When it comes to one of the biggest financial decisions you’ll ever make, you want someone on your side who knows the ins and outs of the housing market. That’s where a realtor comes in. A realtor can help you find the right home within your budget and negotiate with sellers on your behalf. Today’s market is booming and competition is high. Working with a realtor you can trust, who knows your unique situation and can present you in a competitive market requires getting personal and picking an expert.
How to find a realtor you can trust?
One of the best ways to find a good realtor is to ask friends and family for recommendations. If you know someone who has recently bought or sold a home, they may have a good realtor to recommend. Referrals are perhaps the most valuable way to find a realtor.
Do your research online! Realtors are part of a larger real estate franchise under a broker. You can look up a broker’s website to find a list of all the realtors they work with. Look for reputable and established companies.
Interview your candidates!
Once you’ve found a few realtors that look like a good fit, it’s time for an interview. While it may seem nit-picky to conduct interviews of multiple realtors, you’ll be spending a lot of time with this person and you want to be sure that you not only jive with them but they listen to your needs, are experts and that you feel you can trust them. Don’t be afraid to ask questions! There is no such thing as a stupid question. It’s important that you feel comfortable with your realtor and that you have a good understanding of how they work.
Here are some questions you might want to ask:
- What is your experience in the industry?
- What are the current market conditions?
- When are you available to show houses?
How would you suggest competing in today’s competitive market? (look for specifics- do they suggest looking at houses way lower than your budget so you can offer over, do they suggest forgoing certain contingencies to make your offer stand out, etc.)
Make sure you’re comfortable with how they answer. Take notes and compare their answers with the other candidates.
What your realtor should know about you:
The initial interview is also a great time to share your own wants and needs. Let your realtor know about things like your preferred neighborhoods, commute times, and budget. What are you looking for in a home? Do you want multiple bedrooms, an open kitchen layout, and a space for a garden?
How much do realtors cost?
Homebuyers don’t pay a penny out of pocket to work with a realtor. The seller pays the realtor’s commission, which is typically a percentage of the sale price. The National Association of Realtors reports that the average realtor commission is 5-6% of the home purchase price. Your realtor will likely split this with their broker and/or any other agents involved in the deal.
It’s common for homebuyers to view multiple homes before making an offer on one and it’s becoming increasingly more common for first-time homebuyers to make more than one offer before their offer gets accepted. Meaning, you will spend a lot of time with your realtor. Make sure that you enjoy being with them, that you trust them, that they are putting your needs first, and that they are experts! Finding the right realtor is an important step in buying a home. Real estate markets are competitive and it’s important to have someone on your side who understands what you’re looking for and can make your offer stand out in a competitive market.