How the Right Real Estate Agent Can Save You Money When You Buy or Sell a Home

Chemistry is key to any relationship, and the same can be said when you’re looking for the right real estate agent. Not only will connecting with the right agent make the arduous homebuying or selling process easy, but it may also be able to save you money.

For buyers, the right agent will be able to help guide future homeowners on down payments (how much is needed, understanding the types of loans available, and how much money you'll need to consider budgeting for before and after the homebuying process). An agent can also help you understand other financial aspects to consider, such as private mortgage insurance, negotiating concessions or closing costs, or even finding the right contractors.

The same applies to sellers, with the right agent helping to price your home accordingly—because if it's priced too high, it may sit on the market longer than it needs. The agent will help with marketing and hosting an open house, as well as negotiating and understanding when to reject an offer.

A good agent will also save you time, but the key is shopping around and interviewing people.

"Your agent is your advocate. They should give you advice and insights, they are the experts, and they should help strategize the best course of action because you are not a professional in the real estate field," Michelle Mumoli, real estate broker with The Mumoli Collective at Compass, tells Realtor.com®.

"This is the biggest financial decision of your life—just like you don't go to the back of a van to get a tooth pulled, don't go looking for discounts on professionals, you'll get discount service that'll cost you a lot more in the long run."

"An agent has the experience to guide you through the process and avoid any issues that could arise, especially when you are buying and selling at the same time," Jose Hernandez, real estate broker at Coldwell Banker, tells Realtor.com.

The agent you choose should be a professional who protects your interests while staying within the law, says Allison Freeman, real estate agent with The Premier Property Group. Freeman tells Realtor.com that a client needs "someone who treats the transaction like it matters."

What to ask a potential agent

Buyers and sellers need to do their homework. Whether you find a real estate agent online, through a referral, or at an open house, it's still imperative to interview them.

"Ask questions during the initial consultation calls; ask about their experience, track record, process, who their extended team is (or might be). Ask about their brokerage firms, read online reviews (if they have any), ask for testimonials, or if you can speak with past clients," Nikki Beauchamp, senior global real estate adviser and associate broker at Sotheby's International Realty, tells Realtor.com.

Beauchamp says there are many things to consider, and it's important to be thoughtful and deliberate as you interview professionals to hire.

"It is important to understand what is involved, and how an agent will work with you before you are committing to (and signing) representation agreements (as a seller or a buyer), what the expectations are, what the costs will be—and also, would be remiss in not pointing out it is important to understand not only how long you would be under contract when signing representation agreements, but also how to extricate oneself, if necessary," she explains.

Carrie McCormick, a luxury Chicago real estate broker, also points out other important qualities to look for in an agent: someone who has experience at your price point and can provide pricing guidance.

McCormick suggests checking if someone has access beyond public listings, which she says helps. Then, there's the obvious, including strong negotiating skills, problem-solving under pressure, and someone who is a respected professional with a good reputation.

"As a real estate agent, we are a fiduciary to our clients. It is important that we service the clients," McCormick says.

"Transparency, responsiveness, and professionalism matter just as much as experience," Alexandra Gupta, associate real estate broker with The Corcoran Group, tells Realtor.com. "A good agent should be willing to explain the process, answer questions honestly, and provide data-driven guidance, not pressure."