What To Ask A Real Estate Agent When Selling

One of the most important factors in selling your home is finding the right real estate agent to represent you and your property. Your agent needs to be able to offer guidance and support while expertly managing all of the more technical aspects of the sale process. Good real estate agents can quickly become trusted advisors providing you with a considerable edge in what is a highly competitive marketplace. With so many options out there, it can be challenging to know where to begin when
selecting a realtor to sell your home. This post is designed to help you ask the right questions and make an informed choice.

What Qualifications Do You Hold?

Under the Real Estate Agents Act 2008, real estate agents in New Zealand must be licensed by the Real Estate Authority (REA). Always check that you are dealing with a professional before signing any contracts. A quick search on the Real Estate Authority’s (REA) online public register ensures they hold a current licence and any complaints upheld against them in the last three years. There are 3 different licence classes you might come across under the Act, Salespersons, Branch Managers and Agents. A salesperson’s licence means they can complete real estate agency work for or on behalf of an agent under supervision. A branch manager’s licence allows them to work for or on behalf of an agent. And an agent’s licence will enable them to carry out real estate agency work on their own (this includes a company licence and the ability to supervise salespersons). For more information on real estate qualifications, see the REA website.

How Long Have You Been A Licensed Real Estate Agent?

Real estate sales is one of those industries where experience counts. So, asking your realtor how long they have been selling houses is a valid question. Generally, anything over and above 6-8 years is a good indication they have been around for a while and probably encountered most, if not all, of the challenges associated with selling houses. Experienced agents usually have more industry-wide connections while also having the knowledge to deal with difficult or inexperienced buyers.

Is Now A Good Time To Sell?

Obviously, the answer to this question will vary by location and individual circumstances, however your real estate agent should be able to provide local insight and advice on what the market is currently doing and how this may affect the sale of your property. Generally speaking, in a competitive market where the number of homes for sale is low, the seller definitely has the upper hand, whereas, in a flooded market, selling can be more challenging, but if your home is well presented, in a good location and priced right it will sell in any market given time.

What Do You Know About My Neighbourhood?

One of the most significant advantages to look for when selling your property is hiring a local agent. Having first-hand knowledge of the area means they are more likely to have a better idea of the market, including how quickly it will sell, realistic price expectations, and they will also be aware of any upcoming developments in the area that could affect the future value of the property. They may also know some local buyers who are looking for real estate in the area.

How Much Will Selling My Home Cost?

Most real estate agents will have a base commission fee that is charged as a percentage of the sale price. There can be a great deal of variation between agents, so it pays to check what they charge and what you get for your money – often the cheapest agent isn’t always the best option. It is recommended you look for the agent that you think will get you the most in your back pocket rather than who charges the lowest fee. The agency agreement will clearly document the agreed fees and what they are for.

How Much Is Our Property Worth?

Although you may have an idea of what you’d like to sell your property for, your real estate agent will have sales data and other information that may indicate a different price range. This means the discussion around how to market your home is an important one and the agent should be able to provide you with a price range to expect. It is important to ask the agent how they arrived at their price range and ask them to verify this so that you can be confident that their price range is realistic and not overinflated or undervalued. If the property is priced too high, it may reduce the pool of potential buyers, usually extending the sale time or not resulting in a sale. However, if it is priced too low, you might achieve a very quick sale but miss out on extra money.

Who Will I Be Working With?

Sometimes, the agents that you are dealing with at the beginning may pass you off to different salespeople once you have signed up or have other staff members working on your property. This is perfectly fine as agencies generally work together as a team, however, if you feel strongly about dealing with a specific person who you think best fits your goals, it might be an important question to ask ahead of time. Different agents do work in different ways.

How Will You Market My Home To Maximise Reach?

Two main questions on this one – what kind of advertising or marketing do you use? And what extra marketing costs will I have to pay? Understanding the sales plan helps identify how your agent intends to attract buyers to your home and whether you’ll have to pay extra for any part of it. In the majority of cases this will include in-house listing services, ads for online real estate websites such as Trade Me and Realestate.co.nz, social media, mailers and open homes. Your real estate agent should have a comprehensive plan that ensures as much buyer interest as possible is generated. Look out for professional photography services, including drones and video, to ensure you meet industry standards and expectations from buyers in today’s market.

What Should I Do To Prepare My Home For Sale?

Getting your house ready for sale is one of the most important steps you can take to ensure you attract the most buyers and leave them with a great first impression. Getting advice from your realtor on this one is great because they can offer years of experience coupled with a fresh perspective. They might suggest some simple budget-friendly tips such as decluttering or staging, or they might have some more significant suggestions involving renovations or repairs. It is in your best interest to listen to their advice even if you disagree!

How Do You Prefer To Communicate?

Agents are busy people, they will likely prefer email or phone calls as the most efficient form of communication, if you prefer video chats or texts, then now is the time to make your preferences known. Likewise with in-person meetings, if you prefer these can be saved for more important occasions such as when offers are presented or signatures are required. Communicating in the most efficient way for both parties will enable communication lines to remain open with the best response times.

Do You Have Recent Testimonials Or References Available?

You will want to see some reviews or testimonials from people whose properties the agent has sold in the last 3-6 months. Your real estate agent should be more than happy to provide these upon request and may even have the details of someone you could talk to in person.

Do You Provide Weekly Reports With Buyer Feedback?

Providing feedback is one of the most constructive things a realtor can do for their vendors. Gathering information from buyers on what they think about the property, its presentation, its flaws, and the pricing is valuable data that can help you make informed decisions when it comes to reviewing any offers. You could even ask for an example of a recent vendor report so you can see what sort of information they will provide on a regular basis.

How Long Will It Take To Sell The House?

While no agent can give a concrete answer on how fast the sale of your home will be, they should definitely be able to provide stats on the average number of days houses are taking to sell in the area. They should also be able to provide other applicable stats, including national averages, comparable property sales timelines and other useful information. Remember that the time it takes to sell a property depends on several factors, including demand, features and attributes, as well as the local market conditions.

Do You Work With Other Agents?

Some agencies will work with all other agents, allowing them to introduce their buyers to your property for a share of the commission fee. This is important as it increases the pool of buyers for your property, giving you the best opportunity to achieve the best outcome. Agents that offer discount commissions often work in isolation of other agents as there is not enough commission to share which can result in a smaller buyer pool and potentially limit your selling price. Commission is only a small percentage of the overall transaction so it is important to focus on who you think will get you the most in your hand at the end of the day.

How Many Open Homes Will You Do And What Will You Do If It Doesn’t Sell After A Few
Weeks?

A good agent will commit to doing multiple open homes each week to ensure they capture the entire buyer market – generally you should expect open homes both on the weekend and during the week, every week during the campaign. It’s also important to understand what the agent’s plan would be if you don’t get the desired outcome after the initial marketing period. Will they continue the open homes and maintain the level of marketing, and how will they market the property moving forward?

As A Real Estate Agent, What Is Important To You?

When you appoint a realtor to market and sell your home, you are placing your most significant asset in their hands. You need to be comfortable that you have appointed the realtor that you believe wants the same outcomes as you, has similar values, that you believe you can easily work with and trust.

Your home is likely your biggest asset, so when it comes to selling and maximising profit choosing the right realtor is an important decision. Asking the right questions will help you make an informed choice, want to find out what your property is worth? Get in touch with Ray White Bishopdale for a free property appraisal today.