The Home Seller process of selecting a Real Estate Agent is flawed.
Let's start by disclosing what the best tried and true method of picking a great Agent is: get a recommendation from a close friend or family member who has had a great experience with a particular Agent. No rating system can determine how an Agent handles problem solving or, most importantly, what the chemistry is like during the complicated process of selling your most valuable asset. Nothing speaks volumes more than a glowing testimonial or recommendation from a friend or family member.
Do-it-Yourself books commonly direct Home Sellers to interview 3 or more Agents and picking the one based on these 3 common criteria:
-marketing plan
-highest listing price estimate
-lowest commission
For those of you who do purchasing for Government Agencies, this sounds a lot like your typical "Request for Proposal". Whether its a shipbuilding or bridge construction project, a mass furniture purchase or renovation job, people and committees are well accustomed to making selections in this manner.
It's actually a good process for committees or Boards, who purposely distance themselves emotionally and personally for the greater good of their organization, avoiding any conflicts of interest or other troublesome scenarios.
The problem for a homeowner is that the sale of their home is indeed an emotional and personal matter.
Sellers need to understand that there is a vast range of skills possessed (or not possessed) by Agents and that by using only the criteria listed above, chances for failure are extremely high. In today's market, only 40% of listings taken actually sell so Sellers need every tool and skill necessary if they really do want to succeed.
Highly successful, productive and reputable Agents not only earn more for their services (they are in higher demand) but they are able to demonstrate why they are well compensated and how the commission dollars get spent in innovative marketing plans. They are also very realistic on pricing and would rather decline on a seller's listing than price beyond market reality as doing so only sets themselves and the seller up for failure.
I once read that during blast-off, one of the earliest NASA Astronauts had a momentary panic when he realized he was riding aboard a massive bomb- built by the lowest bidders! Save yourself the panic and invest in an Agent with the right chemistry who can justify their cost and can use recent success stories to substantiate their claims!
