How to Choose the Best Real Estate Agent for Buying or Selling Your Home

The right real estate agent makes a difference when buying or selling a house. Think about this: the average person owns at least three houses during their lifetime–but with lifespans close to 85 years, and even when accounting for your youth, that comes out to one transaction every 20 years or so! Transacting real estate isn’t something most people do on a regular basis.

You know who does? That’s right: a real estate agent. Their services focus on using market knowledge to secure the best possible deal while guiding you through the process with ease. Your experience hiring an agent depends on the real estate professional you choose, which we’ve made easy by listing out what to look for. 

Understanding A Real Estate Agent’s Role

A real estate agent is a licensed professional representing buyers or sellers in real estate transactions. They help facilitate the buying and selling process for residential and commercial real estate. Their job includes setting a competitive price, marketing homes, negotiating offers, and guiding the deal to a smooth closing process. The right agent will have extensive local market knowledge, excellent communication skills, and a proven track record of successful transactions.

Key Responsibilities of a Real Estate Agent

Among the responsibilities a qualified real estate agent handles are:

• Representing clients in real estate transactions: Acting as an advocate for their clients, whether buying or selling homes.
• Providing local housing market knowledge: Giving insights into current market trends, pricing strategies, and neighborhood specifics.
• Facilitating communication between buyers and sellers: Ensuring clear and effective communication to avoid misunderstandings and delays.
• Negotiating prices and terms of sale: Working to get the best possible deal for their clients.
• Ensuring compliance with local regulations and laws: Making sure all transactions adhere to legal requirements.
• Providing guidance on the home buying or selling process: Helping clients navigate the complexities of real estate transactions.

Specializations Among Real Estate Brokers

Like most industries, the real estate industry is actually quite diverse and has roads for professionals to specialize. When selling or buying homes, we’re talking about residential real estate. Under that vast umbrella are more ways to develop skill sets. Who you choose depends on what you’re in the market for. 

For Sellers:

A listing agent, also called a seller’s agent, specializes in selling homes. Their skill set focuses on developing the right marketing materials and pitch to lure buyers to make the highest-priced offer possible. They use comparative market analysis (CMA) to advise on setting a purchase price and recommend ways to improve a home’s value. They design a listing strategy that involves professional photos, social media platforms, and showings. They’ll represent you in home sale negotiations through the offer and contingent period. Choosing a seller’s agent means evaluating how they market and close properties for sale.

For Buyers:

A buyer’s agent focuses on finding clients the right home at the best price. They provide market insights such as how home sales are trending, what areas may see the best appreciation, or neighborhoods with the right amenity mix. The agent arranges property viewings and may even preview for you. They’ll advise you on if the asking price is fair and negotiate on your behalf. Most agents can recommend additional service providers to assist with the due diligence process and coordinate the lifting of contingencies to get the deal to the closing table. Choosing a buyer’s agent means gauging how they approach negotiations and any challenges arising during due diligence period.

Other Specializations

Beyond these two core specializations, you may wish to choose an agent based on particular home features, neighborhoods, or types of sales. Some agents focus on condominiums, waterfront properties, new construction sales, or vacant land. Others opt to drill down into specific markets, becoming experts on neighborhoods and zip codes. Probate sales, foreclosures, and vacation homes are other possible specialties. Some enjoy working with first-time buyers, while others are senior real estate specialists.

Benefits of Working with a Real Estate Agent

Not sure if you want to hire a real estate agent? While you can buy or sell real estate yourself (called for sale by owner or FSBO), the vast majority of buyers and sellers opt to hire a real estate agent because of its advantages:

• Access to a wide range of properties and listings: Real estate agents have access to multiple listing services (MLS) plus additional off-market properties. They provide you with a comprehensive view of all known available properties.
• Expert knowledge of the local housing market: Their deep understanding of where home sales are going and seasonal trends helps you make informed decisions.
• Professional negotiation skills: A good real estate agent negotiates effectively on your behalf, ensuring you get the best possible deal for your circumstances.
• Time-saving and convenience: They handle the legwork, like scheduling viewings, managing paperwork, and coordinating third-party service providers, saving time and effort.
• Increased chances of getting the best possible deal: Their expertise and market knowledge can lead to better financial outcomes, like a higher price for sellers or more buyer contingencies.
• Representation and advocacy throughout the transaction process: Buying and selling agents act as your advocates to protect your interests at every stage.

How Do I Choose a Real Estate Agent?

Start with Research

Find agents by gathering recommendations from friends, family, or colleagues who have recently bought or sold a home. Personal referrals are powerful, but you should also check out the agent’s professional website and testimonials from recent clients. Explore online reviews and ratings on different platforms. Our ezHomeSearch partners are local agents vetted for their expertise and customer service.

