How to Choose The Best Real Estate Agent

By Amanda Bailey
13 min read

How to Choose The Best Real Estate Agent

We have helped connect hundreds of clients to qualified, local real estate agents, so we are well aware of the benefit of working with an agent when trying to find that new home. Choosing the right real estate agent is crucial for a successful home buying or selling experience.

In this guide, you’ll learn how to choose a real estate agent by evaluating agents based on their roles, experience, and credentials. We will also cover steps like asking for referrals, researching online presence, and interviewing potential candidates on how to choose a real estate agent effectively. When interviewing, pay close attention to how the agent responds during initial interactions, as their responsiveness can indicate their communication quality and professionalism. Choosing a real estate agent is akin to interviewing for a job, as you are entrusting them with a significant financial transaction. This comprehensive approach ensures you make the best choice for your needs when considering how to choose a real estate agent.

Key Takeaways

  • Choose between buyer’s agents or listing agents depending on your needs; knowing the difference can save you time and hassle.
  • Research potential agents: ask for referrals, check their online presence, and attend open houses to see them in action.
  • Always interview multiple agents, ask critical questions, assess compatibility, and understand their commission rates to ensure a good fit.

Understanding Real Estate Agents

Real estate agents play a pivotal role in helping people buy and sell homes. They act as advocates for their clients, providing essential market insights, handling negotiations, and ensuring legal compliance throughout the transaction process. Agents work directly with clients or as part of a team, and some pursue additional education or additional training, such as certifications and designations, to enhance their qualifications and expertise. Selecting the right real estate agent can greatly influence your experience and results, so it’s important to understand their roles and duties.

An experienced real estate agent can lead to a quicker home sale and a better price, helping you sell real estate, make smart decisions, and avoid costly mistakes compared to other real estate agents. The difference between an agent and a real estate broker is that a real estate broker has completed additional training and licensing requirements, and may hold titles such as associate broker, allowing them to supervise agents or operate independently.

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Types of Real Estate Agents

Real estate agents specialize in various roles to cater to different client needs. A buyer’s agent exclusively represents the buyer’s interests, focusing on finding homes for buyers, making offers, and negotiating with sellers. Some agents specialize in working with first time buyers and understand the unique needs and challenges that first-time homebuyers face. On the other hand, a listing agent assists sellers with pricing, listing, marketing homes, and negotiating with buyers. Understanding the difference between these roles can help you choose the right type of agent for your needs.

Some agents may represent buyers and sellers, but this dual agency can sometimes raise concerns about conflicting interests involving multiple agents, agent representing buyers. Consulting other buyers about their experiences with an agent can help you assess the agent’s reputation and effectiveness.

Real Estate Agent vs. Realtor vs. Broker

All Realtors fall under the category of real estate agents. However, not every real estate agent is a Realtor. Realtors are members of the National Association of Realtors and adhere to a strict code of ethics. A real estate broker, on the other hand, has more training and must pass a broker’s license exam to operate independently. Real estate brokers can oversee other agents, adding a layer of expertise and supervision to transactions.

Some agents also pursue specialized certifications, such as the Accredited Buyer’s Representative (ABR), to demonstrate advanced expertise in representing buyers.

Understanding these distinctions can help you make a more informed choice when selecting a professional to represent you.

Steps to Finding a Real Estate Agent

Finding the right real estate agent involves a few strategic steps that ensure you make an informed decision. Taking the time to select the right agent is crucial for a comfortable partnership during this significant financial decision.

Start by doing your due diligence, as the process can be overwhelming with so many agents competing for business. Speak with at least three agents and a managing broker to compare their services and find the best match for your requirements. Reviewing an agent’s listings can also provide valuable insight into their experience, local market activity, and digital marketing skills.

When evaluating potential agents, research their agent’s online presence to assess their credibility and professionalism. At the end of your research, initial phone calls with agents can help you assess their responsiveness and communication style.

Ask for Referrals

One of the most reliable ways to find a good real estate agent is through referrals. Ask reliable sources such as your mortgage broker for recommendations because they frequently collaborate with reputable agents. Friends, family, and colleagues who have recently bought or sold homes can also provide valuable insights. Home sellers who have recently completed a transaction are especially helpful, as they can recommend agents based on their direct experience with the selling process.

Their firsthand experiences can help you identify agents who have a proven track record of success.

Research Online Presence

In today’s digital age, an agent’s online presence is a crucial factor in assessing their credibility and effectiveness. To evaluate this, consider the following:

  • Look at their websites, social media channels, and online profiles to gauge their professionalism and client satisfaction.
  • Examine closed deals in your area.
  • Read reviews to assess their reputation.

