Selecting the right agent for the job
This past week I received e-mail from a lady who wanted some advice about choosing an agent to help her sell her house. She thought if she could find the one agent who sells the most homes in the county, her chances for success would increase. Although individual offices keep track of all their agent’s sales activity, the El Dorado County Association of Realtors do not publish a ranking of their members in order of listing or sales activity. Searching and then complying individual agent information on the current 1,800 property listings and 1,500 year-to-date individual sales would be cumbersome and probably meaningless. Here’s why.
The small number of sales in our large rural county is too fragmented for any one agent to have a high degree of market dominance. There are over 1,000 Realtors who belong to the El Dorado County Association of Realtors. In addition, there are thousands of other agents from the Capital Region who have the same lock-box key and access to identical information of the local multiple listing services. Recently, our regional multiple listing service, MetroList, signed reciprocal agreements with other northern and southern California listing services sharing all listing information. Licensed agents from nearly anywhere in the state can list and sell properties easily in El Dorado County. Licensed mortgage agents, who have had some additional free time recently, have also joined the hunt for buyers and sellers.
While selecting an agent based solely on their volume of business is one criteria, it should not be the only or even the most important. If we all produced identical widgets, selection of the top widget producer would be easier. Homes and their owners have individual personalities. Buyers have dreams and expectations and often obstacles that must be considered. Some clients require patients while others want “Action, Action, Action.” (A Schwarzeneggerism)
With over 500,000 California licensed salespersons and brokers, principals today have a large selection of agents to choose from. The Internet provides access to their personal information, abilities and accomplishments. When I first entered the real estate business, agents were expected to specialize and work within their individual neighborhood territory. We would frequently walk our assigned neighborhood streets, knocking on homeowner’s doors, introducing ourselves and our services. Family demographics, security/privacy concerns and the Internet have changed how agents promote themselves and buyers and sellers make selections.
Personal referrals rather than neighborhood territories now account for the majority of business for experienced agents. With easily available statistical data regarding listings and sales, digital photos and virtual tours, agents have access to equal amounts of knowledge about homes and neighborhoods anywhere within driving distance. While a referral is one of the best ways of selecting an agent to interview here are a few other considerations.
Our current real estate market requires more experience. Most agents who haven’t worked in this type of market will be at a disadvantage. According to the Department of Real Estate, 40 percent of all licensed agents received their license in the last 5 years and 25 percent in the last two. Many new agents have the enthusiasm but lack the experience. If brain surgery were required, I would prefer crusty experience to jubilant enthusiasm. A third of all agents leave the business after 5 years. Clients whom are an agent’s first or last are at a disadvantage. An inexperienced agent will not know what to expect or how to react to upcoming situations and an agent on their way out of the business will not care. Principals should also be skeptical of hiring part-time agents (who have other priorities) and relatives. Hiring a family member during a stressful time of buying or selling can strain a relationship. Uncle Charlie, if he is competent, may still not be able to provide the objective assessment and advice necessary.
Intense marketing is more important today for sellers who are hiring. There is a difference, however, between marketing and advertising. Advertising is only one step in the process. I am always surprised at how many agents still don’t use virtual tours and post large numbers of digital on-line photos promoting their listings. A few years ago, placing a “For Sale” sign in the front yard and entering the listing into the MLS may have been all that was necessary to promote interest in a property for sale. Times have changed and sellers and their agents need more specific actions that will attract interest.
After experience and marketing skills, principals should consider agents who are involved in their community. Shopping locally for goods and professional services is good for our community. When an agent is involved in their local chamber of commerce, church, civic or non-profit organizations it demonstrates a commitment and a willingness to give freely of their time for the enrichment of others.
Since every client and property is unique, an agent’s personality is important. A principal should feel comfortable with an agent during the selection process, never rushed or feel under pressure. There should be a mutual understanding of the principal’s goals and objectives and advanced agreement as to specific accomplishments. Good communications between the client and his chosen agent will be necessary during the arduous journey.
The small number of sales in our large rural county is too fragmented for any one agent to have a high degree of market dominance. There are over 1,000 Realtors who belong to the El Dorado County Association of Realtors. In addition, there are thousands of other agents from the Capital Region who have the same lock-box key and access to identical information of the local multiple listing services. Recently, our regional multiple listing service, MetroList, signed reciprocal agreements with other northern and southern California listing services sharing all listing information. Licensed agents from nearly anywhere in the state can list and sell properties easily in El Dorado County. Licensed mortgage agents, who have had some additional free time recently, have also joined the hunt for buyers and sellers.
While selecting an agent based solely on their volume of business is one criteria, it should not be the only or even the most important. If we all produced identical widgets, selection of the top widget producer would be easier. Homes and their owners have individual personalities. Buyers have dreams and expectations and often obstacles that must be considered. Some clients require patients while others want “Action, Action, Action.” (A Schwarzeneggerism)
With over 500,000 California licensed salespersons and brokers, principals today have a large selection of agents to choose from. The Internet provides access to their personal information, abilities and accomplishments. When I first entered the real estate business, agents were expected to specialize and work within their individual neighborhood territory. We would frequently walk our assigned neighborhood streets, knocking on homeowner’s doors, introducing ourselves and our services. Family demographics, security/privacy concerns and the Internet have changed how agents promote themselves and buyers and sellers make selections.
Personal referrals rather than neighborhood territories now account for the majority of business for experienced agents. With easily available statistical data regarding listings and sales, digital photos and virtual tours, agents have access to equal amounts of knowledge about homes and neighborhoods anywhere within driving distance. While a referral is one of the best ways of selecting an agent to interview here are a few other considerations.
Our current real estate market requires more experience. Most agents who haven’t worked in this type of market will be at a disadvantage. According to the Department of Real Estate, 40 percent of all licensed agents received their license in the last 5 years and 25 percent in the last two. Many new agents have the enthusiasm but lack the experience. If brain surgery were required, I would prefer crusty experience to jubilant enthusiasm. A third of all agents leave the business after 5 years. Clients whom are an agent’s first or last are at a disadvantage. An inexperienced agent will not know what to expect or how to react to upcoming situations and an agent on their way out of the business will not care. Principals should also be skeptical of hiring part-time agents (who have other priorities) and relatives. Hiring a family member during a stressful time of buying or selling can strain a relationship. Uncle Charlie, if he is competent, may still not be able to provide the objective assessment and advice necessary.
Intense marketing is more important today for sellers who are hiring. There is a difference, however, between marketing and advertising. Advertising is only one step in the process. I am always surprised at how many agents still don’t use virtual tours and post large numbers of digital on-line photos promoting their listings. A few years ago, placing a “For Sale” sign in the front yard and entering the listing into the MLS may have been all that was necessary to promote interest in a property for sale. Times have changed and sellers and their agents need more specific actions that will attract interest.
After experience and marketing skills, principals should consider agents who are involved in their community. Shopping locally for goods and professional services is good for our community. When an agent is involved in their local chamber of commerce, church, civic or non-profit organizations it demonstrates a commitment and a willingness to give freely of their time for the enrichment of others.
Since every client and property is unique, an agent’s personality is important. A principal should feel comfortable with an agent during the selection process, never rushed or feel under pressure. There should be a mutual understanding of the principal’s goals and objectives and advanced agreement as to specific accomplishments. Good communications between the client and his chosen agent will be necessary during the arduous journey.
posted by Ken Calhoon at 1:19 PM
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