6 Questions To Ask Your Realtor

Working with a realtor is an important decision when it comes to buying or selling a home. For most people this is the largest financial transaction of their life.

1. Experience

Ask the realtor how many years they have been in the business, whether they are just doing this part-time, the number of transactions they have done overall, and average listing times.

Ask them if there is something they specialize in, such as first-time homebuyers or investor properties. Their website may contain additional information.

Some realtors are relatively new. Some have only done deals for family members and close friends. Some may not have done any deals at all.

2. Right price

The house you are attempting to sell needs to be listed at the right price. Check with realtors on what similar properties are currently going for. If data is available about currently pending transactions, as opposed to recently closed ones, this may be helpful.

If you are looking to buy a house, be careful about getting into a bidding war.

3. Right buyers/sellers

Check with the realtor to make sure you are working with the right buyers and sellers. If you are selling your house, a potential buyer may make an offer that is "contingent" on other unrelated things happening (such as the sale of their own house). Make sure the realtor clearly explains to you how this can slow down or stop your sale. Sometimes you can’t avoid this situation if there is a property that you really want or you have limited options.

4. Right loan

Ask the realtor for references to get a mortgage. Check with outside sources too to make sure you comparison shop. In a purchase transaction the lender will review the purchase contract. You may need to make sure your loan person is in sync with your realtor. If the contract is vague, or addendums have been done incorrectly, you may get delays in your loan. I have seen a loan held up because the value of curtains that were to be left behind was not clearly defined!

5. Different methods of marketing

Ask the realtor what selling options there are for your property. This can include being listed in an MLS, a street sign, free flyers, an open house, etc. Make sure you are comfortable with the types of marketing tactics the realtor may recommend. Are you prepared for people to come to your house at all kinds of times to view it? Only want your home viewed by people who are pre-qualified, so you can avoid looky-loo’s?

6. Commission

This is negotiable. A lower commission may mean a lower level of service. You may get what you pay for. There is a lot of competition out there so you may be able to get yourself a good deal with the right realtor.