Hiring a realtor, be it anywhere in the world, is a daunting and nerve-wracking task. We all know that house hunting is difficult and gets even more complicated when the realtor is not up to the mark. The person finding a property and the realtor must match and strike a connection to better understand the demands. Once the realtor knows your requirements, it can better guide and assist you in purchasing a property.
Having a trusting realtor is a dream to many, someone who can always work with the best possible option. Buying and selling the property is more than a business; with a smooth transition, everything gets better. Choosing the wrong realtor can be a costly mistake.
Yes, it is overwhelming when it comes to buying and selling a property, but no stress! We have curated the top ten tips for hiring a realtor in Canada who can help you with a smooth sale and purchase.
10 Tips for Hiring a Realtor:
Hiring a realtor and finding an authentic realtor with adequate knowledge about the market takes work. And most importantly, you cannot just trust someone randomly, as hiring an unprofessional realtor can cost you a lot. Below is a list of 10 tips to help you hire a realtor.
1. Do Your Research:
Buying and selling a property is not a piece of cake; it demands utmost attention and focus, as one mistake can cost much money. Start networking right after you decide to sell or purchase. Ask about a realtor from friends, family, colleagues, and acquaintances for recommendations. Take referrals; you can also check the credibility of a realtor online. Check the reviews and ratings before finalizing a realtor.
2. Authenticity Check:
Check the license whether you have finalized a realtor based on your research or your network!
Yes. Repeating it again—LICENSE is important.
Make sure that the realtor is licensed and also a member of a real estate association. You cannot just trust anybody like that; you will also pass out your confidential information. Check if the realtor is a Canadian Real Estate Association (CREA) member.
3. Area Focus:
Hiring a realtor with zero contacts and no expertise in the area where you plan to sell, or buy is useless. Local knowledge and information are important, and one must have adequate information to crack a good deal. Suppose you are planning to buy a property; your friend knows a realtor from Westdale, and you are planning to hire the realtor for purchasing a property in Hamilton—it does not ring a bell. Property values are based on areas, market trends, and neighbourhoods; a realtor must have expertise in your area.
4. Experience In the Industry:
When a realtor is experienced and has information about market trends, it can help you in the long run. Seek out realtors who are experienced with the type of transaction. Also, sort out your requirements before selecting the realtor, whether you are selling or purchasing residential, commercial, or investment-based properties. There are types of realtors who only deal in a specific type of property.
5. Communication Skills:
Communication skills are necessary; you cannot make a good deal without effective communication. You must properly communicate your requirements to the realtor. Make him understand your concerns. You need to match with the realtor.
6. Negotiation Skills:
The realtor that you are hiring must be a good negotiator. If the realtor cannot help you secure a good deal, there is no point in hiring a realtor. Ask about their strategies for negotiation and do your research as well. Learn more about your realtor, by asking questions.
7. Marketing Strategy:
No matter whether it is selling or purchasing, a realtor always has a proper marketing plan. A professional realtor has both an online and offline presence. Virtual tours, professional photography, etc. are all done by the realtor. You must inquire about the marketing funnel from
the realtor. Take regular updates, and make sure that is a proper channel for the transaction.
8. Availability and Accessibility:
Whether you have hired a realtor based on your research or if a friend has referred you, check the accessibility. The schedule will be too tight if a realtor is already overboard with clients. You will not get the attention of the realtor, and it might not benefit you in the long run.
9. Contract and Fees:
Now, this point is important from a professional perspective as well. Discuss the realtor’s charges upfront. A professional realtor will clear the payment terms and any other additional costs beforehand.
10. Listen to your Instincts:
Lastly, while selecting a realtor, trust your instincts. You must feel comfortable and confident working with the realtor. If at any point you feel that something is not sitting right, it is better to communicate your concerns simultaneously.
How to Negotiate with the Realtor?
Okay, so if this is your first time, you must understand that a realtor charges a commission apart from the basic fees. There is a listing agent and a buying agent, and the average commission is typically 5-6% divided into both agents.
When hiring a realtor, make sure you know about the basic charges and the commission rate as well. Moreover, there should be a proper breakdown of the services, which includes basic fees, marketing materials, brokerage, etc.
If you already have good pictures of your house, there is no need to pay the realtor photography charges, and following the price breakdown, you can negotiate with the realtor.
Hiring a realtor is time-consuming, especially if you live in Canada. One decision can impact your real estate experience. Moreover, hiring an unprofessional realtor can cost you a lot of money. The selling and purchasing of a property must be done through a proper channel, as there are a lot of things that need to be done by a realtor. A professional realtor can guide you step by step with the complete purchasing and selling process. Remember, research and networking.
Whether you reside in Canada or any other country, it is important to hire a professional realtor to sell and purchase the property. Realtors allow you to make informed decisions, and they also have in-depth knowledge of the market trends.
Hiring a realtor is a whole process; always hire a licensed realtor with a membership of an associate such as the Canadian Real Estate Association (CREA), someone with knowledge and contacts.
Ask the realtor about their experience. Hire a realtor who belongs to your targeted areas and has made deals in those areas. Local expertise is important, as the realtor will better understand property values and market trends.
Meet Doug, a seasoned financial planner with over 35 years of experience in providing trusted advice and planning for retirement, estates, income tax, and investments. As a Chartered Accountant (CPA CA), Certified Estate Advisor (CEA), Certified Financial Planner (CFP®), and Elder Planning Counsellor (EPC), Doug has the expertise and knowledge to guide and support executors through the estate processing journey.