If you’re embarking on the journey of buying or selling a house for the first time, chances are you haven’t had much experience working with a real estate agent.
The excitement of the process might have overshadowed the importance of thoroughly researching and interviewing prospective agents to find the right fit.
However, overlooking this crucial step can lead to significant problems down the line. So, how can you determine if you’ve hired the wrong agent? It’s essential to be aware of common red flags that may indicate a mismatch.
- Lack of or no communication – if your real estate agent isn’t communicating with you regularly, it’s a major problem. Don’t you want to be kept in the loop during the buying or selling process? If it were us, the answer is a resounding yes! A really great real estate agent should get back to you within 24 hours if not sooner. If your agent isn’t responding to you quickly, they most likely aren’t going to respond to the other real estate agent, lender, attorney, etc. quickly and that can put your deal in jeopardy of falling through. It can also end up costing you time and money. Same thing with your mortgage lender. If they aren’t responding in a timely fashion, this is your number one red flag that you need to fire them and move on.
- Disorganized – There are many many steps when it comes to buying or selling a house; along with that comes loads of paperwork. If your agent is dealing with multiple transactions, including yours, its important they know where they are in each transaction. There is no excuse for missed deadlines, delivering paperwork late, being late to showings, writing in the wrong info, etc. If your agent seems disorganized, move on.
- Doesn’t offer advice – You hired a real estate agent for their wealth of knowledge on real estate, right? Well, your agent should be sharing that knowledge with you and offering you advice along the way, even after the transaction has closed. They shouldn’t be afraid to offer their advice and observations. If they’re not offering advice, chances are, they are too inexperienced or they’re just not particularly helpful by nature. Both are red flags.
- Lack of confidence – This is a major red flag. You should want a real estate agent who is a top performer and will do what it takes to get you the things you want, especially when it comes to negotiations. Your agent shouldn’t seem uncomfortable or nervous.
- Lack of knowledge – If you routinely ask your agent a question to which they don’t know the answer, this is a red flag. Your real estate agent should know most of the answers off the top of their head. If they don’t and has to get back to you later about every question, this can be a sign that your agent is inexperienced and doesn’t know what he or she is doing.
- Too pushy – Sometimes your real estate agent will lack confidence, but sometimes they’re overly pushy and desperate. If that’s the case, they may make you do things you aren’t comfortable with, just so they can get a sale and make a commission. Don’t let that happen. Remember, this is your money and it is your decision. Walk away from anything you aren’t comfortable with and trust your gut.
- Lack of technology – These days there are a lot of tech resources a real estate agent has access to and should be using. Make sure your broker is tech savvy. That means they should be able to send you contracts to sign via online systems like AuthentiSign or DocuSign which accept electronic signatures as opposed to having to fax or drive contracts to you for your signatures. If you’re in a multiple offer situation getting an offer to the seller now via email as opposed to having to wait hours for your agent to get the contract to you to sign can mean the difference between your winning that home or losing it.
- Giving verbal offers – If you find a home you’re interested in making an offer on and your real estate agent says you can present a verbal offer to the seller, run away quickly. All offers must be in writing in order to be legal and valid.
What if you have found the wrong real estate agent. Can you terminate the contract?
That depends on whether you’ve signed a buyer or seller representation agreement with that agent. If you haven’t signed a representation agreement then you are free to work with a different real estate agent at any time. If you have signed a representation agreement, you need to read the agreement carefully. Most representation agreements have specific terms including a start and end date which usually last for 90 days to one year. However, even if you signed a representation agreement your agent may be willing to terminate the contract if you explain you’re unhappy and want to find a new agent. If they don’t agree to terminate the representation agreement, the best thing you can do is speak to the Managing Broker of the real estate company where your agent works. Ask the Managing Broker to release you from the contract and explain why you’re unhappy. Often times that person will let you out of the contract or will assign you to a different (hopefully better) agent within the company.
Bottom line, use your best judgement and don’t pick someone just because you like them or they are a friend of a friend. At the end of the day this is a business decision and you need an experienced agent to represent you and protect your interests and money. Always be sure to check out agent reviews on Google or Zillow.
