Common Mistakes Made When Hiring A Realtor
Real Estate is unique, and operates differently than any other industry out there. It’s fast paced, competitive, and forever evolving. What makes Real Estate fascinating is the continuous array of options available. Those many options start with choosing your ideal realtor.
Whether you are choosing a new local dentist, deciding on the best contractor or choosing a wedding venue, the process begins with interviewing several options, and choosing the one who provides the highest quality of service and is best suited to your needs.This should also be the case when searching for a realtor. To date, the National Association of Realtors ® (NAR) states, 77% of Sellers interviewed only one agent, while 73% of Buyers also only interviewed one agent. In my professional opinion, these numbers still shock me. I personally believe that there should be much more emphasis placed on selecting the right Realtor for you and your personal needs.
Have a look at what I consider the Top 5 common mistakes made by Buyers and Sellers when hiring a Realtor, that often leads to a negative experience;
Using Your Parent’s Realtor
For younger generations, one of the easiest ways to get in touch with a seasoned Realtor is through one their parents have hired in the past. This tactic is great - for just that, getting in touch with a Realtor.
With that being said, there are people who prefer coffee and people who prefer tea. Just because a Realtor has worked with a family member in the past does not mean they are automatically the right hire for you. Rather, this mutual connection should result in the Agent earning an interview with you.
In this highly competitive and advancing industry, speed is key. Beware of Realtors that tend to be less aggressive in terms of time, responses and digital resources. Ideally, you want to hire a Realtor that will take you out at 8pm for a showing, and will be proactively researching homes in your ideal area to bring to your attention. You also want an agent that is up to date with technology, photography, and additional requirements to effectively market your property in today’s world. A Realtor with more years of experience does not necessarily mean they are better equipped to help you purchase a home or sell your property for top dollar!
Get to know your Realtor and select an Agent who is willing to go the extra mile for you.
Hiring The First Realtor You Meet
All Realtors are not created equal, yet we all pretty much cost the same. This is why it is crucial to make sure you’re selecting the best possible Agent for you. A common scenario that many individuals find themselves victims of when buying/selling a home is missing out or not realizing all their options. Allow me to explain further!
Often when a Buyer reaches out to see a home, they end up seeing more properties with that same Realtor out of ease or convenience. Eventually, they will buy and conveniently list their home with the same Agent.
As you can see, there was no formal interview done and as a result the Buyer/Seller is only exposed to the options their Agent wants them to view - when it should be the other way around. To avoid feeling trapped and selecting a Realtor out of ease or haste - make sure you formally interview the Agent. In the scenario used above, I still recommend going to see the property. From there, mention you’re in the market for a Realtor and would like to schedule a formal interview.
Beware that not all Buyers Agents are great Listing Agents - ask for an interview on both sides.
Using A Friend/Family Member
Similar to using a family recommendation for a Realtor, be cautious of selecting an Agent simply based on the fact that they’re a friend or family member. Don’t get me wrong, this should definitely earn them an interview - and perhaps a slight advantage. It’s incredibly important that you are working with someone you like, trust and get along with, because at the end of the day, you end up spending quite a bit of time communicating with your Agent. With that being said, the most important thing to keep in mind is that your Realtor needs to produce results. You want to avoid being someone’s learning experience, trial run, or first rodeo.
Additionally, Real Estate is unpredictable, and as a Real Estate Agent, I do my absolute best to avoid hiccups and obstacles. This is often one of the biggest transactions of someone’s life and that comes with a lot of weight. If you choose to hire an Agent from your current social circle, one of the best pieces of advice I can give you before getting into business with that Agent is, “Could I fire them if I had to?”. In most cases, ending a professional relationship with a “stranger” is much easier than a close family or friend connection. It’s also imperative to maintain a level of professionalism and set the appropriate tone for your buying or selling journey. It’s never inappropriate or out of line to discuss with your Realtor that the relationship is no longer working, and part ways. I think it’s fair to say that most people prefer to maintain their friendship vs. muddying it with undesirable Real Estate transactions.
The Realtor With The Bus Ad
Seeing an Agent’s face on a bus does not automatically indicate a successful Realtor or one that offers the best service. It simply indicates clever marketing and advertising. If you’re someone new to the market, there’s absolutely nothing wrong with reaching out and asking for an interview. During the interview, be sure to focus on important questions, regarding how experienced they are with the area, how many Sellers they’re currently representing, how they plan on marketing your home, how they will best prepare your home to hit the market, and so on. As fun as it is to see the face of someone you know personally on a bus ad, their face on a sign does not help your home sell for more money. Instead, gather information on what services they can offer to market your home, as well as what communication and resources they can offer you as a Buyer. (What do they do for you, vs themselves)
Time and time again I have seen Buyers get into relationships with Realtors that aren’t the right fit for them.
A poor selection of a Realtor will cause delays in finding the right home which can then lead to paying more money - even more so now due to the value of homes rising from week to week. Sellers get misrepresented and mis-marketed, which then results in leaving thousands of dollars on the table. Truthfully, all of this can for the most part be avoided. My recommendation is to interview at least three Realtors before you make your decision. I know that it costs you more time up front, but there will be less headaches, less stress and more money in your pocket in the end. An interview is worth the initial investment.
Realtors Without References
Just as any other job or purchase in any industry, reviews and references are always worth taking a peak at. A simple Google search of your Realtor will usually provide a list of reviews - but also check out their personal website and social media accounts to get a better sense of who the Agent is and how they operate. To be candid, if a Realtor is unable or hesitant to provide you with a list of references or past client testimonials I would consider that an immediate red flag. One of the best ways to learn more about your Realtor is hearing about the experience from their past clients.
These references will be able to provide you with insight to use during your selection process, answer any raised concerns you may have and overall help you decide if this Agent is the right fit for you.
The world of Real Estate is ever changing - and rapidly at that. The industry itself can be unpredictable and intimidating for Buyers and Sellers. The 5 mistakes listed above are common and easily made when selecting a Realtor. Based on my experience and how to avoid making these mistakes, shop around - don’t settle for convenience, active years being licensed or creative ads. You want to work with someone you can trust, communicate with, and provide you with the highest level of service and overall best experience possible.
See links below for Interview Questions you need to be asking as well as a link to what you should be looking for from a Buyer's Agent or a Seller's Agent.
