Real Estate Resources
Appraising Your Real Estate Agent
Faye’s Top Ten Suggestions for Finding A Real Estate Agent Who is The Real Deal!
The recent real estate boom flooded our industry with new agents looking to profit from the hot housing market. Today, there are approximately 2.6 million licensed real estate agents in the United States -- a record number for the occupation. There are 2100 agents in Wilmington alone: that’s one agent for every five properties sold in the area last year! It can be difficult work to separate the true professionals from those who approach the business without the appropriate knowledge and integrity. And as I have mentioned elsewhere on this site, I don’t believe that buying or selling a home should be hard work or a risky proposition for you. To help make that most important initial decision of finding the right agent to serve you, here are my Top Ten Tips:
1. Check Credentials; Learn the Real Estate ABC’s
A strong real estate agent takes our business seriously and is continually working on increasing his or her knowledge base and keeping abreast of industry trends and developments. Here are some of my memberships, affiliations and accreditations and what they mean. Make sure your agent has at least a few of these too…..
Only 4% of REALTORS® have CRS credentials. This is the most rigorous and professional residential designation available to REALTORS®: consider it the Ivy League university of residential real estate. The Certified Residential Specialist (CRS) Designation recognizes professional accomplishments in both experience and education. The CRS program is open to REALTORS® who want to keep abreast of the latest sales and marketing techniques, enhance their professionalism, and increase their earning power.
REALTOR®
All REALTORS® are licensed to sell real estate as an agent or a broker but not all real estate agents are REALTORS®. Only REALTORS® can display the REALTOR® logo. REALTORS® belong to the National Association of Realtors (NAR) and pledge to follow the Code of Ethics a comprehensive list containing 17 articles and underlying standards of practice, which establish levels of conduct that are higher than ordinary business practices or those required by law. Less than half of all licensees are Realtors®.
ABR
(Accredited Buyer Representative) is a designation from the Real Estate Buyer’s Agent Council that trains experienced REALTORS® in specifically representing the real estate consumer. The ABR designation is awarded to real estate practitioners who complete a comprehensive two-day REBAC course in buyer representation, achieve a passing grade on the written examination, and demonstrate practical experience by completing and closing five real estate transactions in which the candidate functioned as a buyer's representative. ABRs must also maintain a membership in good standing with the National Association of REALTORS® and the Real Estate BUYER'S AGENT Council.
GRI
(Graduate, REALTOR® Institute) The GRI designation is earned by completing a national program of specialized and advanced education for the licensed REALTOR®. It involves intense study, covering many special aspects of real estate such as residential marketing, cost basis, appreciation methods, investment real estate, construction, real estate tax concepts, exchanges, capital gains, and various types of mortgage programs. This designation may only be earned after successfully completing a rigorous educational program that requires 92 hours of live coursework.
Broker 
CENTURY 21®
Brock & Associates
CENTURY 21® Brock & Associates is a proud member of the CENTURY 21® System , the most recognized name in real estate with over 6500 offices operating in 33 countries and territories. CENTURY 21® is part of the largest real estate referral network in the world - connecting potential buyers and sellers and real estate professionals around the globe! For more information about CENTURY 21® Brock & Associates, visit our website
CENTURY 21® Centurion
Faye has been a Centurion with CENTURY 21® for the past twenty years, a coveted award presented to top producers in the CENTURY 21® System who rank in the top 1% nationwide for successful real estate transactions and sales.
2. Consider Chemistry
Smart consumers interview potential real estate agents before deciding on whom to hire. Just as you are sizing up the potential for a good fit, rest assured that the real estate agent will do the same. Be wary of agents who don't ask you questions and try to ascertain your motivations to buy or sell. You wouldn't work with just any agent off the street, and good agents are selective about their clients, too. At the end of your initial meeting or phone interview (see the next tip for more on what to ask), ask yourself whether you like and respect the agent. Remember that a real estate transaction is one of the biggest decisions you make in life and there is a certain amount of stress involved. That’s why you want to make sure that you feel 100% comfortable communicating with the agent you choose. To avoid a lack of communication, ask the agent how frequently he or she will contact you with updates. A good agent will communicate at least once a week.
3. Ask Away!
Don’t be shy about asking questions before you agree to have an agent represent you! For most people, a home is their biggest investment, and that’s not something to approach lightly. I recommend talking to at least three real estate agents before you make a decision about who should represent you. Here are some of my favorite questions to help determine who will work best for you:
a. (For sellers) What will you do to market my home?
Ask for a listing presentation. Ask how they will market your home on the Internet, if they plan on holding open houses and what kind of newspaper advertising they'll do. It’s also a good idea to ask to see examples of how they've marketed other properties close to your home's price range. If an agent inquires about the deficiencies in your home or talks about things that need to be fixed before accepting a listing, this is a good sign, not a bad one; it means that agent is already thinking about everything that can be done to increase your asking price.
b. (For buyers) What is your strategy for helping me find the right home?
