Don't Hire A Real Estate Agent Before Asking These 23 Questions
According to the National Association of Realtors, in 2023 there were 4,090,000 million homes sold. And real estate agents are a key part of those transactions.
"The home buying process is a partnership between buyer and agent," says Lauren Cangiano, Real Estate Agent at Brown Harris Stevens. "When you are completely aligned with your agent, you can be assured success without misunderstandings and potential missed opportunities."
And, as with choosing a life partner, choosing the right real estate agent makes everything that comes after either easier or harder. Especially because purchasing a home is an overwhelming process that requires knowledge most buyers don’t have–but real estate agents should.
"Between interest rates, national practice changes with regards to how buyers are required to work with a real agent to represent them, interpreting market data and understanding the complexities in the market, it is important to have a trusted confidant by your side," says Cara Ameer, Real Estate Broker/Salesperson at Coldwell Banker Realty Vanguard.
But how do you find the right person—and make sure they're giving you the best advice for house-hunting and buying? By asking the right questions. We interviewed experts to come up with a cheat sheet of what you need to be asking your potential real estate agent at each step in your home-buying process. Read on for the info, and then all you have to do is find potential agents and pop the right questions.
Questions to Ask When Hiring a Real Estate Agent
Before you commit, get to know your prospective agent and make sure they're the real deal. And don't forget to ask for client testimonials and references, and check up on those, too! "When a home buyer is shopping for an agent, the best place to garner information is from their past clients," says Jo Ann Bauer, Associate Broker / Realtor at Coldwell Banker. "Ask the agent if you can call some of their past clients." And, while you're at it, ask them the following queries, too:
What is your level of experience in the industry and this particular area?
You know what you're looking for: A single-family home in a good school district? A luxury apartment with concierge services? A cottage on a golf course? Whatever it is, your agent should be an expert in that arena.
"It is important that the agent has a deep understanding of the product itself and the sales data for the area," says Cangiano. "As agents, we have access to data that the buyer does not have. We must be able to show the value that the consumer is getting whether it is in the price or the quality and finishes of the home."
Choosing a real estate agent who is highly knowledgeable about the type of property you are looking to buy is a major benefit that can offer unique insights into the buying process, potential challenges, and market nuances.
"For example, purchasing a waterfront home may involve understanding flood zones, while a luxury condo may have specific HOA requirements or amenities that an experienced agent can guide you through," says Donna J. Soda, Real Estate Agent at Schemmel Soda Group.
The agent doesn't just need to be good at gathering intel; they need to be able to use that info to negotiate on your behalf. To that end, she adds, it's also important to ask: What is your listing price discount obtained for buyers? “This will show their negotiation experience,” Cangiano says.
Can you walk me through your standard buyer representation agreement?
Ameer suggests that you ask the agents you are talking to about buyer representation agreements in the market where you are located, and what options are available for buyer representation.
"Because of practice changes that went into effect August 17th, 2024, buyers are now required to sign a buyer representation agreement with their agent before they can start working together to see properties," she explains. You'll want to know what yours stipulates. It's an important piece of the conversation between an agent and a prospective buyer because such an agreement outlines both your and the agent's responsibilities and sets forth the buyer's agent's compensation for their services provided.
Why should I hire you?
As a buyer, you should consider communicating with a potential realtor like a job interview process. This question is direct and can offer you insight into their confidence. "The agent is basically applying for the job of being their real estate agent and should be able to clearly and concisely outline to the buyer what skill sets or areas of expertise they are bringing to the table and how and why they are the best candidate for the job," says Bauer.
How many buyers/sellers are you working with at the moment?
You should be a priority to your real estate agent in your search, which is why you should check in about their current client load. "It is important to understand how much time your agent is prepared to dedicate to your home buying journey," says Cangiano. "If your agent has a full line up of both buyers and sellers, can they give you the time and energy that you need?" According to the National Association of Realtors, real estate agents complete an average of 12 transactions a year—considered the ideal benchmark for realtors, and a good number to keep in mind when choosing your realtor.
