Whether you are looking to buy or sell a home, or both, hiring a real estate agent to help with the process is invaluable. Making headlines across the country, the Canadian real estate market continues to rise, achieving a 6.6% increase month-to-month. With prices following the same upward trend, reaching a national average of 25% year-over-year, many people are making the move to buy a new home now to avoid any further price jumps. Navigating the housing market, regardless of which side you are on, can be challenging, but with a professional in your corner helping you navigate the ups and downs, the process will be much smoother. Despite your reason for moving, it’s always important to do your research, which includes looking in to and choosing the right realtor.
Consider Your Options
Prospective and current homeowners have two options when it comes to buying or selling a home. They can choose to tackle the process on their own, or they can hire a real estate agent to help with the complexities of the process. By conducting your own research, you can decide for yourself which option is best for you.
Real estate agents have the advantage of experience and a network to fall on. They have insider knowledge of the market and know the ins and outs of helping you get the best offer, on both ends of a deal. The buying and selling process is not just signing over the title and getting new keys; it involves a lot of paperwork, legalities, regulations, and effort you might not initially realize. A realtor can help you navigate this unfamiliar territory.
Do Your Due Diligence
You must conduct thorough research when choosing your real estate agent. Having an agent who has comprehensive knowledge of the local market is beneficial in pricing your home, or finding the best deal on the market. Consider multiple realtors and interview a few to better understand what each has to offer. Get a better picture of their history in the real estate field, their knowledge of the market overall, and their history with sales or helping buyers find their dream home. Do not be afraid to ask for references so that you can feel confident in your decision.
What Sets Them Apart?
Look at what your potential real estate agent has that sets them apart from the competition. Along with having a good reputation, you should feel empowered to ask about their past results to learn more. Make sure that whoever you choose to work with is someone you feel comfortable and confident with, understands your needs in this process, and is trustworthy and mindful of your requirements. When you are narrowing down your local market, whether for buying or selling, having an agent that knows the area like the back of their hand is crucial. They should have a solid understanding of the neighbourhoods, how much the homes list and sell for, as well as any other key factors that are important to you.
If you are selling, you will need to have a good understanding of the market and comparable homes to price your home appropriately. Real estate agents can assist with this as they have access to in-depth local market data and research and can help you conduct comparative market analysis as part of the services they provide. Finding an agent that is skilled in this type of analysis will help set you up for success.
Availability And Responsiveness
Once you narrow down your list of candidates based on their qualifications and references, you will need to determine who you are best aligned with. Be sure to discuss your agents’ hours and availability, so together you can find a time to look at homes or conduct open house events. It’s also important you work with someone that is very responsive, and who communicates well with you. Timeliness and overall coordination will also be important, as you will be working with other professionals during the process, such as real estate attorneys, and home inspectors.
Commission Rates
A Realtor receives their payment via commission, which is directly taken from the proceeds of a sale. Combined real estate commissions typically vary between 3% and 5% of the property’s sale price and serve as the sole payment for the selling and buying agents. These fees can be structured in a variety of ways, including a fixed percentage of the sale price, split percentage, flat fee, or even as a negotiated fee for the service. Most commonly realtors will choose a fixed percentage, but it is important to discuss this with your potential agent.
Keep in mind, you shouldn’t choose an agent solely based on their commission rates. Have an open conversation to ensure you fully understand what services are included and excluded as part of their services. An agent may have a lower commission rate and have unfavourable reviews, be less responsive, or not be as experienced. Undertaking the purchase or sale of a home is an important decision, and choosing the person you work with during the process is just as vital.
Selecting The Right Fit
Your agent should have a solid plan in place for you, ensuring if you are buying, selling, or both, you are set up for success. Whether they are planning a marketing strategy, or targeting and narrowing down ideal listings, it’s important to work with an agent that best understands your unique needs and requirements. This will ensure you have a smooth experience with little to no hiccups along the way.
At the end of the day, having a good connection and building a solid relationship with your prospective agent is vital in providing you with the best possible outcome. You will be spending quite a bit of time together, so having a connection based on rapport, their experience and a mutual understanding of your needs should be core consideration when making your decision. Focus on finding an agent you have a strong connection with, who is attentive to your situation, and will strategize with your goals in mind. No matter if you are in search of your new dream home, or aiming to get the best price for your current home, choosing the right agent to help you through the process is important.
