When it comes to working, we want our colleagues and superiors to have experience. We want them to be familiar with the tasks and processes so that things become easier. This is the same with investing in real estate. We want our real estate agents to be experienced, whether as an agent or as an investor, so that confusion and misunderstandings are avoided. In this article we’re going to cover how to find an experienced real estate agent and where you can connect with them.
An experienced real estate agent will have knowledge of the common problems that arise in buying or selling property, making them capable of presenting optimal solutions. For this reason, having an experienced real estate agent guide you through the whole investing process will make it easier. This article will assist you in finding the best agent for your real estate needs and why you need to work with an agent.
Why choose an experienced real estate agent?
Choosing the right real estate agent can be difficult for investors. Different agents have different sets of skills and varying work ethics. However, investors tend to find experienced real estate agents to be their partners in buying or selling real estate. Their experience brings much into the whole buying and selling process to help the investor decide.
Of course, a lack of experience does not always equate to a lack of skill – but experienced real estate agents are more likely to have a deeper understanding of the process and the market.
Here are four reasons why you should choose an experienced real estate agent for your next transaction.
They interact with other agents
Years of experience in the real estate industry allows agents to develop connections with their fellow agents, especially in the local market. Having contact with other agents can greatly accelerate the searching process. For example, if you are going to sell property, an experienced real estate agent can reach out to their fellow agents who have clients looking for a property similar to yours.
They know how to negotiate
Negotiation is a task that can be mastered through experience. As an investor, you want the property to be priced at its best value. Experienced real estate agents know how to negotiate the best price for the property, and they usually know how to strategically time their negotiations.
They understand the market
The real estate market is incredibly fast-paced. Experienced real estate agents know this, and predict possible trends that may occur. They can also provide justification for their predictions rather than basing them on gut feelings alone. Moreover, their understanding of the market and its trends make them capable of giving advice on when to act or wait.
They know who to trust
In buying or selling property, your interactions are not limited to the real estate agent alone. You will work with several people, such as property appraisers, mortgage lenders, contractors, and title companies. An experienced real estate agent will help you determine who to trust and who to be wary of.
Working with an experienced real estate agent is advantageous, especially for people who are new to investing in real estate or for people who are new to the local market. Experienced real estate agents make the buying or selling experience a lot less troublesome and stressful.
5 Indicators of an Experienced Real Estate Agent
Experience is not reflected in an agent’s demeanor and clothing style alone. As they say, “Don’t judge the book by its cover.” However, there are clear indicators that showcase a real estate agent’s experience in the market.
1. Sales statistics and listing history
People say that numbers do not lie. This is true and helpful when it comes to determining which real estate agents have sufficient experience. An experienced and excellent real estate agent will have consistent figures on their sales statistics. Their listings should also have a short duration on the market, as this shows their ability to negotiate deals with clients. An experienced real estate agent uses their experience and skills to keep their statistics and numbers in check.
2. Knowledge on the local market
Experience, just like skill, is not the same for everyone. A real estate agent may have experience in residential properties but lack experience in commercial ones, while others may be the opposite. So, when looking for an experienced real estate agent, make sure that they have experience in the specific type of property you are involved with.
3. Closing Percentage
With every deal that real estate agents close, they get a plus for their experience. They gain insight into the possible solutions for problems arising in each deal. An experienced real estate agent gets to close several deals a year, improving their track record with each one.
4. Lifelong learning
Experience and learning go hand in hand. For every sale a good real estate agent closes, they learn something new. This characteristic is a clear indicator that a real estate agent is devoted in widening their learning, which is advantageous to an investor.
There are other indicators that a real estate agent is experienced, such as attention to detail and problem-solving skills. These indicators are important so that you will know whether a potential agent has sufficient experience to assist you.
Tips on Finding an Experienced Real Estate Agent
Finding an experienced real estate agent is no easy task. You have to evaluate their experience and skills in order to find out who aligns closest with your goals and needs. To assist you in this, we came up with a list of steps to finding an experienced real estate agent for your next deal.
1. Get referrals from trusted sources
The first thing you should do when looking for an experienced real estate agent is to create your list of potential real estate agents. You can create this list by:
- Asking people you know, such as family and friends who successfully made an investment in real estate.
- Searching online groups or forums on buying or selling real estate.
- Talking to people in the industry, such as mortgage lenders and general contractors.
- Going to real estate investor networking events.
- Visiting open houses in your area or at the place you are planning to buy/sell real estate.
In making your list of potential real estate agents, you can ask your sources why they recommend them. You can ask about their work practices and ethic, as well as how they solve common problems arising in real estate investments. By asking, you can discover a lot about the agent through the eyes of a former client.
2. Take a look at their experience
When you are looking for a suitable real estate agent, of course you must look at their experience. You can look at their website (if they have one) or any social network or blog to see basic details about them, such as when they began work as a real estate agent.
But how many years of experience is enough? The National Association of Realtors (NAR) specified that real estate agents have an 8-year median experience. You can go for the real estate agents who have at least two to four years of buying and/or selling real estate full-time. Choosing this route makes sure that the real estate agent has bought and sold through the good times and the bad.
3. Test their knowledge about the local market
To get the best deal in your real estate investment, your agent should have an understanding of the local market. Try to choose an agent who has closed deals within your specific target area. Closing multiple deals within the area is a clear indicator that the agent is invested and interested in the local market enough to make connections within the area’s local community.
You can test their knowledge about the local market by asking them which neighborhoods are booming. You can also ask them about the trends in the local market, and what factors contribute to those trends.
4. View their stats
An experienced real estate agent showcases their experience through their statistics. You will know how many years they are in the industry by their performance reflected in their closing percentage and sales data. You can ask an agent’s sale-to-list ratio to help you assess whether they can accurately price the property being bought or sold. The closer the sale-to-list ratio is to 100%, the more accurate their pricing is.
You can also take a look at how long it takes for them to close a deal. This can help you form an idea of how long will you stay on the market, especially when you are selling property. If you think that the time frame is longer than your expectation, you can always go for an agent who can fit the time frame.
5. Ask them questions
In addition to asking past clients about the agent, you can ask the real estate agent themselves some questions. Your questions can range from common ones, such as which deals they find
difficult, to hard questions such as how your goals and needs fit in the local market of your choice. An experienced real estate agent will find it easy to answer these questions because they already have insight on the market. You can also discover more about their work practices and overall ethic through asking them questions.
Closing deals in the real estate market is no easy job. After all, the transactions you and your agent are dealing with are worth hundreds of thousands of dollars. These types of transactions call for a real estate agent who has thorough experience and knowledge of the market. The question is, where exactly can you find an experienced real estate agent who perfectly fits your goals and needs?
Where to Find the Experienced Real Estate Agents Near You
The tips we mentioned above are simple pointers on how to spot and choose the right real estate agent for you. Of course, you can go the easier route, which is consulting with companies consisting of trusted real estate agents such as FastExpert. They know which agents suit your goals and needs best, leaving you with a hassle-free and stress-free real estate investment experience. Contact us today and find the right experienced real estate agent for you.