Teresa
Great question and one that others may have. There are many individuals who have real estate licenses, however very few that are actually full time professionals (last survey I am aware of listed that figure at 35%).

The answer depends on exactly what you are planning to do:
If you are planning to sell or buy a home and are opting to do it without professional representation, I would go back to a saying of my father's "confidence is the feeling we have right before we understand the situation".
In other words, there is a difference between you not wanting to hurt her feelings because think that you can do what you are planning to do without "paying a Realtor", and you being concerned about how the transaction might affect your relationship.

A couple of suggestions:
1. Tell what you plan to do and ask her to "interview" for the job of helping you. Let her make her best case. Make it clear that "this is business and that is friendship"/
2. Another option is simply to tell her that you value your friendship more than business, so you would prefer to use the services of another professional. Could she recommend some agents that you could interview.

I have found with analyticals having the option of being able to compare apples to apples is a great way to understand what services you a really need. In most cases when a Realtor asks an office for referrals they are referred the agents in the top 10-20% in the office, so the cantidates are of a high level.

Hope that this is helpful.

Hi Teresa, Good question. I have heard others in your same situation express the same views. I think often times friends would prefer to keep business and personal relationships separate. I have often seen personal friendships ruined as soon as money became a factor. You know best how to handle your friend. I would remain honest in your explanation as to why you would prefer to keep your real estate dealings separate from your valuable friendship. Best of everything to you.

Another suggestion have your friend receive a referral commission if other agent allows it.
http://www.lynn911.com http://www.homes-for-sale-dallas.com

Explain you value her friendship mixing business with friends in most instance does not work out. I have friends who I refuse to list their homes, however I will be their buyers agent. No hard feelings,
http://www.lynn911.com http://www.homes-for-sale-dallas.com

Teresa,

Doing business with good friends and relatives can be risky business and all together too many times ends up with extreme difficulty that can cause relationships to crumble.

Our advice is to adopt the philosophy of not doing business with either faction and avoiding that concern.

Good luck

Be honest with her,
it sounds like you have some strong opinions about the way you want things handled. I don't know how to read your statement of not wanting to put her in an uncomfortable spot.
You may want a professional to keep you out of legal trouble.
Things like:
Fair housing
Disclosures
Contracts
Is it really about the money?

tell her the truth"That it would run your kinship with her or him!

BE HONEST!
You may be surprised and find out that they don't necessarily want to work with you either. Real estate especially selling in today's market is very tough. I am sure they would rather be and stay your friend than get your deal and loose your friendship. In my 10 years experience, I found that working with friends or family can be sticky.
If you do not have another agent in mind. Allow your freind to refer someone to you.

Your bets bet is to be straight forward and up front. Be prepared to answer her question as to why you dont feel comfortable using her. The one thing to keep in mind if you use someoen else, do not discuss it in fron t of her or ask for any advise whiole you are using someone else, that would be pouring salt into the wound. good luck.