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Questions to Ask When Hiring a Real Estate Agent: A Guide for Homebuyers and Sellers

  • innapeshkova
  • Nov 11, 2024
  • 5 min read
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Whether you’re buying your first home, selling your current property, or navigating a real estate transaction for the hundredth time, choosing the right real estate agent can make all the difference. A skilled agent can help you save time, money, and stress throughout the process. But how do you know if an agent is the right fit for you? By asking the right questions, you can ensure you find an experienced, trustworthy, and competent professional to guide you through one of the biggest financial decisions of your life.


1. What is Your Experience and Expertise?


  • Why ask this? You want an agent who has a solid understanding of the local market and relevant experience in your type of transaction.

  • 👀 What to look for: Inquire about how long they’ve been in the business and whether they specialize in buying or selling properties in your neighborhood or area. Ask if they’ve worked with buyers or sellers in situations similar to yours—whether you're a first-time buyer, a seller looking to downsize, or an investor.

  • 🚩 Red flags: An agent with little experience or no specialization in your area of interest may not be as effective in handling the nuances of your transaction.


2. What is Your Strategy for Buying/Selling a Home?


  • Why ask this? A top-tier agent should have a well-defined, customized approach to help you reach your real estate goals.

  • 👀 What to look for: Ask the agent how they plan to market your home if you're selling or how they plan to help you find the best deals if you're buying. For sellers, this might include staging, professional photography, and open houses. For buyers, ask about their process for identifying properties that match your needs and budget.

  • 🚩 Red flags: If the agent can't articulate a clear plan or offers a generic approach, they may not have the expertise needed to get the best results.


3. What is Your Availability and How Do You Communicate?


  • Why ask this? You want to make sure the agent is accessible and communicates effectively, as this is crucial to a smooth transaction.

  • 👀 What to look for: Find out how often they are available to show homes or take calls and how quickly they typically respond to emails and texts. Also, ask about their preferred method of communication—whether by phone, email, or messaging apps—and how often you can expect updates.

  • 🚩 Red flags: If the agent seems difficult to reach, slow to respond, or non-committal about communication practices, it could signal that they won't prioritize your needs.


4. How Do You Get Paid?


  • Why ask this? Understanding an agent’s compensation structure is essential to avoid surprises down the road.

  • 👀 What to look for: In most cases, the seller pays the real estate agent’s commission, which is typically around 5-6% of the sale price, though it's always up for negotiation. If you’re a buyer, ask whether they charge a flat fee, take a commission from the seller, or expect some other form of compensation. Be sure to clarify if there are any additional fees that might arise during the transaction.

  • 🚩 Red flags: If the agent is vague about commission details or tries to push you into agreeing to an unusually high fee, it could be a red flag.


5. Can You Provide References or Testimonials?


  • Why ask this? A reputable agent should have a history of satisfied clients.

  • 👀 What to look for: Ask for contact information for recent clients or read online reviews from previous buyers or sellers. Real testimonials can give you insight into the agent's work ethic, customer service, and success in getting results.

  • 🚩 Red flags: If the agent cannot provide references or has overwhelmingly negative reviews, it may be a warning sign.


6. What is the Current Market Like, and How Will That Affect My Transaction?


  • Why ask this? A good agent should be knowledgeable about current market conditions and how they can influence your buying or selling strategy.

  • 👀 What to look for: Listen for an informed answer that reflects their understanding of the local market’s trends, such as whether it’s a buyer’s or seller’s market. Ask how they plan to take advantage of market conditions for your benefit, whether you’re buying or selling.

  • 🚩 Red flags: If the agent is unaware of market trends or offers a vague response, they may not be attuned to the needs of their clients.


7. What Are the Risks Involved in This Transaction, and How Will You Handle Them?


  • Why ask this? Every real estate transaction carries risks, and a skilled agent should have a plan to mitigate them.

  • 👀 What to look for: A good agent should be able to identify potential risks—such as issues with inspections, appraisals, or financing—and explain how they plan to address them. They should also be able to recommend professionals like inspectors or attorneys who can help.

  • 🚩 Red flags: If the agent is dismissive of potential risks or doesn't seem to have a plan for handling obstacles, they may not be thorough enough to ensure your best interests are protected.


8. How Will You Negotiate on My Behalf?


  • Why ask this? A skilled negotiator can secure a better deal, whether you're buying or selling.

  • 👀 What to look for: Ask the agent about their negotiation style and experience. They should be able to explain how they’ve helped past clients secure favorable terms and prices. Additionally, ask how they’ll handle counteroffers, multiple offers, or bidding wars.

  • 🚩 Red flags: If the agent lacks confidence in their negotiating abilities or is vague in their explanation, you may not get the best possible deal.


9. How Will You Support Me Throughout the Entire Process?


  • Why ask this? You want an agent who will be there for you from start to finish, ensuring that you have the support and resources needed at each step.

  • 👀 What to look for: A thorough agent will explain how they will guide you through everything, from initial search or listing to closing. They should provide resources, answer questions, and help coordinate inspections, appraisals, and paperwork.

  • 🚩 Red flags: If the agent seems to offer little beyond the basics or doesn’t provide assurances about their availability and support, it could be a sign they won’t go the extra mile for you.


10. How Many Clients Are You Currently Representing?


  • Why ask this? You want an agent who has the time and attention to devote to your transaction.

  • 👀 What to look for: A balance is key here. An agent who has too many clients may not be able to devote enough attention to your needs. Conversely, an agent with very few clients may not have enough experience or demand.

  • 🚩 Red flags: If the agent has a large roster of clients and seems overburdened, it may mean they’re stretched too thin to give you the attention you deserve.


Conclusion: Choosing the Right Agent is Key


Whether you're buying or selling, selecting the right real estate agent can help ensure your experience is as smooth and successful as possible. By asking the right questions and looking for red flags, you’ll be better positioned to find an agent who is not only experienced but also a good fit for your unique needs and goals. Don’t rush the decision—take your time to choose an agent who will work tirelessly on your behalf and help you navigate the complexities of the real estate market with confidence.

 

 
 
 

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