Many first-time homebuyers are in their late 20s or early 30s. I started writing this column back in 2013, when these folks were still in high school, so I’m guessing they weren’t too interested in what I was writing then. Now, however, they may be.
In my humble opinion, the best way to have a good home-buying experience is to choose the right REALTOR. Here are some pointers on how to do so.
As a brief reminder, here’s why I recommend hiring a REALTOR.
1. Licensed real estate agents have a fiduciary responsibility to deal honestly and in the best interest of the principal (you). This is not just an ethical responsibility, it’s a legal one.
2. Win-Win. It’s in your REALTOR’S best interest to help you meet your goal, because REALTORS only get paid if you get what you want: a completed transaction.
3. REALTORS know their stuff and can save you time and money. Just ask people in the industry, because even they hire REALTORS. Lenders, escrow officers, developers and others who work in related industries with the knowledge to manage real estate transactions themselves feel it’s worthwhile hiring REALTORS. Even as a real estate broker myself, when I want to list or buy property, I use a REALTOR. Having a REALTOR who can negotiate on my behalf puts me in a stronger position.
So, how can you pick a good REALTOR? First, talk to your friends and neighbors for recommendations—and maybe more importantly, find out whether there is anyone they would avoid. Ask your insurance agent, your accountant, your attorney and your local banker, too. These professionals understand the economics of real estate and are likely to have a valuable opinion on the subject.
The REALTOR you ultimately choose to engage with needs to be someone with whom you can have a personal relationship. It’s critically important that your search be about qualifications and fit—not a popularity contest, because we’re talking about dealing with hundreds of thousands of dollars.
The REALTORS on your list should be known for their personal integrity, their real estate knowledge, their communication skills, and their professional network. Before picking one, interview a few. By the end of the interview, you should be really comfortable (hopefully even impressed) with answers to the following questions.
Does their communication style work for you? Do they use the communication tools you prefer (e.g., phone calls, texts, emails, and the old standby—in-person meetings)? Are they available on weekends or during evenings? How long do they usually take to respond to questions?
1. Do they have the expertise to meet your needs? Pay attention to years and type of experience, as well as professional designations, such as REALTOR (instead of simply real estate agent). Some REALTORS have additional education like GRI(Graduate, Realtor Institute) or CRS (Certified Residential Specialist).
2. Do they have the capacity to take you on as a client? Although the agent may have wonderful credentials, it is important to find out about their current workload. Can they give you the time and attention you need to buy or sell a property on your timeline?
3. Do they have the technical tools to do the job right? In this world of constant communication and electronic marketplaces, can your REALTOR excel? Do they have access to the Multiple Listing Service (MLS)? Franchise affiliation with impressive online networks? An active online presence?
In addition to answering all these questions to your satisfaction, does the REALTOR appear organized? If you plan to list your house for sale, did the REALTOR come with a marketing plan, a market value analysis of your property, and information about themselves and their company? If you want to buy a home, did the REALTOR review prospective contracts and walk you through what to expect at each point in the buying process?
If you responded positively to all these questions, you’re probably in great shape. When it’s all said and done, the REALTOR you choose should be someone you trust and get along with, and someone who has the expertise, capacity, and company support to accomplish your objectives.
If you have questions about property management or real estate, please contact me [email protected] or call (707) 462-4000. If you have an idea for a future column, share it with me and if I use it, I’ll send you a $25 gift certificate to Schat’s Bakery. To see previous articles, visit www.selzerrealty.com and click on “How’s the Market”.
Dick Selzer is a real estate broker who has been in the business for more than 45 years.