Review their professional bio and website to see if they’re the right fit. Evaluating a real estate agent’s online presence illuminates their commitment to service, ability to tackle challenges, and communication style.

Look for Local Market Expertise

A knowledgeable agent should deeply understand your local housing market. That means keeping a thumb on current trends and what buyers and sellers are looking for in your neighborhood. That guides the appropriate pricing strategies for listing or writing a purchase offer. Check their recent transaction history to ensure they have successfully worked with clients in your target area. 

Verify Credentials and Licensing

One item to check is the agent’s license. All states require anyone selling properties on behalf of someone else to hold a real estate license. Real estate agents can work independently or as part of a larger brokerage firm. Every state has different regulations regarding real estate agent certification and licensing status. Nearly all do have an educational component, licensing exam, and require continuing education. Becoming a managing broker, where the agent oversees a team or runs their own office, requires additional licensing and certification.

Other agents carry relevant certifications that show their dedication to high standards of client service and providing knowledgeable representation, such as:

• Certified Residential Specialist (CRS) – Expertise in residential transactions.
• Accredited Buyer’s Representative (ABR) – Specialized training in representing buyers.
• Accredited Seller Representative (SRS) – Specialized training in representing sellers.
• Real Estate Broker – A higher level of licensing that often indicates extensive experience.

Additionally, Realtors (R) are licensed agents who are National Association of Realtors (NAR) members. The NAR sets ethical standards and codes for its members and emphasizes its commitment to professionalism and accountability in the real estate market.

New agents can undoubtedly be effective in a transaction. Still, some deals benefit from an experienced real estate agent with at least several years of assisting in buying and selling homes similar to yours. If you choose a new agent, are they part of a team? Do they have a strong mentor to guide them in the home deal?

Interview Multiple Agents

Don’t settle for the first agent you meet. Schedule interviews with at least three agents. Ask key questions tailored to if you’re buying or selling.  How to choose a listing agent is slightly different from choosing a buyer agent. Generally speaking, ask:

• How many homes have you bought/sold in the past year?
• What’s your average list-to-sale price ratio?
• How do you negotiate offers?
• What is your strategy for marketing or finding homes/buyers?
• How will you keep me informed throughout the process?

How the agent responds will help you determine their level of professionalism and ability to meet your expectations. 

Assess Their Marketing or Home Search Strategy

A strong strategy is crucial whether selling or buying. Ask about their approach, which should include:

For Sellers:

• Professional photography and videography to showcase your home’s best features.
• Online listings on major real estate websites and social media.
• Virtual tours and open houses to maximize exposure.
• Targeted advertising using email campaigns and digital marketing. Effectively targeting potential buyers in the real estate market is essential to attract interest and secure a sale.

For Buyers:

• Custom property searches based on your needs and budget.
• Early access to new listings before they hit the market.
• Expert negotiation skills to get you the best deal.

Evaluate Their Communication Style

Real estate transactions require frequent updates and contacts. Choose a responsive and proactive agent in their communication. You want someone who isn’t afraid to use every avenue possible–email, text, and phone calls–when closing deals. At the same time, you want someone who communicates via your preferred method and style.

Additionally, learn if the agent is committed to representing just one party’s interests or both the buyer and the seller. Working as a dual agent can impact negotiation outcomes and potential conflicts of interest. You want someone who will keep you informed every step of the way and promptly address any concerns.

Compare Commission and Contract Terms

Real estate agents typically charge sellers a commission between 5% and 6% of the sale price, which is split with the buyer’s agent. For buyers, commissions are typically paid by the seller. However, the 2023 updated National Association of Realtors guidelines allow for negotiation around who pays what and how much. 

Make sure you understand the terms of the representation agreement, including the contract duration and any potential fees. A good agent will be transparent about their commission and provide a clear breakdown of what services are included.

Check References

Before making a final decision, ask for references from past clients. Speaking with homeowners who have worked with the real estate agent provides valuable insights into their performance and reliability. Assess a Realtor’s performance against that of other agents.

Trust Your Instincts

Beyond qualifications and experience, your agent should be someone you trust and feel comfortable working with. They may not be the right fit if they seem pushy, inattentive, or uninterested in your goals. In such cases, explore other real estate agents who may better suit your needs.

Partner With an ez Expert

Great agents are out there! By doing thorough research, asking the right questions, and evaluating their expertise, land a fantastic agent who will work diligently to achieve the best outcome. Who you choose means the difference between a smooth experience and a problematic one. Take your time in making this decision, and you’ll be well on your way to a successful real estate transaction.