As a buyer, you will need to know how the agent intends to help you search for your home. Ask if you will be competing against other buyers and how the agent handles multiple offers. Also, inquire as to whether the agent presents offers personally, or if a broker handles that aspect of the deal.
c. Who do you represent and what documents will I need to sign?
Agency disclosure is law in many states, including the State of North Carolina. A disclosure form will confirm the agent's loyalty to a buyer or seller, discussing at the outset what happens if the agent ends up representing both a buyer and a seller in a transaction. The National Association of REALTORS®' code of ethics requires disclosure as well. Asking about disclosure early on shows the agent you're thinking about the issue, and tips them off to your sophistication as buyer or seller. All forms and documents should be made available to you for preview before you are required to sign them. These could include: Buyer's Broker Agreement (find out if it is exclusive or non-exclusive), Agency Disclosures, Purchase Agreement or Listing Agreement, and Seller Disclosures.
4. Ask Some More:
The Two Best Questions !
I. What Are the Top Three Things That Separate You From Your Competition?
A good agent won't hesitate to answer this question and will be ready with a good reason as for why s/he is best suited for the job. Everyone has their own standards, but you’ll want someone who stresses at least a few of the following qualities: honest, trustworthy, assertive, experienced, excellent negotiator, strong communication, always readily available by phone or e-mail, friendly, analytical, able to maintain a good sense of humor under trying circumstances, etc. Make sure that the qualities the agent stresses match what’s important to you!
II. What Haven't I Asked You That I Need to Know?
Pay close attention to how this question is answered because there is always something you need to know, always. You are using an agent for his or her expertise; strong agents take the time to make sure you feel comfortable and secure with their knowledge and experience. They should ask the right questions and then listen carefully to find out what they need to know to best counsel and serve you.
5. To Buy or To Sell:
That is the Question!
Find out if your agent is representing the buyer, the seller, or both. By employing a representative who only works on one side of the transaction, you're less likely to have a conflict of interest during the transaction, and you know that the agent will have your best interests (not a hefty commission) at heart.
6. Go to Open Houses
Before Opening Doors
Like most businesses, personal referrals remain the best way to find a fantastic real estate agent. If you don’t know anyone who can give you a solid referral, try going to open houses before opening your door to a real estate agent. Instead of randomly selecting someone from an advertisement, open houses are a great way to meet real estate agents in a non-threatening working environment and interact with them. Collect business cards and make notes on them. If you're thinking about selling your home, pay attention to how the agent is showing the home. Is he polite and informative? Does he hand out professional-looking promotional material about the home and point out the features of the property, or he just dutifully going through the motions and paying little attention to you?
7. Take the “Just Happened to Be in the Neighborhood” Approach
Pay attention to the listing signs in your neighborhood. Take note of the day they go up and when the sold sign appears. The agent who sells listings the fastest might be better for you than the agent with the largest number of "for sale" signs. Results speak volumes.
8. Something Old, Something New
Experience matters a lot, but it isn’t everything. Decide what’s important to you. Newer agents may have more time to concentrate on you, just make sure they have access to competent mentors and that they have completed proper training. Some agents with 25 years of experience repeat their first year over and over. Other 25-year agents are committed to keeping up-to-date on the newest information and education available in the industry. Your interview will help you understand which kind of agent you’re talking to. Instead of asking “How much experience do you have?” ask “How many homes in the neighborhood have you sold or helped buyers purchase in the past year?”
9. Crunch the Numbers
Knowing the agent's average list price-to-sales ratio speaks volumes. Excluding really hot seller's markets, a good buyer’s agent should be able to negotiate a sales price that is lower than the list price. A competent listing agent should hold a track record for negotiating sales prices that are very close to list prices. Therefore, listing agents should have higher ratios closer to 100%. Buyer's agent ratios should fall below 99%.
10. The Three R’s:
Referrals, References,
Resources
An agent who comes highly recommended from someone you know and trust is golden. Referrals are the safest and best way to choose an agent.
If you don't have a recommendation, interview a few agents (see Tips 1-4) and ask for references. When calling a real estate agent’s former clients, the most telling question you can ask is "Would you hire this person again?" If there's any hesitation, call more references before making your final decision. Remember that even new agents have references from previous employers. Don’t forget to ask if any of the individuals providing references are related to or friends with the agent—Agent Smith’s grandmother is probably not going to give an impartial reference. At the end of the conversation, ask if you can call the references if any additional questions come up.
Finally, remember that a great real estate agent is a resource for you. He or she should have a strong network of trusted, competent professionals who can help you with every aspect of selling or buying a home from mortgage rates to closing procedures to painters and decorators. Let the real estate agent explain to you who she works with and why she chooses these professionals. Your agent should be able to supply you with a written list of referring vendors such as mortgage brokers, home inspectors, attorneys, and surveyors they have worked with before and they can recommend without hesitation. If you see the term "affiliated" find out exactly what that means: it could mean that the agent and her broker are receiving compensation from one or all of vendors, and you could be paying a premium for the service. A great real estate agent is a great citizen in his or her community and should be well informed about schools, local government, community services, etc.
