What to Look for in a Real Estate Broker
Submitted by KRG on Sun, 08/31/2008 - 8:44pm.As mentioned by The Digerati Life, it's often hard to find a real estate broker whose personality and business style is compatible with your own, especially if you're unfamiliar with the real estate market and unsure what characteristics an ideal broker should posses. Fortunately, thedigeratilife.com offers some things to look for when searching for the ideal realtor.
- Excellent Communication Skills
A realtor's job obviously involves strong interpersonal abilities, since they talk not only to you but to other people involved in negotiating a sale, and finding a person whose communication talent fits your target market is important.
- Flexibility in regard to Commissions and Terms
Try to find an agent who will negotiate with you rather than spelling out the terms of their service without room for change. For example, you should have the right to take the property off the market for whatever reason, to switch brokers, or to cancel an agreement without penalty if you are unsatisfied with the broker's efforts. The agreement should be in effect 90 days and should have a 6-month period where you would owe this broker a commission if someone they showed your home to returns to buy it later. Finding a broker who gives you some leeway or is open to discussion about any aspect of their employment is key.
- Personable and Easy to Get Along With
Since you are establishing a business relationship with your broker, you should definitely find someone who you like and who has a great personality so that you'll have a pleasant rather than negative experience in buying or selling your home. If you're stuck with someone you find obnoxious or annoying, the sometimes-overwhelming real estate process will only add to your stress level.
- Discount Brokers
A discount broker may be great for the money but could have less credibility. These brokers may work better as a buyer's agent since listing agents will need experience with marketing and creating traffic to a house for sale.
- Good References
Like in any other profession, real estate agents should be able to provide references.
- Recommendations from People You Know
If you know someone who has recently sold or purchased a home, talk to them about their agent and how their experience went. If necessary, interview different agents to get to know the candidates you are considering to work with. Also, be aware of their agencies' reputations.
- Realistic and Honest
Some brokers will suggest an unrealistically high price for your house to simply obtain your listing. They'll tell you that every house you come upon is the best house they've ever seen, every room is perfect, your kids are going to love it and feel at home there, and the neighbors won't mind your five outside pets. Some agents will tell you anything at all just to get your business. An agent must disclose all the material facts of any transaction, meaning everything they know about the property, good or bad. If a sales person knows that there are several inches of water in the basement every time it rains, they are obligated to tell you this fact.
- An Expert in the Neighborhoods You're Dealing With
The person you choose to represent you must be an expert in the kind of property you're purchasing or selling. Familiarity in the price range and neighborhood should be a priority; agents should know your particular market, the local schools, taxes, and local transportation. Someone with four or five years of experience would be suitable, though people with less experience may agree to negotiate their commissions. As they say, you get what you pay for...and experience is definitely worth the higher price.
- Professional and Committed
Agents who have been working full time for a long time are always more strongly considered by potential customers. Though many start out as part time brokers to supplement other jobs and these people recruit their on relatives as customers, in some situations it may be wiser to opt for a full time agent with more experience.
- Consider Choosing an Agent who is a Realtor
Some key distinctions between a realtor and an agent or broker: all real estate agents must be licensed by the state while those who also take additional tests become brokers who can run their own offices. Realtors are agents or brokers who belong to the National Association of Realtors and pledge to subscribe to a strict Code of Ethics and Standards of Practice. Agents who are subscribers have access to Multiple Listing Services (MLS), a database of all available properties that brokers use to find homes to show buyers, through which members share listings and have access to many more properties than non-members.
- A Well-Networked Person who Can Provide Other Services
Will your agent help arrange a house inspection, refer you to qualified lending professionals and real estate attorneys, and conduct a study of a property's value? Good customer service should not be something you have to ask for. Customer relations are at the root of a salesperson's career, and agents are without a doubt salespeople.
Your agent's qualifications should read like your resume since you're choosing someone who is hopefully as sharp as you are in your line of work. Though things can quickly turn ugly if you know many real estate agents and have to choose just one (especially with agents vying for business as a result of the current housing downturn), try to be both systematic and logical rather than letting things get too personal. After all, your happiness is the most important thing when working with a real estate agent!
