Vetting a realtor to sell my place

IOBA · ‎07-18-2015

Any suggestions on how to find the BEST realtor to represent my place and me for the sale of the property?

And on another note, how can I be the ideal home owner for the realtor?

Revelate · ‎07-18-2015

@IOBA wrote:
Any suggestions on how to find the BEST realtor to represent my place and me for the sale of the property?

And on another note, how can I be the ideal home owner for the realtor?

I'm actually intensely interested in S10's answer on this one among other forum people!

My pet theory is I suspect listing agents will be willing to put up with a lot, that's where the money is anyway: guaranteed to be getting a payday for your effort.

As for finding one, ugh. Going through the process on the buyer side, I know several personally in my community, and talked to a few people on their impressions of ones they'd used, and just didn't sound like a good fit for me and wound up just dumping it on Redfin which has been all sorts of goodness for me. Lucked out on that one, and at this point when I do wind up selling I'll probably go down the same route again as the service was precisely what I was looking for assuming my needs are similar at that point.

Anonymous · ‎07-19-2015

Depends on the area. But in the west coast, the sellers agent usually takes a smaller cut. You can get guys to list your house for 1% and give 3% to the buyers agent. The buyers agent is the one bringing the money and is paid more.

ALWAYS, and I mean ALWAYS give your buyers agent at least 2% or 3% if you want to sell your house. I know it's unethical, but I also know so many agents that wouldn't show a certain house because the comission on the buyers side is <2% and not worth their time to show their clients. If buyers agents see that you are throwing 3%, you are golden and will get the most on that end.

For who to pick out to list your house? I say just someone who has a good camera, or access to a good camera. Can list you on the mls and all the websites. Also knows how to write the lingo and wording to lure buyers into your house, and also what to avoid. Most homes are found through the internet, with the buyers asking their agent to show them that house.

IOBA · ‎07-19-2015

I am on the east coast. Most commissions are 5-6% for the price range of this home.

Had an agent (for buying and selling) and that was a total bust. I did the work for finding a new place (closed in 10 days too!), but my agent didn't even make sure the keys were at closing! When I asked for the keys, she looked startled, and said I should already have them! (Uh, really? Before actually closing???? Terms were possession at closing.)

Same agent only informed one other agent of my place for sale, weeks after I signed the contract. She said she delayed because she wanted all the commission herself. Had an offer on the place (from other agent) and I countered. My agent refused to send the counter offer to the other agent. Then insisted I put it in writing that I was rejected the offer. I said no, I was not rejecting the offer, I was COUNTERING the offer. There is a difference, yes?

That listing contract expired and I am back to square one for finding a listing agent. And I have missed the prime window for selling a house in my area.

I am signed up with two sites for email updates showing the listings in the area for houses similar and close to my house. I am definitely noting which listings have GOOD pictures.

StartingOver10 · ‎07-19-2015

Photos are key to marketing your property effectively today. I use a professional photographer at my expense for most of my listings. I also use professionally taken aerials at my expense for those properties where aerials make a difference. It makes a huge difference online and in property brochures. Naturally online is critical today - that is your 'first impression'. Some homes photograph well without a professional photographer - but not many.

Experience is key to finding a decent agent. On the east coast you won't find many (if any) good agents that will front all the money for your home's marketing expenses to end up with a gross commission of 1% (remember that 1% is then split with the broker). Agent pays the marketing fees out of their own pocket - the broker doesn't pick up any marketing expenses unless it is an agency that caters to noob agents (like KW or CB).

Having said the above, if you are the type of seller that wants to do the negotiations yourself and the marketing and all other aspects but still want to have your property in the MLS, then hire a Limited Service type real estate co. The listing fee is low (flat fee is typical), but you do all the work.

If you want to net a higher amount, then go with an experienced agent. There are huge differences in your ultimate selling price to your benefit IME when you use an experienced agent. If you use a part-timer or someone that is new in the business you are taking a risk. What you are paying for in the commission is experience in your specific marketplace. Remember your home's value is a range not a 'point'. There are specific strategies an experienced agent can outline with you right up front so there are no surprises. The job of the agent is to anticipate what will happen - and put in measures to have your sale close smoothly.

[Example: if you have a property that is in a first time homebuyers type neighborhood you need to accept VA/FHA type loans (depending upon the market) along with conventional loans. What do you do when you know your list price reflects market but you also know the appraisal will come in short? I know the answer to preserve your higher price but still work with a VA or FHA loan (experience taught me this) but not all agents do. There are many examples for listing issues that have to be addressed right up front, before the property is put on the market. An experienced agent will guide you through this effectively.]

IOBA, the agent that didn't present your counter offer was wrong - legally and ethically. It is specific to your listing agreement (most listing agreements) that the offer and counter offer have to be presented timely/rapidly. It is a violation of the Code of Ethics of NAR for the agent to not present your counteroffer. You can reach out to the other agent now to see if that buyer is still in the market. I would report your agent to her broker and to her Board of Realtors for her violations of not presenting your counter offer.

StartingOver10 · ‎07-19-2015

@Anonymous wrote:
Depends on the area. But in the west coast, the sellers agent usually takes a smaller cut. You can get guys to list your house for 1% and give 3% to the buyers agent. The buyers agent is the one bringing the money and is paid more.

ALWAYS, and I mean ALWAYS give your buyers agent at least 2% or 3% if you want to sell your house. I know it's unethical, but I also know so many agents that wouldn't show a certain house because the comission on the buyers side is <2% and not worth their time to show their clients. If buyers agents see that you are throwing 3%, you are golden and will get the most on that end.

For who to pick out to list your house? I say just someone who has a good camera, or access to a good camera. Can list you on the mls and all the websites. Also knows how to write the lingo and wording to lure buyers into your house, and also what to avoid. Most homes are found through the internet, with the buyers asking their agent to show them that house.

No question that you are right that it depends on the area. Your idea of giving the BROKER (not the agent) the larger share is a good one. Remember the fees go to the brokers and every agent has a negotiated split with their broker for a portion of the broker fee. Having said that, here the listing agent is the one that is on the hook for all the marketing expenses. If you don't pay enough for the listing agent - they aren't going to take your listing. The marketing expenses are paid out of pocket -UP FRONT- by the listing agent, not the brokerage. You will short yourself some real marketing if you short the listing agent a decent fee.

Having said that, you can always hire one of those flat fee services where you as the seller pay for everything yourself and you do all the work but the limited service broker will put it in the MLS for a flat fee or a low percentage (like 1%).

The final paragraph of your post is where I disagree. Having access to a good camera is not what a good agent is about. Knowing the "lingo" is not what it is about either. As a seller you are hiring the listing agent to represent your interests in the sale of your home. Yes, there are buyers that call on specific homes they have found online, but it is very rare for that buyer to actually purchase that particular home. Usually the agent then works with the buyer to find the right home based on the buyers criteria and the market availability. It is more likely that the buyer will end up with another purchase. Don't get me wrong. It has happened that a buyer calls on a specific property and they buy that specific property, but that is the exception and not the rule.