A strong agent’s online presence often indicates a proactive and engaged agent who can effectively market your property.

Attend Open Houses

Going to open houses allows you to see agents in action. Observe their interactions with visitors, knowledge of the property, and readiness to answer questions. These observations can offer valuable insights into their professionalism and approach to clients.

It also allows you to see how they manage the sales process, helping you choose someone who is responsive and capable of meeting your needs.

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Interviewing Potential Agents

Talking to potential agents is crucial for finding the right one for your needs. Talking to at least three agents allows you to compare their approaches and choose the best fit. Many home sellers don’t interview multiple candidates but opt for the first agent they meet. Most sellers choose the first agent they meet, but taking the time to interview multiple agents can lead to better outcomes.

During interviews, most agents will highlight their strengths and the services they offer, but it’s important to ensure they are committed to acting in your best interest, especially in situations where conflicts of interest could arise.

Pay attention to their communication style, local market knowledge, and professionalism during job interview.

Key Questions to Ask

During the interview, ask key questions to assess the agent’s experience and suitability, such as:

  • Their experience
  • Whether they work full-time or part-time
  • The price range they specialize in
  • The neighborhoods they specialize in
  • Whether they can refer you to real estate attorneys for legal advice and assistance during the transaction

Review the agent’s listings to evaluate their current market activity, experience, and digital marketing skills. This can help you determine if their expertise aligns with your needs.

Request a comparative market analysis to back up their suggested list price and understand their reasoning. Verify that they can assist you in making competitive offers and negotiating effectively.

Ask for references from recent clients to assess their satisfaction.

Assessing Compatibility

Feeling comfortable and confident in your choice of agent is essential for a successful partnership. Note their communication preferences and communication skills during the interview, as this sets the tone for future interactions.

A strong personal connection can enhance the overall experience, making the process smoother and more enjoyable.

Evaluating Marketing Strategies

An agent’s marketing strategy is crucial for the successful sale of your home as a home seller. Look for agents who can identify your target buyer and have a clear marketing plan. Effective marketing should include various strategies, such as MLS listings, real estate websites, and multimedia presentations. Traditional methods like yard signs are also still effective for attracting buyers and promoting properties.

Make sure their plan highlights appealing features and outlines a specific strategy for promoting your property.

Evaluating Experience and Credentials

Assessing an agent’s experience and credentials is crucial to ensure they are qualified and capable. Key indicators of a reliable agent include:

  • A strong business portfolio
  • A solid track record of client service
  • A proven history of selling homes quickly and for the highest price These factors can greatly enhance your selling experience.

Take their training and recognition into account, as these reflect competence and reliability. Agents who have completed additional training or certifications often demonstrate higher expertise in specific real estate areas.

Years in Business

Opting for an agent with substantial experience can boost your confidence in their abilities. The recommended minimum experience for a real estate agent is at least five years.

Experienced agents offer invaluable insights and support, increasing the likelihood of a successful transaction with a good agent buyer’s selling agent.

Additional Certifications

Agents with additional certifications often demonstrate a commitment to ongoing education and specialization. Certifications like Accredited Buyer’s Representative (ABR) or Certified Residential Specialist (CRS) can enhance an agent’s expertise in specific areas of real estate. These credentials typically require additional education and additional training beyond standard licensing, showing that the agent has pursued specialized knowledge to better serve clients.

Ensure the agent has completed the necessary education and passed the required exams to be licensed.

Understanding Commission and Contracts

Grasping commission rates and contract terms is essential when hiring a real estate agent. Standard commission rates range from 5% to 6% of the home’s sales price, so discuss and negotiate these fees upfront. Real estate agents earn a commission on the deal, which typically falls between 2.5% and 3% of the home’s sale price. The agent’s commission is typically paid at the closing of the home purchase.

Going over contract terms ensures clarity in your agreement and safeguards your interests. Important terms to review include the agreement’s duration and cancellation policies. Negotiating flexible contract terms can help you achieve the best price for your home.

Commission Rates

In 2024, the average commission for real estate agents was around 5.32%, usually split between the buyer’s and seller’s agents. Since commission rates are negotiable, discuss and potentially reduce them based on different factors. Sellers who are comfortable with dual representation can request a reduced commission.

Understanding these nuances can help you manage the financial aspects of your personal finance real estate transaction effectively.

Contract Terms

Make sure your contract with the real estate agent covers all agreed terms, such as the commission rate and duration. Limiting the contract duration to six months or less is advisable.

Ensure the contract allows for cancellation at any time, providing flexibility if the partnership doesn’t work out.

