Here are a few tests to apply when judging a broker: Does the broker explain your state’s law of agency at your first meeting and make it clear for whom he or she is working? Does the agent return phone calls promptly? This simple question is a good screening device, whether you’re looking for a broker, lawyer, or plumber. In these days of cell phones, pagers, voicemail, and e-mail, there is no excuse to be out of touch. Does the agent explain things so you can understand them? This attribute is especially important for first-time buyers. If you can find an agent who is a born teacher, you are in luck. (The fact is, many brokers are former teachers.) Does the agent seem ready to invest time in you? Where the broker is holding an open house that’s on the market, does he or she just wave you through, asking as you leave whether you’re interested in that house and letting it go at that? You want someone who, if not busy with other prospects, shows you the house in a professional manner, asks questions about your needs and wants, and offers to sit down and discuss other places on the market if you’re not interested in the house you’re touring.
Does the agent seem to have knowledge of the Internet? Some agents carry a laptop computer with them wherever they go and are able to pull up pertinent information and new listings on the spot. A computer has become a valuable hi-tech sales tool and a convenient and ready resource for savvy brokers these days. If Internet communication is important to you, ask agents if they e-mail their clients with information on new listings as they appear. Does the broker suggest an initial session in the office, rather than simply meeting you at the house you called about? To get good service, you need a sit-down financial analysis and discussion of your whole situation in a confidential and professional setting. Does the agent ask questions about your finances soon after meeting you? This may not be proper etiquette in ordinary society, but it’s the mark of an efficient broker who aims to give you good service. Suggesting a prequalification or a full loan preapproval is better yet, so that you have placed yourself in a position of strength and credibility as a buyer. If you haven’t already spoken to a loan agent, the agent may suggest someone with whom he or she has a track record of success. Does the broker explain up front if he or she is acting as a seller’s agent? In most states, this information must be given to you in writing upon first contact. When suggesting potential houses for the first time, did the agent show you listings that convince you that he or she has been listening and understands what you are looking for? If you’re shown houses with the wrong number of bedrooms or ones clearly out of your price range, this may not be the agent for you. Does the agent seem familiar and up-to-date on local conditions? Does he or she have maps of the area, handouts about schools, local activities, property tax rates, and other information that shows knowledge and interest in the area? The worksheet in Figure 3.1 can help you evaluate brokers. Once you find a broker with whom you feel comfortable, one who inspires confidence, stick with him or her. Tell your broker about other firms’ ads that interest you, Web sites (URLs) with homes that caught your eye, even about FSBOs, so that the agent can investigate and report back to you. Ask for advice before visiting open houses on your own. And if you have the agent’s phone numbers, don’t hesitate to use them. Real estate agents are accustomed to evening and weekend calls. Service is what they sell, and they welcome any sign that you intend to utilize it. FIGURE 3.1 Worksheet for Evaluating Brokers YES or NO Agent 1 Agent 2 Agent 3
Returns phone calls/is accessible
Follows up on contacts
Uses office interview
Understands your needs
Runs financial analysis
Suggests a meeting with a lender
Uses an interview sheet
Seems computer/Internet savvy
Uses Multiple Listing System
Cooperates with other agents
Knows the community
Inspires confidence
Knows both new and resale home markets. |
