Most homeowners who sell their home have a desired sale price that they would like to get for their home. Unfortunately, it isn’t always possible for this to be achieved. There are many real estate agents out there who are “YES” men or women. These real estate agents will list a home for sale for any price, high or low. Hiring a “YES” real estate professional, like not interviewing a family member or friend who sells real estate, could be a poor “business” decision by a seller. This often leads to the house not selling which can cost valuable time and can be very frustrating.
Make sure that the real estate agent can support and provide detailed information about how they determined their suggested list price. Think about how the agent(s) market analysis was? Was it easy to understand? Professional looking? Detailed? If they don’t have any supporting comparable properties and/or a professional and detailed market analysis and agree to list your home at your desired price, then likely they are a “YES” man or woman.
A good real estate agent should turn away a listing where the seller thinks that the value of their home is much more than the market is bearing at that present time.
Commissions & “Incentives” There are many real estate agents who offer commission “deals” and other “incentives” if you list your home with them. When selling your home don’t think about the amount of commission (brokerage fee) that will be paid to the real estate agent(s).
“Cutting Commission” - If an agent offers or agrees to sell your home at a discounted commission rate of 5%(6% is the “normal” percentage in our area, however, commissions are always negotiable)this should be seen as more of a red flag than a savings to you. Think about it, if at your job you make $20.00 per hour and your supervisor approaches you to tell you that for the next month you will be making $15.00 per hour, how hard are you going to be working? Will an agent who “cuts their commission” still spend their money to promote your home with postcards or ads in the real estate section? On TV? How hard will they negotiate for you when getting that offer?
“Flat Fee Listings”- There are real estate companies who will list your home for sale for a flat fee. In all likelihood, all they will do is list your home in the Multiple Listing Service (MLS). IFthe agent (and not an administrative staff member) enters their own listings into the MLS, this may take them about 15-20 minutes to complete. You now handle all the appointment coordination, printing the marketing materials, negotiating the transaction, and more. So, if you payed $500.00 or even $1,000 to have your listing in the MLS for 6 months and it doesn’t sell, you now have spent that money for nothing.
Be cautious and review any “terms and conditions” if a real estate agent guarantee to sell your home or they’ll buy it!
“Guarantees”- Real estate agents will offer homeowners who list their home various “guarantees” or “incentives.”
“Guaranteed to sell or I’ll buy it!”
“If your home doesn’t sell, we’ll buy your home CASH for an acceptable price to YOU!”
These are just a couple examples of guarantees that are used. The main purpose of these guarantees is to get these agents in your front door. Then you’re presented with the “fine print” or “terms and conditions” of these guarantees. These agents will “buy it” IF you agree to reducing the price every two weeks. These agents will “buy it” IF you have it listed at a specific price for 30 days of the listing agreement. Do you think these prices they want your home listed for would be fair market value? Didn’t think so!
Selecting the “right” real estate agent to sell your home is not an easy task, however, following the above tips can certainly ease the process!
What other “tips” do you think are helpful for a homeowner when selecting the “right” real estate agent to sell their home?
If you’re considering selling your home pleasecontact usfor a sincere, honest, and a no-obligation discussion regarding your real estate needs. We’d love the opportunity to interview for the job of selling your home!
Report by Ricky KhamisRealtor Report2016 Best Year for Housing in a De
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