Who are you representing in this transaction?
This question is important to protect your interests if your real estate agent is associated with the seller. When an agent represents both the buyer and seller, this is called dual agency, and it can result in the agent being pulled into directions, wanting to get the best price for the seller and the best deal for the buyer, which can often be counterproductive, if not impossible. If it turns out the agent you found the house with is also representing the seller, "you may want to consider hiring a different agent to represent your interest and negotiate on your behalf," says Cangiano.
What's your availability for showings, and how quickly can you schedule them?
Prompt showings are crucial in competitive markets where homes can go under contract quickly. "Knowing your agent’s availability helps you coordinate viewings efficiently and ensures they're responsive enough to secure opportunities for you," says Soda.
What’s your preferred method of communication—phone, email, or text?
Clear communication is the foundation of a successful agent-client relationship. "By understanding the agent's preferred method, you can ensure timely and effective exchanges, whether it's to discuss new listings, schedule showings, or address any concerns," says Soda.
Arguably, though, the more important issue is will they communicate in your preferred method? "Some people are all about text messages, others only want to talk on the phone or in person. Some may hardly ever check their email," she says. "It's important that the buyer and agent are on the same page when it comes to communication whether that be the method; text, call, email or the frequency."
You should also discuss how much communication you want.
"If a buyer expects to hear from their agent daily and the agent only communicates if there is an immediate issue, then the relationship is not going to work," says Bauer.
Questions to Ask Once You’ve Hired an Agent and Are Ready to House Hunt
This is the fun part—but it also takes preparation, and you want your agent on board to help. Here's what you need to ask to ensure that happens.
What do I need to prepare in advance of my home search?
Buyers must have their financials in place before the home search begins–and you should utilize your real estate agent to help you. "Your agent will prepare you to seek out the assistance of a mortgage lender to understand what you can afford, how much down payment you need, what are the estimated closing costs to expect," says Cangiano. "They can also help with preparing your current home for sale, if needed."
What is key information about the current state of your real estate market, and your perspective on navigating it?
A good real estate agent will excel at setting and managing proper expectations with you as a buyer and be honest and straightforward about what will be required to buy a home in the market you are looking at within your desired price range. "It is important to remain flexible and adaptable, as a real estate transaction is a fluid and dynamic process," says Ameer. "Things will change and change often, and priorities may need to adjust according to the market of the moment."
Questions to Ask When You're Eyeing a Home
You've got a home in your sights. Now's the time to get specific insights and details from your real estate agent.
What is included in the purchase of the home?
Checking in with your real estate agent about what will come with the home (and what won’t) is a must. "It is important to know what is included in order to make an informed decision on what to offer for the home," says Cangiano. "Furniture? Lighting? Appliances? Are all fixtures and appliances in working order?" If not, you'll need to plan to set aside funds to upgrade appliances yourself, for example.
What are the pros and cons of living in this neighborhood or specific street?
Your real estate agent should be familiar with the area you are considering buying in and know extra details about it. Cangiano suggests asking specific things such as: "Is it a walkable area with stores and schools nearby? Pet friendly? Is there a hospital nearby? Is there planned construction coming? Will I lose my view or sunlight? Are there parks nearby? Is it noisy?"
Can you provide insights into the neighborhood's future development plans?
"This question uncovers information about upcoming infrastructure projects, zoning changes, or community initiatives," says Tim Choate, real estate investor, property manager and CEO of Red Awning. Understanding future developments can influence your property's value and your quality of life. For instance, knowing that a new park or school is planned nearby could enhance your property's appeal.
How much are monthly costs?
"It's easy to focus on the list price, but there's a lot more to consider, like property taxes, insurance, and potential HOA fees," says Bubba Peek, real estate investor and owner of Bubba Land Company. "A good agent will break down these additional expenses so you can make a realistic budget and avoid surprises later." Find out what the monthly costs will be early, so there aren't any nasty surprises down the road.
