Real Estate Topics - Choosing Agent

Real Estate Topics
Choosing A Listing Agent

1. How many listings does this agent have?

The correct answer is a low number. A high number indicates a “warehouse” where you will be just one of dozens of listings. That agent will put you into the MLS and put out a sign. The theory is that if you throw listings into the system, something will sell by itself, sooner or later.

Oddly, the best person to list your home is an agent who derives most of his/her income from working with Buyers. They know where Buyers hang out, and what Buyers like. They know what Buyers look at inside homes, and what unasked questions Buyers have in their heads.

2. What advertising does the agent provide?

The proper answer involves heavy use of the Internet. That’s where Buyers are looking! The agent should pay for enhanced representation on REALTOR.COM. This will provide an attention-getting banner, multiple photos, and customized text.

Home magazines and newspaper ads are “teasers”. They seldom sell the home being advertised, but they get the phone to ring at the agency in the hope of attracting “leads”. Ditto for personal websites. REALTOR.COM is where the action is!

The ad agents “forget to write” is the Multiple Listing Service entry. This is what “sells” the house to other agents so they will bring their buyers to see your property. It is astounding how many agents’ listings contain no photo (or a photo with garbage cans in the driveway), misspelled words, unreadable abbreviations, and erroneous information. Ask to see samples of the agent’s other listings, directly from the MLS.

3. What else is critical?

The agent should provide two separate brochures about the property. One is for use in the “info” box at the curb. It should give enough information to motivate Buyers to call for an appointment, but not every single detail. Let there be some things the Buyers discover so they can say, “Wow!”

The second brochure is very detailed, and is to be left in a holder inside the house. When Buyers leave, they have a good take-away piece. That night, after seeing a dozen homes, they may be trying to remember which house had the great floor plan, level lot, large dining room, etc. The brochure will bring your home quickly to mind.

4. What you DON’T want to see!

Excessive information about the AGENT. Are we selling a house or a person? Likewise, steer clear of agents who advertise their millions of dollars in production, their websites and TV shows, or their favorite lenders. Otherwise, it is easy for Buyers to get distracted from the actual product-your home!

5. Beware of a higher-than-expected market analysis.

Occasionally you will encounter an agent who entices Sellers to list by claiming they can get you a price much higher than that which others have indicated. This is a ploy to get you to list with them, after which they will begin pushing you for price decreases. Meanwhile, your home got a reputation in the real estate community as “that over-priced listing on Elm Street.”

6. Be cautious about low selling commissions.

There are “discount” brokers operating in our market. They offer to “put you in the MLS” for a very low fee. These are know as “less than full service” agencies. You should demand to know what services you are giving up.

Be especially on guard if the agent offers the opportunity to show and sell your home yourself during the listing period. In North Carolina, this is available only through a contract known as “Exclusive Agency”. Such listings constitute a FSBO. They offer no protection to other agents and have an advisory symbol in the MLS. Many agents will not show “EA” listings.

Also be cautious about any arrangement in which you have to make the appointments and show the home, yourself. Agents prefer to call a professional appointment center, rather than getting on your answering machine and waiting for a response. They are trying to get on the road with their clients! Meanwhile, do you want to open your door to strangers? See the dangers listed under FOR SALE BY OWNER.

7. Check the agent’s FOR SALE sign.

You’re looking for an uncluttered sign which attracts Buyers and gives them contact information. The sign should be of a color which stands out in all seasons and weather. Avoid “earth tone” colors, and signs with promotional information and photos of the agent. Test the telephone numbers on the sign to see how quickly someone answers and whether that person has instant information about your property. Reaching someone’s home with a “cutesy”answering machine message is not acceptable.