Local Market Knowledge

An agent’s understanding of the local market is key to evaluating their expertise. Agents with more than ten years of experience often excel at navigating complex local market transactions. An agent who knows the area can best advise on a sales price based on recent trends. Talking to Realtors helps you find someone who understands your home’s unique selling points and meets your expectations as a seniors real estate specialist.

Working with a qualified local agent who knows the area well ensures you benefit from their in-depth knowledge and connections. Most agents with strong local expertise can help maximize your selling price and speed up the sale.

Knowing the local market can greatly influence the advice and support you receive during the transaction.

Recent Sales in Your Area

Looking at an agent’s recent sales in your neighborhood can reveal their expertise and effectiveness. Reviewing homes sold helps identify which agent sells homes the quickest. Ask about their comparative market analysis of similar homes to gauge their market knowledge.

This knowledge enables agents to forecast market trends and offer tailored recommendations.

Understanding Neighborhood Dynamics

An agent familiar with the local agents area can offer detailed insights about properties and market trends, especially when working with a particular agent. Different property types demand specific expertise, such as downtown condo specialists versus suburban single-family home agents.

An agent can help narrow down neighborhood options based on your priorities, like schools or traffic concerns.

Working with Multiple Agents

When searching for the right real estate agent, it’s wise to interview multiple agents before making your final choice. By meeting with several estate agents, you can compare their market knowledge, communication skills, and overall approach to buying or selling real estate. Each agent may have a unique marketing strategy, different experience levels, and varying ways of connecting with potential buyers, so taking the time to interview multiple agents gives you a clearer picture of who will best represent your interests.

During these interviews, ask each agent about their recent home sales, how they plan to market your property, and how they communicate with clients throughout the home sale process. Reviewing each agent’s online presence—such as their website, social media, and current listings—can also reveal how effectively they reach buyers and showcase properties. Doing your due diligence by researching and comparing multiple agents ensures you find the right real estate agent who aligns with your needs and goals, ultimately leading to a smoother and more successful real estate transaction.

Red Flags to Watch Out For

While many real estate agents are dedicated professionals, it’s important to be aware of red flags that could signal an agent may not have your best interests at heart. One major warning sign is a history of acting as a dual agent, which can create conflicts of interest and may not result in the best outcome for you. Be cautious if an agent suggests an unrealistically high asking price for your home, as this can lead to your property lingering on the market and ultimately selling for less.

Unresponsiveness or poor communication is another red flag—if an agent is slow to return calls or emails, it may indicate a lack of commitment to their clients. Additionally, watch out for agents who are vague about their fees or who don’t provide a clear marketing plan for your property. Transparency and open communication are essential for a successful partnership. By staying alert to these potential issues, you can choose a real estate agent who is truly focused on your best interests and committed to helping you achieve your real estate goals.

Getting the Best Deal

Securing the best deal in your real estate transaction starts with partnering with an experienced real estate agent who knows the local market inside and out. A good agent will provide a detailed comparative market analysis to help you set the right price for your home or make a competitive offer as a buyer. Their expertise in negotiation can make a significant difference in achieving the best possible sales price or purchase price.

An experienced real estate agent will also have a proven track record of marketing homes effectively to potential buyers, using a mix of online listings, social media, and traditional marketing to reach the widest audience. When interviewing agents, ask about their experience with clients in your price range, their approach to resolving conflicts, and their strategies for getting the best deal for their clients. By choosing a knowledgeable and skilled agent, you can feel confident that your interests are being represented and that you’re positioned to achieve the best outcome in your home sale or purchase.

Making the Final Decision

Investing time in choosing an agent can result in better outcomes for your real estate transaction. Selecting the wrong agent can lead to high stress, extended market time, and a lower selling price, which can ultimately waste time.

Make an informed decision by evaluating all the key things and important details, as not all options are created equal in this guide to find the important factors that lead to the best deal.

Trust Your Instincts

Relying on your instincts is essential when selecting a real estate agent. A negative impression during an interview suggests the relationship is unlikely to improve. Comfort and confidence in your choice can pave the way for a successful partnership.

Trust your gut to find an agent who matches your needs and preferences.

Verify Licensing and Disciplinary Actions

To verify the agent’s real estate license and check for any disciplinary actions, follow these steps:

  1. Check online using the agent’s license number or name.
  2. Visit your state’s real estate commission website.
  3. Confirm that the agent’s license is current and in good standing. All real estate agents must be licensed in the states where they work and abide by national and state laws.

This due diligence is essential for making an informed decision.

Summary

Summarize the key points discussed in the blog post, emphasizing the importance of choosing the right real estate agent. Conclude with an inspiring note for the readers.