for the expense.

• Make yourself available to have your home shown at anytime.  Turning down a showing could lose a sale and extend the time you'll have to market your home.  There are a lot of homes for sale, and buyers will typically just move on to other options.

• Pre-qualify your potential buyers.  Before you schedule an appointment to show your home, make sure they're approved to finance your home. This will save you time, in addition to ensuring you're working with an actual buyer, and not just letting some stranger into your home with no intent or ability to buy.

• Complete the required Residential Property Disclosures and have them ready for buyers to review.

• Contact a local title agency and/or real estate attorney to draw up the proper paperwork and complete the transaction.  It is imperative you have the proper paperwork to write up the final agreement and account for all aspects of the deal's contingencies.  Making a paperwork error can be very costly!

My final word of advice is that before you decide to sell your home by owner, interview a couple real estate agents.  First, it'll give you the ability to evaluate whether the commission fee will pay for the time and expense (marketing, attorney fees, etc) incurred by selling yourself. Second, you may be surprised to find the Realtor is flexible on the commission. Third, you may find a potential agent to list your home in the future, if your efforts by owner don't turn out as you hoped.