Choosing a Realtor is a process of comparing local experience, communication, negotiation ability, representation terms and total value. Interview at least three candidates, verify each agent's license and disciplinary history, review recent comparable transactions, and read the representation or listing agreement before signing.
A REALTOR® is a real estate professional who belongs to the National Association of REALTORS® and follows its Code of Ethics. The term does not apply to every licensed real estate agent. NAR membership also does not prove that an agent is the right fit for your transaction. NAR's consumer-impact document dated August 13, 2024, explains some of the current buyer-agreement requirements.
Choosing a Realtor at a Glance
| Your situation | Prioritize | Evidence to request |
|---|---|---|
| Buying a home | Local knowledge, offer strategy, availability and buyer representation | Recent buyer references, examples of comparable purchases and a clear buyer agreement |
| Selling a home | Accurate pricing, marketing execution and negotiation | Comparable sales analysis, marketing plan and recent listings |
| First-time buyer | Education, patience and process management | Explanation of inspections, contingencies, financing and closing |
| Relocation buyer | Neighborhood knowledge and remote communication | Virtual-tour process, local referrals and experience with out-of-area buyers |
| Luxury, investment or unusual property | Relevant specialist experience | Recent comparable transactions and specialist credentials or referrals |
1. Decide What You Need the Agent to Do
The right agent for a first-time buyer may not be the right choice for a seller, investor or luxury-home owner.
Before contacting agents, define:
- Your location and target neighborhoods
- Your price range
- Your expected timeline
- Whether you are buying, selling or doing both
- The property type you need
- Any unusual requirements, such as probate, divorce, relocation, new construction or investment analysis
- Your preferred communication method and availability
The Consumer Financial Protection Bureau recommends choosing an agent with experience in your preferred neighborhoods, price range, property type and other factors that matter to you.
2. Find Three Qualified Candidates
Use several sources instead of accepting the first recommendation.
Potential sources include:
- Referrals from people who completed a similar transaction recently
- Agents who have represented buyers or sellers in your target neighborhood
- Local brokerage offices
- Professional directories and real estate websites
- Recent listings and recorded sales in the area
Treat online rankings and agent-matching services as ways to find candidates, not as independent endorsements. Some real estate websites earn advertising or referral revenue from agents.
A personal referral is useful, but it should not replace your own review. A friend or relative may be licensed without having enough recent experience in your market or with your type of transaction.
3. Verify the License and Professional Record
Check the agent's license through your state's real estate regulator. Look for:
- Active license status
- Brokerage affiliation
- Disciplinary actions
- Complaints or restrictions
- License expiration or renewal information
The CFPB recommends checking the state licensing agency for disciplinary actions and asking candidates for references.
Confirm who will handle your transaction. Some agents personally manage each client, while others assign showings, paperwork or negotiations to an assistant or team member.
4. Interview Each Agent Before Signing
Ask the same core questions so you can compare the answers.
Questions for a Buyer's Agent
- How many buyers have you represented in my target area during the past year?
- How many active clients do you currently have?
- Who will show me homes if you are unavailable?
- How do you evaluate whether a property is fairly priced?
- How do you structure an offer in a multiple-offer situation?
- How do you handle inspection findings, appraisal problems and missed deadlines?
- How often will you update me?
- Do you represent buyers exclusively, sellers as well, or both?
- Could you or your brokerage represent the seller of a home I want to buy?
- What services and compensation are included in your buyer agreement?
A strong buyer's agent should explain the process clearly, point out property risks and tell you when an offer does not make sense. The agent should do more than send listings and open doors.
Questions for a Listing Agent
- How did you determine your recommended listing price?
- Which recent sales support that price?
- What is your marketing plan for the first two weeks?
- Which photography, video, staging and advertising services are included?
- How will you handle open houses and showing feedback?
- What is your negotiation strategy if offers come in below asking price?
- How often will you report activity and market changes?
- What happens if the home does not sell during the listing term?
- What are the cancellation terms?
- What compensation will you receive, and what other costs should I expect?
Do not select a listing agent solely because the agent promises the highest price. The recommended price should reflect recent comparable sales, current competition, property condition and the proposed marketing plan.
