This July 4th will mark our 38th year since arriving in Klamath Falls. What an adventure it has been and after spending over 40 years in various managing, marketing, and sales positions. Since 2006 I have focused on a real estate career that started with obtaining my real estate license in Sonora, Mexico and in 2012 my license in Oregon. I have experienced many insights over the years and want to share some of what I have learned with you.
It doesn’t matter whether you are a seller or a buyer you need to be protected by a well-trained real estate agent who has not only been trained in real estate but who has experience in a real estate transaction and scheduled the multiple tasks of the transaction all the way to finish of escrow closing, which is the goal. Keep in mind that the seller and buyer will be navigating through one of the largest financial dealings of their lives, and therefore should want to have the best possible protection from start to finish. It is recommended that you use a real estate attorney if you need legal advice or don’t understand the documentation that your real estate agent has asked you to sign or initial. Some people will use a real estate attorney to sell or by property, but most real estate is done by competent licensed real estate brokers.
QUESTIONS TO ASK WHEN CHOOSING A REAL ESTATE AGENT
How long have you been in residential real estate, and is it your full-time job?
Experience isn’t a guarantee of quality. However as in all professions, expertise is usually gained on the job. The more often you practice at things correctly the better you get. Continuing education should make you better.
How many sellers and buyers did you and your company represent last year in Klamath County?
This will provide you will how much experience they have and how they rank regarding other agents and company’s performance. National Association of Realtors has indicated that most sellers and buyers don’t use the same agent so make sure you do your homework when it comes to deciding on the best possible agent and company.
What type of marketing philosophy will be provided.
Understanding the simplistic step by step process of how the agent and company will provide a clear explanation of what they will provide and how that will obtain results for the seller or buyer. Having a clear understanding of seller and buyer process will help build confidence that your agent and company are setting you in a path for success.
What certifications or designations have you obtained as a realtor?
Certifications and designation are important and help you know that the agent has continued to educate through their years of service. Typically, an agent will spend over 150 hours just to get to a point of being able to take the required Oregon State test. Many agents will continue to educate during each year with Code of Ethics and Law being required for State license renewal. We are not allowed to give legal advice, but we must keep current and educate ourselves on the most up to date real estate laws and codes of ethics for Oregon.
Will you be allowed to represent me exclusively?
Oregon law allows a single real estate agent to act as a disclosed limited agent to represent both the seller and buyer in the same real estate transaction. The buyer and seller must have the opportunity to read and understand the Initial Agency Disclosure and sign the Disclosed Limited Agency Agreement. This should be done when first meeting with the agent and will establish a clear understanding of the relationship you want with your agent. This is very important and required documentation.
How are you paid for your services?
Currently the seller will negotiate a listing agreement with the listing agent, an amount, or a percentage of the purchase price, for listing and marketing the home. The seller may want to direct the listing agent too provide a portion of that gross negotiated amount to be paid as a buyer’s commission after close of escrow. Having a clear understanding with the seller and buyer agent about commissions paid to agents will make you much more comfortable if it is done in the very beginning when you first meet. Don’t assume that all agents charge the same and are able to provide the same services. Make sure you’re clear upfront about how your agent will be paid and know that the commissions are negotiable.
What type of information should I expect from my agent?
Agents obtain market data through the Multiple Listing Service as well as Title and County records. This will help provide information that will be useful in selling and buying. An agent should be trained in knowing how to use this information which will aid you in understanding the right price to sell at, or as a buyer what offer should be made when purchasing your home. Market is always in flux and a good agent should understand the market data and status. There are many documents that will be signed, and you should read and ask plenty of questions.
Will you be able to recommend service providers who can help me through the sell or buy process?
Most agents can help point you in the right direction when it comes to using licensed and bonded companies to perform service and repairs. It is best to always use tested and proven people that have the proper knowledge, training, and tools with insurance to back up if something goes wrong. Just because an agent recommends doesn’t mean that they shouldn’t be asked to provide the proper proof license, insurance/bond, and past references. Things change and so do people, so make sure you ask but verify.
How will you keep me informed about the progress of my selling or buying transaction?
The preferred means of communication should be a question that your chosen agent should ask you about. Email, text, phone call and voicemail being all viable options, the agent should respect your choice of those options. Many agents use texting only to find that their client doesn’t use texting and would prefer emails or a good old phone call. Let the agent know how you prefer to communicate right up front and that should provide the best results for keeping each other current on the any progress.
What’s next?
We recently have learned that later this year that there could be changes that will affect the way real estate selling and buying are done. Real estate is a demanding industry that requires honesty, transparency, and accuracy. The interactions of many people from real estate agents and their companies working with inspectors, appraisers, lenders, title companies and you the customer are the most important to the transaction process, you make it possible for so many to be in the real estate industry. It takes many individual companies working together as a well-trained team, to bring it all together just for you.
