Choosing a Listing Agent: A Guide

Real Estate

Real Estate Pictures Selling a home can be a daunting task, especially in a slow real estate market. While many homeowners opt to sell their property on their own, working with an experienced listing agent can simplify the process and help you achieve the best possible price for your home. Listing agents are real estate agents who specialize in selling houses, and they can bring marketing and sales expertise to the table, from attracting potential buyers to negotiating offers and closing the deal. In fact, homes sold with the assistance of a listing agent sell for 3 to 11 percent more than homes sold “by owner,” according to the National Association of Realtors (NAR). However, with so many agents vying for your listing, selecting the right one can be a challenge. Here’s what to look for in a listing agent:

Qualities of a Great Listing Agent

Listing agents are salespeople at heart, so they are typically very aggressive about seeking out clients to represent. However, it’s important to choose an agent who is the right fit for you and your property. Start by asking trusted relatives, friends, neighbors, and coworkers if they have recently sold or bought a house and had a positive experience with a particular agent. You can also ask real estate lawyers, mortgage lenders, and home inspectors for recommendations.

When evaluating potential listing agents, consider their experience, marketing skills, and access to the Multiple Listing Service (MLS), a database of current listings for sale. A great agent should have a track record of success and be able to provide references from past clients.

Communication is also key when working with a listing agent. You should feel comfortable asking questions and expressing concerns throughout the home selling process. Look for an agent who is responsive and attentive to your needs.

Finally, consider the commission rate the agent charges. Typically, listing agents charge a commission of 5 to 6 percent of the final sale price. While you don’t want to choose an agent solely based on their commission rate, it’s important to understand how much you will be paying for their services.

To find the right agent for selling your property, it’s recommended to look for one who specializes in properties similar to yours. You can start by checking “for sale” signs in your neighborhood, attending open houses, and exploring neighborhoods close by that have houses of similar size and value. If you’re selling a condo, look for an agent who specializes in condos, and if you live in a rural area, find agents who specialize in rural and tract land. You can easily filter out potential agents by checking their profiles on websites. If they don’t have a solid website, they might not have the marketing and tech-savvy skills to effectively sell your property.

However, don’t expect your agent to have wide exposure. High-volume agents may not provide you with the personal attention you desire, and you may end up dealing with their associates and assistants most of the time. If your property is in a particularly affluent area, a high-volume agent might be a good fit as they have contacts with the types of buyers who can afford more expensive properties. On the other hand, you shouldn’t overlook independent agents or agents with small realty firms, especially if they have niche expertise. The size of their agency shouldn’t be your focus; instead, evaluate their experience and credentials.

Realtors and real estate agents are different, and not all licensed real estate agents are Realtors. Realtors adhere to a stricter code of ethics than state-licensed real estate agents, and the National Association of Realtors requires them to complete more continuing education than many states require. As a seller, working with a Realtor can protect you as they are accountable to the National Association of Realtors and state licensing boards.

Once you have a list of potential agents, narrow it down to three or four and conduct an in-depth interview with each. Ask for a comparative market analysis (CMA) for your house, and a list of their most recent sales. Before the meeting, research the real estate market in your city using resources like Zillow.com and eppraisal.com to guesstimate your home’s value. During the meeting, the agent should present their CMA, which is a suggested market value for your house based on recent comparable sales. The CMAs provided by the agents you speak to should be in the same ballpark.

It’s essential to remember that you shouldn’t choose a real estate agent based solely on the highest selling price they offer. Some agents may try to “buy a listing” by promising an unrealistic price to entice you into giving them your commission. What you need is a CMA (Comparative Market Analysis) that seems reasonable based on your own research, and it should include homes that are similar to your own. Avoid an agent who presents CMA with homes that are significantly different in size and location from your property, as they may not know the market or could be manipulating the CMA to get a higher value.

Apart from a reasonable CMA, the agents should also show you activity lists that represent their recent completed sales. Quantity is essential to ensure they can handle multiple listings simultaneously, while quality is also crucial. Good signs include listings that sell quickly with final sale prices that meet or exceed the listing price. You should also ask about their marketing plan for your house. A good agent should be willing to put ads online and in local papers, offer ideas for showing your house, and not hesitate to spend money on marketing to make a sale.

Lastly, don’t forget that personality is vital. You’ll be working closely with this person on one of the most critical decisions of your life, so you should choose someone you can get along with.

Agent: Frequently Asked Questions

A listing agent is a real estate professional who works on behalf of the seller to sell their property for a desirable price under an obligation called “fiduciary duty.” They handle everything that needs to be done in order to sell a property, such as coordinating professional photography, gathering information for an online listing, determining a listing price, marketing the property, coordinating viewings with potential buyers, accepting and presenting offers to the seller, and assisting the seller with accepting an offer and closing on the house.

