They can also be the one who can help you get a fantastic new home for a special price. As you know, there are hundreds of thousands of real estate agents, so finding the ideal one can be a nightmare. However, by keeping an eye out for certain red flags, you can choose one that meets your requirements perfectly.
5 Important Real Estate Agent Red Flags to Look Out For
Here is a list of 5 red flags that you should be on the lookout for when you are in the process of choosing a real estate agent:
1. The highest price is suggested for your home: If you are planning to sell your home, it is a smart move to get listing presentations from several real estate agents before you choose one. The agents should be able to give you data on the prices that comparable properties have been sold for and the approximate time it takes to sell a home. If your home is overpriced, it results in your home staying on the market for a long time and ultimately, you will have to sell it for less than you originally planned.
2. The agent is a part-time real estate agent: There is nothing wrong with being a part-time real estate agent and there are many excellent ones out there. However, it is more likely that a full-time agent will follow the market on a daily basis. If you are a buyer, you should look for an agent who is able to jump to new listings and show them to you. For sellers, the agent they choose should always be available to show the home on sale to prospective buyers.
3. The commission is low: In almost every transaction in the real estate business, the commission is between 5 and 7% which is divided between the buying and selling agent. When a commission is too low, it can drive away real estate agents as well as their clients. However, a lower omission can be negotiated if both the listing and selling is done by one agent. There are newer companies that rebate a percentage of the commission to the buyer or seller; but it is important that you do not use this as the main reason for choosing an agent.
4. The agent is not familiar with your neighborhood: According to experts, real estate is a very local business. This is why it is important to choose an agent who knows the real estate landscape in the neighborhood you live in. A neighborhood expert is important, particularly in areas where moving one block can increase or lower a home’s value by as much as $100,000. Such an expert may also be in contact with sellers whose homes are not on the market yet or buyers who are looking for a property like yours.
5. The agent does not specialize in your property type: When you are choosing the right real estate agent, you need to make sure that you pick one that specializes in the type of property you are looking for or selling. There are many agents that have multiple areas of specialty but when you choose an agent with one, you make sure that you have one who is well-versed in the type of transaction that you will be doing.
You do not have to go through a lot of trouble to find the right real estate agent. All you need to do is keep a few things in mind and it is certain that you will find one that can help you with any transaction you do. Whether you are buying or selling a home, the right agent is essential to your success so keep an eye out for the red flags.