I don't see anything wrong with your friend representing you in a purchase. I have represented family in friends in the purchase of their homes. Its going to depend on your comfort level with this friend. I wish you the best of luck.
This is a big decision that you have to make as buying a home is usually one of the largest purchases that one makes in their life. My advice is that you need to keep emotion out of it and gauge your Realtor friend's ability to help guide you through this very important process. Although you may have not had a business relationship with him do you feel comfortable in putting this purchase in his hands? Additionally, as you are already here on Trulia, see if your friend has any on-line recommendations to help you in your decision.
If I can be of any assistance please feel free to contact me at 973.868.4034.
Have a GREAT day!
Emil Veltre, R.Ph, MS, CDPE
Maybe he only focuses on commercial property, and you need a residential one.
I would not rule out a friend for only that reason. I would treat them as any other agent, just I I would respect the agent to treat you with all the care and diligence that they would for any other client.
Just make sure the agent is well qualified and experienced. Best of luck to you!
I think your friend might be confused and hurt if you go with a stranger over them. You might not know how great an agent they are, but you probably know if they are honest and ethical and that's half the battle right there. I say give the friend a try, you can always switch to Mary Hot Agent if your friend somehow disappoints you.
â€œYou certainly know your stuff and I know you are perfect for my real estate needs, but my sister/brother/aunt/uncle/mother/father/cousin/best friend has a real estate license, so I like to use them. They would get upset if I didnâ€™t.â€
In some instances there is nothing wrong with working with someone you may know as long as both sides can separate the two aspects of the relationship, business/personal finances vs. social.
Sometimes, it is very difficult to tell those that you are socially engaged with your business because many times it is none of their business.
A realtor needs to know a lot about their clients when selling or buying a home in order to really service their clients. Why are you moving? What do you owe? Are you in a possible short sale situation? Is there a divorce situation? What improvements should I make to get my home sold? Are there permits on the home? Is there litigation on the home or any outstanding judgements? What price should I ask and what price should I sell it for? Why are you buying? What is your income? What do you qualify for? What is the downpayment? Where is the money coming from? What are your expenses? What is your credit score? What type of home? Which area? How many people will be living there? And on and on. Of which, by the Realtor Code of Ethics, much of this information is to remain confidential â€” always.
And of course the client needs to know if the realtor is from the area; do they know the inventory; what is the marketing plan; what is the buying strategy; is this your full-time job; why isnâ€™t my home selling; why do I need to reach out to you, shouldnâ€™t you be calling me, etc.
As a buyer or seller, and the agent, can the two relationships be separate or if either part does not work out can the other continue?
I was watching one of the Sunday morning news shows and Barbara Corcoran, the president of the Corcoran Group in New York, said it best when asked if one should use a friend or family member as I paraphrase, â€œIf you had to, could you fire that person?â€ I found it hit the nail on the head. What if they werenâ€™t doing their job as they should, would you still hang on with them to keep as not to hurt their feelings? (By the way, it does happen as some realtors believe it was a give-me and therefore, need not work as hard.) If it is just a business relationship, it would certainly be a lot easier to fire an agent.
On the other side of this quagmire is that friend/family member who is the realtor. They are in the same predicament. However, many get upset when they do not get the business. It may even affect the social relationship if they are not hired.
Conversely, it may also affect that relationship if they are hired and then possibly fired. A realtor should think twice about the social relationship if entering a business relationship, too. It is not easy to separate them. The realtor has to be able to keep confidential information from others in that social/family group. They must be able to tell their client family/friend what must be done to achieve their real estate goals. They must treat their family/friend client the same as they treat all their clients, and sometimes even work a little harder. It is a big responsibility to service the family/friend client.
Don't fret â€“ there is a solution. If you feel uncomfortable not using that family/friend and yet want them to feel part of a transaction, compensation-wise , I suggest using what we realtors call the referral system. Have your realtor family/friend refer you to a colleague of theirs. It can be with the same company or if you do not feel comfortable with one in their office knowing your personal business, have it referred to another company in the area. And by the way, your family/friend realtor has the ability to refer real estate business anywhere in the world.
