For Part I of this series, please click here.

6. It would be wise to ask for a history of their office/brokerage to get a feel for whether or not they are fly-by-night or a real cornerstone in the community. This may seem trivial but will be important if litigation rears its ugly head long after you've moved from the property. While no real estate brokerage will defend you in a court of law (that would take an attorney) having an actual brokerage that you can talk to will be a big help in getting your ducks in a row and potentially solving disputes before court becomes necessary.

While there is never any guarantee that a business will be around next year, you can do a little investigation on your own to minimize the risk. Ask the real estate agent what their 5-year plan is for the business and how they intend to get there. If the answer is weak, look elsewhere. And speaking of looking elsewhere, it is a great idea to speak with the broker/owner since the listing will essentially belong to them. Should your Realtor quit, get sick, or have their license revoked in the middle of your listing, most of the time you will be stuck with the brokerage office regardless of whether or not your agent still works there. If there is future litigation, you had better hope that the broker is still around. For this reason, you should ask them the same questions asked to the agent, plus a few more. Consider asking questions like whether they belong to any trade associations, community groups, or have any community members who will vouch for them. You're just trying to get a read of their history and plans for the future. Ask them for the contact info and then CALL THEM to see what they say. With that being said, the old boy on the block may not necessarily be your best choice either if they haven't adapted their plans and strategies to current markets.

A perfect example is illustrated by the power of the Internet. Many very seasoned and savvy agents are uncomfortable both with using and capitalizing on the power of this incredible resource. Even if you don't understand online marketing and how it relates to home sales, you'd better have an agent who does because over 90% of homebuyers are using the tools available online.

7. Gone are the days of single page purchase agreements, handshake deals, and verbal commitments. These days, everything involved in Real Estate is done in writing. So it comes as no surprise that your Realtor not only should have a firm grasp on the entire purchase contract (and all related disclosures, addendums, and attachment) but also had better be able to communicate them effectively to you. If they don't seem crystal clear or don't communicate well, then there will be a very big problem down the road. You don't need them to teach you how to conduct Real Estate transactions but you do need to make sure they understand various details like contingencies, termite work, disclosure law and various other things. So right from the outset, ask them to sit down with you and explain the first couple pages or so of the purchase contract that a prospective buyer will be bringing you. This is usually all you'll need to gauge both their communication & contract knowledge skills.

8. Unless you already have a new place to live solidified or are amidst a reverse 1031 exchange, you will need to find out what the Realtor can do for you on the buy side. What your looking for is: the number of properties they look at per week, the number they personally preview while you are at work, the length of time it usually takes them to find properties for their clients, the kind of methods they use to search, and whether they regularly list other properties that you may be interested in. This critical skill is often overlooked leaving many consumers victims of the "list and ditch" syndrome. You'll know you're here when you feel as if you've been left to find a new place on your own. This is an all too common scenario among many agents who proudly refer to themselves as only "listing agents." The term "listing agent" is a valid one in its legal use in that it depicts the agent hired by the owner to sell the house. The way many agents use it is really arrogant slang for "I don't know how or don't want to work with buyers." Many listing agents work with a buyer's agent, this is a good acceptable alternative, especially if the listing agent has been around for a while. If they don't work with buyers, make sure they at least have a buyer's agent that you like.

Agents not having any plan for helping you find a new home are not just being financially careless, but also creating a disservice for their clients. We wonder how they can properly evaluate an offer if they have never written them? Also, it seems like having a long list of buyers would be a good thing for you as a seller? We really don't get it. They are in the brokerage business yet doing everything possible to avoid the actual brokerage of deals. Just stick with our questions above and the difference between an agent with a good plan to find you a new home and one with nothing will be clear in no time.

9. Even if haggling is your full time career, there are many facets of real estate that require knowledge and skill of an industry trained professional. So how do you know if your guy/gal has what it takes? The answer probably lies where you least want to look.

That's right, their commission! Do they have a standard commission structure or ask you what you'd like it to be? Do they flinch when you ask if it can be less or do they give in and basically beg for your business? Here's the bottom line. If they can't negotiate a good deal for their own paycheck, do you really expect them to have the sales skills that will successfully wrangle the sale of your real estate? Trust us, it's never a good idea to hire the lowest bidding "professional negotiator!" This is a tough one, we understand, but the reality is that agents must always be able to walk away from a deal. And for the talented superstar agents with a track record of proven results, walking away from a pay cut is really not that difficult. Combine this ability to walk with a solid plan to sell your home and you may be well on your way to finding the right person for the job.

10. The time has come to sit down and make a decision. Whether you interviewed 1, 3, or 20 different Realtors, everybody must ultimately throw caution to the wind and pick somebody. If you have trouble making tough decisions, use our guide here to build a table and score the agent(s) in all areas. Then tabulate the highest score to find the winner. If we were to be pressed for the most important areas, we have to say sales skills, game plan, negotiation skills, and inventory report would be the top four; with references and communication skills a close fifth and sixth. If somebody is completely lacking in any category, they need to be cut. Go ahead and do your best in evaluating and then tell the lucky agent that you're ready to sign the listing!

About the Author: Todd Foust is the chief marketing executive for the FOUST Team at C21 Discovery; one of the top-selling real estate teams in Southern California. He specializes in Orange and Los Angeles Counties and operates one of the area's most informative real estate websites. To contact him or learn more about Brea real estate , or find Brea homes for sale please visit our website.

About the Author: Jennifer McNamara works as a creative marketing contributor/manager for the FOUST Teams public relations division. She is a Southern California native and specializes in translating complicated real estate knowledge into user-friendly information for local homebuyers.

Published: January 12, 2010

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