5. Compare Relevant Experience, Not Just Years in the Business
Years licensed can help you understand an agent's background, but recent experience with your type of transaction matters more.
For example, you may want:
- A first-time-buyer specialist for a first purchase
- A relocation specialist for an interstate move
- An agent experienced with condominiums for a condo purchase
- An investment-focused agent for rental property
- A listing specialist with recent sales in your neighborhood
- An agent experienced with probate, divorce, short sales or new construction when relevant
Ask for recent examples rather than general claims. "I know the area" tells you little. An agent should be able to discuss comparable transactions, explain the differences between them and describe the results.
6. Evaluate Communication Before Hiring
Your first conversations can show how the agent may behave during a time-sensitive transaction.
Look for an agent who:
- Responds within an agreed timeframe
- Answers the question you asked
- Explains unfamiliar terms in plain language
- Tells you what happens next
- Keeps written records
- Distinguishes facts from personal opinions
- Gives direct advice without pressuring you
Be cautious if an agent is difficult to reach, dismisses your concerns, pushes you to sign immediately or gives vague answers about fees and representation.
7. Understand Representation and Conflicts of Interest
Ask exactly whom the agent represents and whether the arrangement creates a potential conflict.
A real estate agent may represent:
- The buyer
- The seller
- Both parties in a disclosed dual-agency arrangement, where permitted
- Neither party as a transactional or non-agency facilitator, depending on state law
State laws determine which relationships are allowed and what disclosures are required. Ask whether your communications are confidential, how offers will be handled and what happens if the agent's brokerage also represents the other party.
8. Read the Buyer or Listing Agreement Carefully
If You Are Buying
For MLS participants covered by National Association of REALTORS® policy, a written buyer agreement is required before the agent tours a home with you in person or through a live virtual showing, subject to applicable state-law requirements. The agreement should explain the services provided, the length of the relationship and the compensation arrangement.
Buyer-agent compensation is negotiable and is not fixed by law. The agreement should state the amount or rate in a specific, objectively understandable way. It should also explain whether the seller or another party may contribute toward that amount and what you may owe if the contribution is insufficient.
Review:
- The agreement's start and end dates
- Whether it is exclusive
- The agent's services
- Compensation and payment timing
- Cancellation rights
- Protection or tail periods after termination
- Dual-agency disclosures
- What happens if you buy a home the agent did not show you
If You Are Selling
Review the listing agreement for:
- Listing term
- Listing fee or commission
- Included marketing services
- Additional transaction costs
- Cancellation rights
- Duties after the listing expires
- Dual-agency provisions
- What happens if the property is withdrawn or does not sell
Consider having a real estate attorney review the agreement if the terms are complex or unclear.
9. Compare Value, Not the Lowest Commission
A lower fee can be reasonable when the service is clearly defined and the agent has an efficient business model. It can cost more in the long run if it comes with weak marketing, limited availability or little negotiation support.
Compare each proposal using the same criteria:
| Criterion | What to compare |
|---|---|
| Local expertise | Recent transactions in your neighborhoods and price range |
| Availability | Personal availability, team coverage and response times |
| Strategy | Offer, pricing and negotiation approach |
| Services | Showings, photography, staging, paperwork and transaction coordination |
| Communication | Frequency, method and response expectations |
| Representation | Who the agent represents and potential conflicts |
| Compensation | Amount, timing, inclusions and cancellation terms |
| References | Recent clients with similar needs |
10. Watch for Red Flags
Continue your search if an agent:
- Pressures you to sign immediately
- Refuses to explain compensation
- Cannot provide recent relevant references
- Promises an unrealistic sale price
- Avoids discussing conflicts of interest
- Gives legal or tax advice outside their expertise
- Is consistently unavailable
- Tells you to skip inspections or other due diligence
- Uses vague language about cancellation or post-contract obligations
Final Recommendation
Choose the agent whose recent experience, transaction plan, communication habits and written agreement best match your needs. Verify the license, check references and compare the terms before you commit.
A friend, a large social media following or a low fee can be useful context, but none is a substitute for evidence that the agent can manage your transaction and protect your interests.