An agent who lives some distance from you may or may not be a detriment. I think other factors come into play here. As mentioned, trust is a big factor. If you are comfortable with your agent and feel this is a good fit, that can go waaaay beyond some other factors mentioned. If you don't trust who is representing you and you aren't comfortable with them, its very hard to follow their advice and make sound decisions. Real Estate is a LEGAL transaction and its very important you make the right decisions. Having someone in your corner you think will do a good job for you is part of that.
That said, you were wise to question her distance from you and ask about potential problems this could cause. Her answer of "local agents will bring buyers" is true. However, I would ask a few more questions. Such as, what will you be doing to market my home? How do you attract buyer's to a property? Do you do open houses? Do you do any advertising? Do you have a website? Do you answer question and search for leads/buyers on Trulia? Do you often list property far away from your home? Have you had much success doing this? How long do your homes take to sell? Etc. Listen to the responses to these questions and see if you still really think she is the right agent for you. If so, I wouldn't focus so much on distance. 50 miles to some agents is really just a quick drive and she may be in that area often. To others, 50 miles might as well be another planet away!! Its more important to determine what the agents talents are and if she is the right person for you. Good Luck!
Trust is a greater issue than distance. The closer you are in understanding your present needs and the person who can represent you in accomplishing it is the choice for the best answer.
Not to side track the issue I have been involved in sales out of state where the seller privileged me with their representation. Our industry is based on our networking capabilities. They are overcome easily when we apply genuine effort in reaching out for local realtors that help us in our endeavors to sell. I used the referral service successfully to the benefit of my client. A referral fee at times becomes a true motivator and information creates value to local agencies. All this at no additional expense to a seller. A trusted agent becomes a valuable tool dealing even out of their territory when they apply their wisdom and interest of their client.
I agree with Jeff. I list homes near where I live and in areas of Miami, which as you know is south of us. It really depends on whether or not being able to come on short notice as Jeff stated when you have a buyer driving through the neighborhood and would like to see it. If you have someone 35 miles away it can take them over 30 minutes to get to the home depending on traffic. But I don't think you should base your whole decision on that factor.
You said you really like this agent. If you are comfortable with her and feel she is able to price, and market your home to the fullest extent, then by all means go with her. But if you have some doubt I would suggest you interview with at least a few more and take it from there.
If you would like to set up an appointment you can give me a call 954-993-4104.