How to Interview Real Estate Agents: Identifying Local Market Experts

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If you have been tasked with finding a competent and skilled real estate agent, choosing an agent based on their actual performance is not just a preference but a necessity for successful transactions. At EffectiveAgents.com, we understand the significance of this approach and advocate for a methodical, data-driven selection process. The following questions are designed to shed light on an agent's actual performance, revealing their expertise and efficiency in the local market.  You should provide these questions to the agent BEFORE you meet. Most realtors will not know these numbers off hand.

Delving into Performance Metrics

  1. What is your sales-to-listing ratio in the past year?
    This ratio is a direct indicator of an agent's efficiency in selling properties compared to the number they list. It offers a quantifiable measure of their success in the market.

  2. How do your average days on market (DOM) compare to the local average?
    The number of days a property spends on the market before being sold is a critical metric. An agent's average DOM, especially when compared to the local average, can indicate their ability to close deals efficiently.

  3. Can you provide a breakdown of your transactions over the past year, including sale prices versus listing prices?
    This breakdown will showcase the agent's negotiation skills and their capacity to secure deals that align closely with the listing prices, benefiting both buyers and sellers.

  4. What percentage of your transactions in the past year were repeat clients or referrals?
    A high rate of repeat or referral business is a testament to an agent’s reliability and the satisfaction of their clients. It speaks volumes about their professional relationships and reputation.

  5. How do you rank among other agents in this local market in terms of sales volume or number of transactions?
    Understanding where the agent stands in comparison to their peers provides a perspective on their market presence and competitiveness.

  6. What is your strategy for pricing properties in this market, and how successful has it been?
    This question is designed to gauge the agent's market analysis skills and understanding of pricing strategies. Their response should reflect a balance of market knowledge and client goals.

  7. Can you provide an examples of challenging transactions you've successfully navigated?
    Real-life examples of overcoming obstacles in transactions highlight the agent’s problem-solving abilities and adaptability in complex situations.

  8. On average, how large of a discount off of list price do you negotiate for your buyers (using sales data from the last 24 months)?  The answer to this question wil reveal how hard the agent pushes for their clients to achieve the best possible outcome.  You should see at least a 5% reduction in the price paid for homes over the last 24 months.  The larger the number here, the better the agent's negotiation skills.

Beyond Numbers: Assessing Soft Skills, Responsiveness and Compatibility

While performance metrics are crucial, the human element in real estate transactions cannot be overlooked. Evaluate the agent's communication skills, their understanding of your specific needs, and their overall approach to client relationships. An agent’s ability to connect on a personal level, maintaining transparency and trust, is as important as their numerical achievements.  Don't be afraid to call or text them with questions at unusual times, especially on the weekend or during the evening.  Make a note of how long it takes for them to return your call or text message.  This may seem odd but, remember, home buyers are operating on their own timelines and being responsive is critical...it's the difference in selling your home quickly vs. allowing it to sit on the market for months.

The Numbers Matter

In an industry driven by tangible results, choosing a real estate agent based on their actual performance is key. This analytical approach ensures that you are entrusting your real estate endeavors to someone who is not just a market expert, but also a proven performer. The right questions can lead you to an agent who combines market savvy with a track record of success, setting the stage for a fruitful real estate experience.

If you feel like you could use some help simply fill out our form and we will get a lot of this data right over to you: https://www.effectiveagents.com/intake-form

 

 

 

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