Estate agents hate these questions: You should ask them anyway
Buying and selling your home is always high on the list of the most stressful times in a person’s life, up there with taking exams, getting divorced, and passing (or failing) a driving test.
Estate agents are there to make this job easier, although only the good ones actually do. We asked two of the best what they asked their agents when they were selling up – here are their top suggested questions.
1) What have you sold that is similar to my property?
This is crucial: you are about to entrust your most valuable asset to an agent so it’s important to establish that they have a track record of successful transactions for similar properties.
2) Will you take commission?
This should be another early conversation. Ask “will you agree to an incremental commission structure based on the sale price achieved – the higher the sale price, the greater the percentage you will be paid?”
Incentivising an agent really can make a difference. Often clients will increase the commission rate over a certain price and while that higher rate may only be activated at a ‘challenging’ premium, it can certainly remind an agent to bring their A-game when negotiating with a buyer in order to achieve the absolute maximum price.
Don’t forget that the role of an agent is to achieve the best sale price possible regardless of commission – but additional motivation can certainly focus the mind…
3) What is your marketing strategy?
Ask if it involves having an e-brochure prepared with professionally taken photographs, measured floor plans and, where appropriate, a measured site plan. Presentation is key, with buyers often looking in multiple locations, meaning they may well be offered dozens of potential options by agents.
If your estate agent is not presenting your property to a sufficiently high standard, using sub-par photography or skimping on floor plans, it’s likely to be overlooked by buyers, particularly those searching through property portals and scanning hundreds of potential options.
4) How many sales did you transact last year in this postcode?
Clearly a buyer or seller needs to know about the track record of their estate agent. This question should give you peace of mind – or raise a red flag – that the agent knows the area and is tapped into the value of other, nearby properties. Knowledge is one of the key attributes that separates a good agent from an average one – if they haven’t closed deals in the area before, why would they be able to do it for you?
5) What has been your fall through rate this year?
The most disappointing aspect of buying and selling properties is the moment when a transaction falls at the last hurdle. Asking about fall-through rates provides an insight into your agent’s chances of success and their experience in getting a deal across the line. Agreeing terms is the easy bit…
6) Where do you get your buyers from?
Does your agent have a database of buyers for whom the property might be suitable or are they solely relying on the big property portals? In a tough market you really want an agent who is proactive, with a strong database of active buyers with whom they have mutual trust that they can contact directly. Don’t pay an agent to simply put up an advert on Zoopla.
7) What is your international reach?
With more buyers coming from overseas, it’s imperative an agent has the ability to reach an overseas audience.
• Questions 1-3 were provided by Marc Schneiderman, director at Arlington Residential; Questions 4-7 were provided by Simon Tollit, director at Tedworth Property