When interviewing a Realtor there are a few
tips you can follow to make your experience good.
You might be surprised by what we are going to say,
but it is for your own good, and maybe out honesty will make it the
factor to hire us to help you buy or sell your next home.
 First,
there is an abundance of inventory-- that makes the market slow right
now. Now more than ever, just listing it in the MLS is not enough to
sell a home. You are really paying for a Realtor's expertise to expose
your home to as many active buyers out there, and knowing how to play
the 'poker game' of negotiation to get you top dollar for your home.
For buying it's finding the Realtor that knows the area and is willing
to put in the time and energy to find that Great Deal that IS out there,
negotiate and even better price, and explain the entire process and walk
you through every detail of the transaction making your buying
experience pleasurable instead of stressful.
Next realize that YOU, the home owner or buyer, are the major
contributor to our economy. You put money in many peoples’ pockets when
you get involved in a real estate transaction.
The Broker that represents the seller usually earns 6% commission. How
this works is: The Realtors Broker charges a 6% commission which half of
that goes to the Cooperating Broker (The Buyers Realtor) which is 3%.
Most Brokers (The Company they work for) take 6% of that 3% right off
the top for misc. expenses. Every Realtor has a different split to their
Broker, some are on a 50% split some are on an 85% split, so the 3% that
they earn, only a portion actually goes to the Realtor.
Now, I am not telling you that Realtors don’t make
any money. But realize that there are so many fees that they pay to stay
in business, and if they are exposing your property properly, that costs
thousands of dollars during the time it takes to sell you home.
When you are interviewing your Realtor be sure to get in writing exactly
what they are going to do to expose your property. This is THE MAIN
REASON you are hiring them. Be sure to ask what Internet marketing,
besides the MLS, that they are going to use. Did you know that 85% of
buyers start their search online before they get help from their
Realtor. If you are interviewing an agent that states that they will put
your home in the MLS and advertise in the paper and hold a couple of
Open Houses and that will sell your home, don’t just walk them out of
your home, push them out!!!
If you are a buyer you should realize YOU are the
center of this whole industry and without you no one gets paid.
So no bad feelings for doing your homework and interviewing everyone;
Realtor, Lender, Inspector, Contractor....anyone!
Ok. Ready to find your
team?
Now let’s find out how to interview a Realtor!
#1. Ask to see what Awards they have won. If they are Great at what they
do they will have won awards. If they do not have copies of their awards
in their presentation, they do not have them!!!
#2. Ask them what they currently have listed, then go to our site or a
site like Realtor.com and look to see if EVERY property has multiple
photos AND a virtual tour. Do you know a virtual tour costs the agent a
one time fee of around $200.00 and exposes your property much more than
a property without?
#3. Next ask for the flyers on 5 of the properties that the realtor
recently represent(ed) and evaluate them. Are they the Best looking
flyer you have ever seen? Are they printed on heavy card stock and
glossy and in full color? Do they advertise where to log on to see a
Virtual Tour? Does is tell a compelling story that makes you want to
find out more about this home? Do they really SELL the home? Be sure to
ask if there is a difference in the ones that are going to be attached
to the sign post. Some Realtors will have printed nice ones that stay
inside the home and put cheap flimsy black and white ones in the flyer
box (where most people are going to get info on your listing.)
If they use the standard flyer then they are a standard realtor and it
doesn’t matter what they say, it’s what they do that you should count
on.
#4. Does the agent have a pre-made form or website page that you can get
access to multiple choices for people you will need to help you with the
process? For example; mortgage bankers, title officers, escrow officers,
transaction coordinator, home inspector, termite company, home stager,
etc.) ***many might say they can't because of liability but that is a
warning sign and beware, besides in the agent agreement it says they are
not liable for outside companies.
#5. Do they have a team of assistants that help the Realtor and you?
Open house specialists, transaction coordinators, alternate realtors in
case they are not around?
#6. Ask them for a list of EVERYTHING they will do to expose your
property!!!! If they do not have a list already prepared to give you
then why should you sign the Listing Agreement. This is the MOST
IMPORTANT piece of their presentation, because it is the reason you are
hiring them or not. Not all Realtors are the same. Some spend the money
it takes to properly expose your home, others put it in the MLS, put a
sign in the yard, have some flyers printed, put your home in classified
ads, and hold open houses and that is it. THAT IS NOT ENOUGH IN THIS
MARKET!!!! Do you know why they will do this? So they can hold open
houses every weekend to pick up Buyers to work with while your home sits
on the market.
#7. Find out what their companies Market share is.
If they are not with the TOP COMPANY in your market, why would you list
with them? Companies that are the top are there for a reason. They are
on top because they implement many ways to help the agents expose their
listings in the newest and most competitive ways and they continually
train their agents weekly so they stay on top!!! Beware of small
companies or worse companies you have never heard of. These companies
usually do not do continual training to the extent of the major players in
your city, which could very easily COST YOU a lot in a lawsuit that
could have been easily avoided with the proper training. It is not worth
saving a commission percentage to hopefully get your home sold, and
possibly end up in court.
#8. Make sure they are a Realtor and not just an
agent. There is a difference. Realtors have taken more classes and are
held to a higher code of ethics through the National Association of
Realtors. If they truly take their business seriously they will have
taken the extra classes to become a Realtor and not just an agent.
#9. What is your first impression of this person?
Does this person seem trustworthy? Do they look you in the eye? Do they
seem to be interested in what your needs are? Do they present themselves
well? Do they seem organized? Are they well prepared? You are trusting
them with the biggest investment of your life, are they worthy of that?
TRUST YOUR GUT, it is never wrong.
#10. Ask them what they charge. If they cannot
defend their commission to the standard 6% WHAT MAKES YOU THINK THEY
WILL DEFEND YOUR PRICE!!!! If they are willing to cut their commission,
when that is their bread and butter, will they really stand up and FIGHT
for YOUR money? You know the saying “you get what you pay for” in real
estate it very true. It costs a lot of money to expose your listing
heavily on the internet. Do yourself a favor, and pay the standard fee
for a outstanding job.
For those hiring a Buyer's Agent this is very
important! Many want you to sign a Buyers Broker Agreement for 6 months,
and if ANY transaction happens then they get a piece. DON’T FALL FOR
THAT!!
Give buyers Agents a 30 day contract at first and if they are working
hard for you then extend it another month , make it to where if you find
the property you have the right to use whoever you want. Don’t let them
push you around on this. They will make you feel like they are going to
walk............let them. The next day they will be back.
THEY NEED YOU, remember that!
Buyers Agents should be paid for what they do FOR YOU not just because
they sign you up. It can make the Realtors lazy and make you do all the
footwork and they are around to write a contract where you did all the
digging. Remember they will earn $4,000-$15,000 to help you for about
60-90 days of work.
Sellers Agents have a minimum of what they should do to. Realize the
market is slow right now, there is an overage of inventory, and just
listing it in the MLS is not enough to sell a house. It’s about EXPOSING
YOUR PROPERTY HEAVILY ON THE INTERNET in many different avenues in order
to get those buyers through the door, then negotiating you a great
price, and handling the myriad of details that come up to keep the deal
in escrow so that you can move into that next stage of your life.
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