Choosing A Real Estate Agent
Some home buyers work exclusively with a buyer’s broker, specifically hired to represent them. Some work with sellers’ brokers. In either case, choosing the right real estate agent is a crucial first step in the home buying process. In making this important decision you should understand:
Who is a Real Estate Agent
Using an agent and the obligations that are owed to you
How to evaluate an agent.
Who is a Real Estate Agent
Buying or selling a home usually requires disclosure forms, inspection reports, mortgage documents, insurance policies, deeds, and multipage settlement statements. A knowledgeable expert will help you prepare the best deal, and avoid delays or costly mistakes.
As a prerequisite to selling real estate, a person must be licensed by the state in which they work, either as an agent/salesperson or as a broker. Before a license is issued, minimum standards for education, examinations and experience, which are determined on a state by state basis, must be met.
After receiving a real estate license, most agents go on to join their local board or association of REALTORS® and the NATIONAL ASSOCIATION OF REALTORS®, the world’s largest professional trade association. They can then call themselves REALTORS®.
The term “REALTOR®” is a registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics (which in many cases goes beyond state law).
In most areas, it is the REALTOR® who shares information on the homes they are marketing, through a Multiple Listing Service (MLS). Working with a REALTOR® who belongs to an MLS will give you access to the greatest number of homes.
A Real Estate Agent obligations to you
When using an Agent, you will be glad to know that your Agent owes you some obligations. A real estate agent is bound by certain legal obligations. Traditionally, these common-law obligations are to:
Put the client’s interests above anyone else’s
Keep the client’s information confidential
Obey the client’s lawful instructions
Report to the client anything that would be useful
Account to the client for any money involved.
NOTE:
How to Evaluate an Agent
In making your decision to work with an agent, there are certain questions you should ask when evaluating a potential agent.
The first question you should ask is whether the agent is a REALTOR®. You should then ask:
1. Does the agent have an active real estate license in good standing? (to find this information, you can check with your state’s governing agency)
2. Does the agent belong to the Multiple Listing Service (MLS) and/or a reliable online home buyer’s search service? (Multiple Listing Services are cooperative information networks of REALTORS® that provide descriptions of most of the houses for sale in a particular region.)
3. What real estate designations does the agent hold?
4. Which party is he or she representing–you or the seller? The discussion is supposed to occur early on, at “first serious contact” with you. The agent should discuss your state’s particular definitions of agency, so you’ll know where you stand.
5. In exchange for your commitment, how will the agent help you accomplish your goals?
6. Show you homes that meet your requirements and provide you with a list of the properties he or she is showing you?