Can you connect me with experts in your network?
Utilizing your real estate agent's contacts can bring major benefits. "Don't hesitate to ask your agent about their network of professionals—such as inspectors, contractors, and lenders—as this can streamline the buying process and provide you with trusted resources," says Choate.
Questions to Ask When You’re Ready to Make an Offer
Now's the time for you and your agent to talk costs and strategies. Here's how to start the discussion.
What have you seen while inspecting the condition of the home?
Ameer points out that while you will have an official inspection, your real estate agent should give the home their own inspection and let you know their thoughts. And on your final walk-through of the property, both you and your agent should keep a sharp eye out—it is important to closely look for signs of wear and tear, and deferred maintenance. Consider things like how old are the systems such as the heating and air conditioning system, water heater, and roof, what is the condition of the fencing if applicable; and how does the exterior of the home look?
Is this home priced correctly for the market?
No one wants to pay the highest price for a home in any given area or building–and your real estate agent should know if you're about to overpay. Buyers should understand and examine comparable home prices (both available and sold comps) in the area.
Once you have that information, you can accurately assess the asking price. "If the price is higher than expected, perhaps the quality of finishes will explain this,” Cangiano explains. "If the home is in a tall building, the view will have an impact on price."
How long has this home been for sale?
If the home you are interested in has been on the market for a long time, this will benefit you in the negotiation process. "A knowledgeable agent can provide key data on trends like inventory levels, days on market, and seasonal shifts, empowering you to make informed decisions," says Soda.
What is the seller's timeline?
Understanding the seller's timeline can help in the negotiating process, and help you know when you can actually move into the home. If they need to relocate by a certain date, the house may be priced to move, or open to negotiation. If they hope to linger, say through the end of the school year, and you can wait, that might give you an advantage over another buyer who needs to be in the house ASAP. "I recently helped clients win a competitive situation by understanding the seller's timing needs rather than just focusing on price," says Kenneth Yim, broker and Managing Partner at Owncondo.
How do you handle multiple offers and bidding wars?
In competitive markets, it's crucial that you and your real estate agent have a strategy for situations where multiple offers are on the table. "This question reveals the agent's negotiation skills and their approach to ensuring your offer stands out," says Choate. "It also prepares you for potential scenarios, reducing stress and surprises."
Tell me about the contract; what should I expect when an offer is ready?
Your real estate agent should be able to clearly explain every step of the offer process so you understand. "Every market is different and the definition of 'effective date' or 'AS IS,'" says Jeff Lichtenstein, broker and CEO of Echo Fine Properties. "Who pays for title insurance on each contract can be wildly different between state counties and the 50 states. You need to know what to expect so you are ready to pounce and get your house."
What are the costs associated with the transaction for both you as the buyer and the seller?
Closing costs can make or break a sale, and it's crucial to understand what you (the buyer) will be responsible for, and what the seller will be responsible for. While the buyer typically covers most closing costs, sellers often contribute. The average closing costs in the United States is $4,243, or about 1.87 percent of the purchase price.
"It is important to understand that a seller has closing costs associated with their side of the transaction, and asking a seller to pay for some or all of the concessions on the buyer side is that much less to the seller," says Ameer.
She adds that in a higher interest rate market, asking the seller to pay points towards buying your interest rate down may be an effective strategy to discuss with your agent and a trusted lender. "You need to understand what is realistic to expect with respect to costs you can negotiate relative to the price range and availability of properties that you are looking at," she points out.
Questions to Ask After Your Offer Is Accepted
You did it! You found a home, and, with the help of your agent, purchased it! Now is the time to get their advice on how to turn the new house into a home.
What's the best way to become connected and familiar with this community?
A well-connected agent can offer advice on engaging with local organizations, events, or groups to help you feel at home faster. "They can also provide introductions to resources like contractors or service providers, helping you integrate seamlessly into the community," says Soda.
Can I get a recommendation?
Ask your realtor's advice on local contractors, landscapers, and anyone else whose services you might need in the future.
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