How to Choose a Real Estate Agent

If you’re buying or selling a home with the help of a real estate agent, it will pay to do your homework. The qualifications among agents vary greatly, so you want one that will best serve your interests. A common anecdote regarding agent performance is the reference to the 80/20 rule - 80 percent of the homes are sold by 20 percent of the agents. While these numbers may not be statistically accurate, the point is still valid: there’s a few highly-qualified, talented agents and many run-of-the-mill agents that you won’t necessarily get what you pay for.

So how do you tell the difference? How do you know do you find a good agent? Here’s some things to look for in a good agent:

• Works full time. There’s a sizeable number of people that think they can make some extra bucks on the side as a real estate agent. They soon realize that it’s not as easy as getting the license. A full time agent not only has more time to devote to your real estate needs, but chances are a full time agent is qualified enough that they are able to earn a full time living at what they do. There may be exceptions, but this is a signal to look for.
• Has experience. Similar to above, an agent that has a couple years under their belt has sold/bought some houses and learned a few things along they way that they can employ when helping you buy or sell a home.
• Has specialized knowledge. This knowledge be in the form of additial designations that the agent has earned or training that they’ve taken, or it may be in depth knowledge of an area or specific housing areas. Local knowledge, for example, can be an asset to you when you’re pricing your house for sale or looking to make an offer when buying a house.
• Performance. What better measure of an agent’s worth than their actual performance? If you need a listing agent, ask the agent for an MLS printout of the listing they’ve sold in the last year and the average time on the market their listings had compared to the average. An agent that’s sold a handful of homes or had average or more time on the market for their listings may not be the best agent for you.

In addition to the above, follow these tips to help you find a good agent:

• Ask around for references. Your family and friends may know someone who has done great work for them in the past.
• Interview multiple agents. Don’t pick the first one you come across. Remember the 80/20 rule - there’s a lot more average/poor agents than there are good ones. Do your homework and check out their experience and background.
• Don’t sign a lengthy contract. A listing agent that wants to lock you into a lengthy listing contract is a bad signal.

These tips will help you find a good agent that will best serve your interests.