To evaluate a listing agent, ask for comparable sales (comps) of homes in your area. If they can’t provide this or attempt to “buy a listing” by promising a selling price that isn’t backed by true comps, move on. Look for an agent who has proof that they’ve held listings that have sold quickly at final sale prices that meet or exceed the listing price. Ask about their marketing strategy and choose someone with a personality you like.

To find a listing agent, ask for recommendations from relatives, friends, neighbors, and coworkers. They may have had a good experience with a particular agent and would be happy to refer them to you. You can also contact an agent directly by phone or email if you’re interested in listing your house through them. If you don’t have a particular agent in mind, use a real estate company’s “Contact Us” form or directly call the office to talk to someone about being matched with a listing agent.

For more information on selling a house or real estate in general, check out the related HowStuffWorks articles and the National Association of Realtors. Other great links include Cyber Homes.com, eppraisal.com, and Zillow.com.

Sources:

– Bissonnette, Zac. “Selling Your House? Don’t Be Bamboozled by a Listing Presentation.” Wallet Pop. June 9, 2009.

– Boyd, Patricia, and Lonny Coffey. “How to Buy and Sell Your Home Without Getting Ripped Off.” Dearborn Financial Publishing. 2000.

– Davis, Sid. “A Survival Guide to Selling a Home.” American Management Association. 2005.

– Home Gain. “Selecting an Agent: Questions Every Seller Should Ask.” Yahoo! Real Estate.

– Lank, Edith, and Dena Amoruso. “The Homeseller’s Kit.” Dearborn Financial Publishing. 2001.

– National Association of REALTORS. “Choose a REALTOR to Sell Your Home.”

The article discusses various resources that can help individuals choose the right real estate agent when buying or selling a home. These resources include websites like Realty Times and Front Door, as well as books such as “House Selling for Dummies” and “Sell Your Home Now.” It is important for individuals to do their research and choose an agent who has experience in their specific market and can provide them with the guidance and support they need throughout the buying or selling process.

FAQ

1. What is a listing agent?

A listing agent is a licensed real estate professional who represents the seller in the sale of their property. Their job is to help the seller price their home, market it to potential buyers, and negotiate offers on their behalf.

2. How do I find a good listing agent?

You can start by asking friends and family for recommendations. You can also search online for agents in your area and read reviews from past clients. It’s important to choose an agent who has experience selling homes in your neighborhood and who you feel comfortable working with.

3. What questions should I ask a potential listing agent?

You should ask about their experience selling homes in your area, their marketing strategy, their commission rate, and how they plan to communicate with you throughout the process. You can also ask for references from past clients.

4. How much does a listing agent charge?

The commission rate can vary, but it’s typically around 6% of the sale price of the home. This commission is split between the listing agent and the buyer’s agent. Some agents may offer a discounted rate or a flat fee, so it’s important to ask about their fees upfront.

5. What should I expect from my listing agent?

You should expect your listing agent to provide you with a market analysis of your home, help you price it correctly, market it to potential buyers, and negotiate offers on your behalf. They should also keep you informed throughout the process and answer any questions you have.

6. How long does it take to sell a home with a listing agent?

The time it takes to sell a home can vary depending on the market and the price of the home. On average, it takes about 30-60 days to sell a home, but it could take longer or shorter depending on the circumstances.

7. Can I sell my home without a listing agent?

Yes, you can sell your home without a listing agent, but it’s not recommended. A listing agent has the knowledge and experience to help you price your home correctly, market it to potential buyers, and negotiate offers on your behalf. They can also help you navigate any legal or financial issues that may arise.

8. What should I do to prepare my home for sale?

You should declutter and clean your home, make any necessary repairs, and stage it to showcase its best features. Your listing agent can provide you with more specific advice on how to prepare your home for sale.

9. How can I maximize the sale price of my home?

You can maximize the sale price of your home by pricing it correctly, staging it to showcase its best features, and making any necessary repairs. Your listing agent can also help you market your home to potential buyers and negotiate offers on your behalf.

10. How do I handle showings and open houses?

Your listing agent will handle scheduling showings and open houses. You should make sure your home is clean and tidy before each showing or open house.

11. What happens after I receive an offer?

Your listing agent will help you evaluate the offer and negotiate any terms with the buyer’s agent. Once you have accepted an offer, your agent will guide you through the closing process.

12. What happens if my home doesn’t sell?

If your home doesn’t sell, you and your agent will need to reassess your marketing strategy and pricing. You may need to make some changes to your home or adjust your price to attract more buyers. Your agent can help you come up with a new plan to get your home sold.