This allows you to keep confidential information and your business with a professional without leaving your family/friend from receiving any compensation and also keeps your friendship alive. Itâ€™s a win-win for everyone.
Do you know your friend to be the type of agent that you'd like to work with? It may be hard to find the type of inherent trust that you will automatically find in working with your friend, but don't jump on the freind train without doing your diligence to ensure they actively work the area that you care to buy within, and that they are the right fit for you, frined or not.
For example, I would be useless as a local expert to my brother for his purchase in south Jersey, sure I could coach and guide him thru the process and he would be comfortable working with me, but I would not be effective in guiding him towards identifying value or quality in a market that is not my own.
If they are a local pro, you should be in especially good hands.
...always a tough call, but good of you to ask the question.
Unwavering Commitment to Service, Unsurpassed Results
Best of luck to you!
Unwavering Commitment to Service, Unsurpassed Results
Either that, or they don't know the definition of a friend.
Talk to him; get his input about Marketing your house.
Give him every benefit of the doubt.
Come prepared to give him the Listing.
Good luck and may God bless
I understand the desire to help out a friend but this is likely the biggest investment you will make. Full time agents tend to have websites where they show you more than a search engine tool. Are they publishing articles that demonstrate their expertise? Do they have positive references on sites like Trulia where you get a sense of their performance? Are they educated? You are basically hiring a consultant and you should hire the best you can find.
I would however tend to disagree about searching for names on signs as a method of finding a competent and knowledgeable real estate agent.
Some Realtors have signs lingering out there because they can't sell their client's properties, so signs are not necessarily a good indication of skill or knowledge. I think a better way is to search the forums online, and read some of what agents say and get an impression on that basis. If you like what you read and you get a good vibe, it beats looking for random signs.
Either-way, there is no stead fast rule about working with friends in real estate, as there are no such rules in business in general. Naturally it could be a more sensitive situation when you intimately know the person, but either way they would be offended if you ignored them and went to another agent instead of trying them.
On the flip side, a friend may be more dedicated to you as a friend, and go beyond the pale of what other agents would do.
You got to weigh your specific situation.
Best of luck!
Amos Elroy, SFR (Short-Sale Specialist Certified)
Residential Real Estate Investment Consultant
Lic. Realtor Associate
EXIT On The Hudson Realty
(888) 462-6573 / (888) HOB-NJRE
FAX (888) 462-6573
Twitter & Facebook: HobNJRE
Why don't you ask your friend? If you choose to use someone else he will undoubtedly by bummed... on the flip side, he may not want to work with a friend ... but asking him will give him an opportunity to refer you to someone. Are you even looking in the area he covers? Be frank with him - let him know you are concerned about working with a friend - judge his reaction...
It will work out.
Good luck with your purchase!
You have noting to lose by giving your friend a chance to have your business as long as you don't sign an exclusive relationship agreement commiting you to them for a specific period of time. By not having an agreement, if things shouldn't work out, you would be able to move on to another agenst as you see fit.
Business relationships can put a strain on friendships if they are not handeled properly. It would be recommended that you both have a clear understanding of your expectations as a buyer .....ones that your friend can live with and live up to.....
You are in a tough possition. Since you know this person, do you know how successful your friend is, how long have they been a REALTOR. If you are comfortable with their knowledge and experience, then keep a friend. If not, then find the top agent in your area. Drive around and look for signs on the lawn. Good luck.
John Donahue ABR, CDPE, GRI, SRES
RE/MAX Properties, Ltd.
REALTOR, 26 Years Full Time Service
215-968-7423 / 7400
Do some background work and ask how long have the been in real estate? Are they full time? Do they specialize in sales or rentals? How many homes have they sold last year?
Have they received any awards or accreditation?
If this is your first time buying a home you'll want to work with an agent that has lots of experience in the business and your particular area. This way they know what to expect, understand trends and pitfalls for certain areas and can recommend service professionals.
If he or she seems qualified and you feel like you can have a trust worthy business relationship with them then give them a try, but you may not want to sign a buyer agency agreement in case you change your mind.
Feel free to ask any more questions and best of luck to you!!