Choosing the right real estate agent?

[MotoGirl]

I am currently attempting to sell my house and after it being listed for months, we’re not getting any bites on it. Our agent has been laying the pressure on us to drop the price by $20,000 and start paying for advertising at a minimum cost of $300 every 12 weeks. No free advertising is provided.

Considering the current market and the circumstances in which I’m selling the house, I’ll be damned if I will spend money to advertise a house that we’re selling at a loss (which I’m anticipating to be about $80K).

I begrudge anyone putting pressure on me and this company has had its shot, albeit without success. So I have decided to kick my agent to the curb and replace him with someone who’s prepared to expend the effort and get the job done.

My problem is that I’m getting baffled with choosing a replacement agent. I’ve done some research and commission rates alone have huge variations between companies. My sister is also caught up in the mess that’s put our houses on the market and her one is listed with Ray White. The difference between Ray White’s commission rates and a company like Harcourts is astronomical – about $5K on a house sold for $500,000.

I want an agent who is prepared to work for a commission and get the job done; I also don’t want to pay a fortune to get a good one. How do I find the right agent for a reasonable price? Does the company matter in terms of their advertising strategy and commission? Advice please!

P.S. Keeping the house or renting it out is not an option.

[steve_t]

Whereabouts is the house?

[hayd3n]

why not sell it on trademe?

[sidecar bob]

So they want you to take a fall on the price, but they wont take a hit on the commision??
And it will make their job so much easier if you take a fall.
What are they doing that you cant?
Try advertising it yourself with the $300 & see what you get.
All an agent does in effect, is talk shit, nothing more, nothing less.
Try a private sale.

[MotoGirl]

why not sell it on trademe?

This particular agent/company doesn't list on TradeMe. The company is one of those buggers that has its own magazine so my house doesn't even appear in the Property Press. We only picked this company because every other property in this neighbourhood was listed and sold with them. Our house is the only one in the suburb that hasn't sold.

It's not a poxy house so I can't comprehend why it's sitting on the market, especially because more expensive houses have sold in the same street.

[MotoGirl]

Whereabouts is the house?

Tauranga, Pillans Point to be precise (a good area).

[MotoGirl]

So they want you to take a fall on the price, but they wont take a hit on the commision??
And it will make their job so much easier if you take a fall.
What are they doing that you cant?
Try advertising it yourself with the $300 & see what you get.
All an agent does in effect, is talk shit, nothing more, nothing less.
Try a private sale.

Yes, they expect us to do all the work, i.e. drop the price and pay for advertising. I decided to ditch that company when I realised that I'm doing all the work!

The problem is that the house needs to go and I suspect a private sale would take too long.

[sidecar bob]

This particular agent doesn't list on TradeMe.

Well hes a friggin munter. Dump his hopeless arse.
Could you please PM me basic details of the house, location, number of rooms & garaging etc. we have been looking to upgrade for a few months now.

[Madness]

The problem is that the house needs to go and I suspect a private sale would take too long.

I'm in the market at the moment (not in Tauranga though) and it seems private sales are turning over pretty quickly up here, if the price is right anyway.

List it on Tardme as a clapped out lawnmower or summin' with a free house thrown in, that shit seems to work too.

[Winston001]

There are no special secrets to selling a house. The key issue is for buyers in your price range to know about it. That requires advertising. Newspaper, property press, Trademe, sign on lawn, stand on the roof in your nightie and sing arias - whatever it takes to draw attention.

However in a recession houses are price-sensitive. It could be that the buyers in your area and price range have dried up.

You are entitled to stick to your price but after many years experience I can tell you that asking too much will jinx the property. Buyers will start to wonder whats wrong and as the price falls, shy away. Seems odd I know but it happens.

A good agent is someone who has been in the business a long time, has a good reputation, and has happy clients refer others to them. To find one you need to ask around and KB is as good a place to start as any.

I'd always recommend a general listing - never a sole agency. The more agents working for you the better.

[hospitalfood]

i think sell it yourself on trademe.

[Patch]

Tauranga, Pillans Point to be precise (a good area).

makes little difference especially if its the worst house. Could be many reasons why its not selling - but given the season why are you surprised things are slow go figure


buy a copy of the kiwi property investor magazine - you might learn something

[Big Dave]

I want an agent who is prepared to work for a commission and get the job done; I also don’t want to pay a fortune to get a good one. How do I find the right agent for a reasonable price? Does the company matter in terms of their advertising strategy and commission? Advice please!

I interview representatives from what I believe to be reputable firms and collect their appraisals. As many as it takes till you find one you like.
Treat them like anyone who you are going to employ.

Seek references. not necessarily from the agents - but from other people who have sold or bought property.

Lay 'em all out on the table, even spreadsheet them.

Or you can chuck all their business cards in the air and the one that lands closest to the middle of the table is it. Sometimes that might have worked as well.

[p.dath]

Consider the amount of time the agent has been "in business". Agents who have 20+ years of experience under their belt do so for a reason. It means they have actually made a living from doing what they do, and that means selling houses.

Those only in the trade for 2 or 3 years are a riskier proposition to take on.

So my tip, find someone who has been doing it for a long time.

[HenryDorsetCase]

This particular agent/company doesn't list on TradeMe.

That seems to be one of the issues. We've been kind of (not really seriously) looking at upgrading. I look at tardme and realestate.co.nz. then maybe I will look at individual company websites. What buyers want is a house they can afford in the area they want to live in.

I loathe the cult of personality that agents try and cultivate. I would not turn my back on 95% of agents if I had my wallet in my hip pocket. I have struck the odd good one. Occasionally.

Think of real estate agents as drug dealers. No one really needs them, but they have insinuated themselves as middlemen into the process such that now both parties seem to think they are a necessary part of the process. The only thing an agent can do for you is access media which you are not able to access yourself (obviously apart from tardme).

remember a FIFTY THOUSAND DOLLAR hit on your sale makes a difference of less than a grand to the agent in the pocket. thats why they will tell you anything you want to hear to get the listing, then "work" your expectations, anything to get a sale because the difference between sale and no sale is a lot but the difference of fifty or 80k to you is fuck all to them.

if the retard you've hired isnt exploiting every avenue available to get a sale, then kick him in the nuts and find someone who will. Or sell it yourself. It isnt difficult if you are organised. Spend a grand, get a LIM report, a building inspection report, title search and such, bundle it up in a folder, and give it to serious punters. It will speed up the process,

sorry, I'm ranting.

Oh, and what Winston said: recommendation, audition, choose.