How to Find a Realtor That is a Good Fit

Consumers in America have a love/hate relationship with Realtors. The problem is that the barrier to entry is so low that most cities have 3 to 4 times as many Realtors as they have real estate transactions. The top 10% do 90% of the work. So, if you decide to hire the first Realtor you meet, you're likely not working with someone in that top 10% category.

This article will help you slow down and take a few extra steps to make sure that the Realtor you're hiring is a good fit for you. A good real estate agent can save you thousands of dollars and eliminate unnecessary drama due to poor communication and unmet deadlines. Take the time to hire the right one to ensure your goals are met and that you're well taken care of.

1.) Understand How Their Business Works

Realtors are some of the most misunderstood workers in America. They have an image from the media that they make a ton of money, take many vacations, and don't do much work. Yes, there are Realtors like that, and they are exciting to watch in the media, but they are far from the average real estate agent you will be working with.

The average Realtor makes around $70,000 without benefits or a guaranteed salary. Their pay will range between $30k and $110k, based on experience and hours worked. They are independent contractors, so they pay more in taxes. They will likely only keep $55,000 of that average salary mentioned above.

So, why do Realtors choose to do their job? They like to help people. Real estate agents get excited each time a home goes under contract. It's an emotionally rewarding job that allows them to expand their network of friends and clients. Real estate agents are known for going the extra mile to hold a deal together. They are well-trained at spotting red flags before they become deal-killing issues later.

2.) Understand What You Want In An Agent

You won’t likely want to work with the top agents in town, as many of them are too busy and tend to seek the highest-paying transactions. It’s just business.

In Colorado Springs, we have around 6,000 agents to serve an average of 1,000 monthly closings. So many good agents are hungry for work.

Take the time to find a real estate agent who has experience and a good personality to fit with yours. You’ll spend a lot of time with them, so you’ll need to hire someone you like.

Ask them things about their experience, thoughts on the neighborhood, thoughts on the market, and dig deep. The more you know about them, the better decisions you can make.

2.) Don’t Be Afraid to Fire Them

If your Realtor seemed great before you hired them and then changed after you signed a buyer representation agreement, don’t be afraid to fire them. Realtors know that most buyer representation agreements do not carry heavy value in court. Your agents could cost you thousands of dollars if they are not being honest, communicating poorly, or missing deadlines.

Your entire transaction will hinge upon the competency of your agent. If you make a bad decision at the start, take the time to correct it before moving forward. You will thank yourself when you get back on track with an agent you enjoy working with.

4.) Be Leary of Referrals From Family or Friends

Realtors often become friends with their clients and keep them in their database to reach out for more business.

If you work with a Realtor who knows your family and friends, they may know too much about you and let some private information slip. The best way to avoid this is to find a Realtor on your own.

Mixing friendship with business can be awkward. If you decide to work with a referral from a friend or family member, check their reviews online before agreeing to it.

If they have no reviews or bad reviews, you should consider comparing them to the Realtors you find on your own before committing.

5.) Make Sure Their License Is Up-to-date & Has No Violations

In most states, you can search the state database to find the real estate agents licensed in your state. They'll usually be listed online if they have had any violations or strikes against them. Take some time to research their name and see what you can find before committing to them.

As the owner and broker of my company, I do this for every agent who wants to work with us. I research them online to find any past violations. I've been very surprised to see more violations than I would have expected.

6.) Make Sure They Have Extensive Local Knowledge

It is important to hire a Realtor who works in your area of interest. In Colorado Springs, we have many agents working here from Denver. They are not as knowledgeable about the area, which can limit the information you receive, making it more risky to make a decision.

The average Realtor has been in business for over ten years but may have just relocated to a new city. Be sure to find out how long they have worked in the area you are most interested in.

Agents can do a good job in any city, but they cannot tell you about the rules, regulations, and history of neighborhoods outside their common area. Ask your agents how many homes they have closed in your area of interest, and then ask them to send you a list of those homes. This will let you know if you have a knowledgeable local agent to serve you.

7.) Ignore Designations & Certifications

Many top agents will put a bunch of acronyms behind their names, like ABR, CRS, and ePro. These are typically a few hours to one-week-long classes that the agent paid to attend and receive the designation. This lets you know they are not new and take their job seriously. That is valuable. Other than that, it’s not a huge signal to hire them.

Any Realtor can get any designation. Sometimes, bad Realtors get a bunch of designations and certifications to hide behind. These are never a guarantee of what the agent is actually like to work with. These designations are not bad; they’re just not that important.

8.) Determine How Much Time They Have Available To Help You

If you were searching online through one of the popular national websites and you click to have an agent help you, you’re likely going to get inundated with phone calls, text messages, and emails within minutes. Many agents work on teams and have to convert a certain amount of leads per month to hold their positions. They can be excellent agents, but they may also have limited availability. The same is true of agents who have the most listings.

When you hire someone, try to find an agent with the most availability at that moment. Most agents can only handle 5 to 6 transactions at a time before they start to drop the ball and get overloaded. Ask your agent what their cutoff is for hiring clients and how they know when they are getting overloaded. Their answer will help you determine whether you have the best agent.

9.) What Services Do They Delegate To Assistants?

Some real estate agents may seem impressive initially, but once you sign a sales contract, they disappear and leave you hanging. They tend to offload the transaction process to a coordinator. This is not always bad, but it can backfire quickly.

Real estate agents' incomes go up substantially when they hire assistants to help them process more transactions. The downside is that their quality can also go down. You'll need to assess the team's competency behind your transaction to know if you are at risk of being ghosted after signing an agreement.

When you discuss this concern with your agent, they should understand your concern and have a valid response. If they become defensive, this may be a weak spot in their business that could affect how smoothly your transaction goes.

10.) Trust Your Instincts

With all this information, you may feel overwhelmed when searching for a Realtor. Just remember, you are in control. You can talk to one or one hundred agents before you hire anyone. When you finally decide to hire someone, make sure that you are hiring them for their professionalism first. If you have any bad feelings about them, don’t ignore them. Trust your gut feeling.

11.) Key Questions to Ask a Realtor Before Hiring

Here's a list of essential questions covering all of the topics above. You should consider asking your real estate agent these key questions before hiring them:

Summary

Finding the right Realtor can be tricky because there are so many, and not all of them are the best choice. This guide explains how to take your time and pick the right one. First, it’s important to know what you want in an agent. Make sure they have experience, the right personality, and enough time to help you.

If the first agent you choose isn’t working out, don’t be afraid to find a new one. Be careful with referrals from friends or family because they might not always be the best fit. Check that the agent’s license is up to date, and make sure they know the local area well.

It’s also helpful to know that having a lot of certificates doesn’t always mean an agent is good. You should look at their experience and reviews instead. Make sure they have enough time for you and aren’t too busy with other clients.

Ask if they use assistants and how much of your work they will handle themselves. Finally, trust your gut—if something doesn’t feel right about the agent, it’s okay to keep looking until you find someone who feels like a good fit.