Your home is most likely your biggest asset, so making sure you choose the right realtor is essential to get the best price possible for your home. Before listing your property, you need to decide whether or not to hire a professional. Eighty-nine percent of homeowners chose to have a realtor assist them in selling their home, according to the National Association of Realtors.
Hiring a realtor will not only help you get the highest price for your home, but it also limits your liability as a seller. Many sellers choose their realtor solely based on a lower commission but hiring the cheapest realtor may actually cost you more money than you save.
What is a Seller’s Agent?
A seller’s agent, also known as a listing agent, is the realtor responsible for helping you sell your home. Typically, this agent works alongside a buyer’s agent, who is the agent that represents the party buying your home. Some agents specialize as either a seller’s or a buyer’s agent, but most realtors represent both buyers and sellers.
When you choose a realtor, the agent has different responsibilities based on your listing agreement. You’ll sign an agency agreement with your agent when you decide to have them list your house. These could include any one of these:
- Exclusive right to sell: This is the most common type of listing agreement. The agent gets a commission upon the sale of your property. Even if the seller’s agent isn’t responsible for finding the home buyer, you are still obligated to pay their commission.
- Exclusive agency: Exclusive agency is similar to an exclusive right to sell agreement, but the seller isn’t obligated to pay the agent if the seller finds the buyer.
- Open listing: This type of agreement allows sellers to work with multiple brokers and allows sellers to also try and sell the home themselves.
- Net listing: The agent gets paid anything over the price the owner and agent agree upon. It’s important to note that this type of agency is illegal in some states.
No matter the type of listing agreement you sign with your realtor, your listing agent has the same key responsibilities. The main goal of a seller’s agent is to find a buyer for your home, but the seller’s agent also has other responsibilities, such as negotiating inspections, appraisals and closing terms.
How to Find a Seller’s Agent
It’s not hard to find a real estate agent, but how do you find the right agent for your home? Before signing a listing agreement with a realtor, follow these steps:
Interview Potential Listing Agents for Your Home
Not only will interviewing realtors give you an idea of how they will approach your home sale, but it will also give you an idea of how much experience each realtor brings to the table. This is also a good time to negotiate the commission. (Many realtors will cut a half to a full percent off of their commission to secure a listing.) Interviewing several agents gives you leverage to negotiate commission, especially if a realtor you interview offers you a discount.
Do Your Research
Most experienced realtors have a plethora of online reviews from buyers and sellers who have used them in the past. Brokerage websites, personal websites and Zillow are all good places to find reviews.
Get a Referral From a Friend
Find an experienced realtor using referrals. If a friend has had a good experience with a realtor, it’s likely you will as well. Don’t blindly take referrals from websites like Zillow because realtors pay these websites for promotions. These referrals don’t always speak to the realtor’s quality of work.
What to Look for in a Listing Agent
So what should you look for in a real estate professional other than their commission? When searching for a listing agent to help you sell your property, there are several important factors to consider. Here are some key things to look for:
Experience
Look for a real estate seller's agent who has a proven track record of success in your local market. A seasoned agent will have a deep understanding of the market trends, pricing strategies, and effective marketing techniques.
Knowledge of the Local Market
The listing agent should have extensive knowledge of the local area where your property is located. They should be familiar with the neighborhood, schools, amenities, and recent sales activity.
Strong Communication Skills
Effective communication is crucial when working with a listing broker. They should be responsive, keeping you updated on the progress of your listing, providing feedback from potential buyers, and answering any questions or concerns you may have.
Marketing Strategy
A good listing agent will have a comprehensive marketing plan to promote your property to potential buyers. This may include professional photography, virtual tours, online listings, open houses, and targeted advertising campaigns.
Negotiation Skills
Selling a property often involves negotiation, and a skilled listing agent will be able to negotiate on your behalf to get the best possible price and terms for your property. They should have strong negotiation skills and be able to advocate for your interests.
Professional Network
A well-connected listing agent will have a wide network of professionals, such as other real estate agents, mortgage brokers, home inspectors, and contractors. This network can be valuable in facilitating a smooth transaction and addressing any issues that may arise during the selling process.
References and Testimonials
Don't hesitate to ask for references or look for testimonials from past clients. Hearing about the experiences of others who have worked with the listing agent can give you valuable insights into their professionalism, expertise, and customer service.
Trust and Rapport
Selling a property can be a complex and emotional process, so it's important to choose a listing agent with whom you feel comfortable and can trust. Look for someone who listens to your needs, understands your goals, and is genuinely invested in helping you achieve a successful sale.
Should You Choose an Agent Based on Commission?
In most cases, you shouldn’t choose your realtor based solely on commission. A standard commission in real estate is 6%, 3% of which is paid to the buyer’s agent. You’ll end up paying anywhere between 4% to 6% to sell your home. An experienced realtor charging 6% may net you higher proceeds than an inexperienced agent who charges 4%.
Find the Best Seller Agent in Your Area
Don’t know where to start your search for a real estate agent? You can start your search below to find experienced realtors that sell homes similar to yours. Create a list of 2 to 4 agents to interview in order to find the best agent for the job.
Make Your Final Decision
Your decision should reflect your needs as a seller. You may want to close on your property as soon as possible or you may want to find the buyer who’s willing to pay the most for your property. At the end of the day, what you net from the sale of your property is more important than the agent’s commission. Choosing the right seller’s agent is crucial for getting the most cash for your home.
Frequently Asked Questions
What is one of the sellers agents duties?
One of the seller’s agent’s duties is to market the property to potential buyers. This includes creating and implementing a comprehensive marketing plan, advertising the property through various channels, conducting open houses and showings, and networking with other real estate professionals to attract interested buyers.
Is a selling agent the same as a real estate agent?
No, a seller’s agent is not the same as a real estate agent. A seller’s agent, also known as a listing agent, represents the seller in a real estate transaction. Their primary responsibility is to help the seller market and sell their property. They assist with tasks such as setting the listing price, staging the property, marketing it to potential buyers, negotiating offers, and guiding the seller through the closing process.
Areal estate agent is a broader term that refers to a licensed professional who can represent both buyers and sellers in real estate transactions. Real estate agents can work as buyer’s agents, helping buyers find and purchase properties, or as seller’s agents, assisting sellers in selling their properties. Some real estate agents may also work as dual agents, representing both the buyer and the seller in a transaction, although this practice is regulated and may have certain limitations or restrictions depending on the jurisdiction.
Is the listing agent the same as the selling agent?
No, the listing agent and the selling agent are not the same. The listing agent is the real estate agent who represents the seller and is responsible for listing and marketing the property for sale. Their role is to help the seller find potential buyers and negotiate the best terms for the sale.
The selling agent, also known as the buyer’s agent or the selling agent, represents the buyer and is responsible for helping them find and purchase a property. The selling agent’s role is to assist the buyer in finding suitable properties, arranging property viewings, and negotiating the best terms for the purchase.