Moving to another city? Your kids have gone off to college and you are downsizing? Time to retire and move to a retirement destination? Whatever the reason, it is time to move and sell your home that you love. But you have been in one home for many years and do not have much experience in selling luxury real estate.
We have been through the process many times over with sellers just like you. The first step in selling your luxury home should be to interview and choose the right agent to sell your home. There are tons of issues to face when choosing a luxury agent to sell your home and we won’t go into all of them now, but here is a quick checklist to get you started:
1. Friendly Agents: You know real estate agents in your area that could be perfect to sell your home. OK great, but be careful. Ever heard the saying “never mix business with pleasure?” Well, I say don’t do it lightly. Sometimes mixing business with pleasure works out great. But make sure you put your friend that is a luxury real estate agent through the same interview process you put all the other agents through. And make sure they understand your expectations as a seller.
2. Market Knowledge: How well does the agent know your sector of the market? In the case of a luxury home that would be the high-end or ultra-high-end of the market. Ask the agent for data that supports the proposed market value of your property, including absorption rates and how long it could potentially take to sell your home. Tell the agent you want brutal honesty on where the market stands. If the agent is unable to give you an honest appraisal of the current market conditions in your price range, then they are probably not the agent for you.
3. What is their reach? Does your potential agent’s affiliations afford them access to networks of potential buyers and other agents, social media and public relations specialists? Does your agents brokerage specialize in luxury sales? Your agent must be able to put the information about your luxury property in the right hands, and that means identifying and activating potential buyers across the spectrum. Make sure they have a network of luxury agents and clients that could be potential buyers of your luxury property.
4. Agent’s Market Share: Ask your potential agent about their market share, ie how many homes they have sold in your price range. This is an interview, so ask to see the data on which homes they have sold recently, including prices and how long their past listings were on the market. You want an agent that has performed well with similar properties.
Bonus: Auction Knowledge: Would your prospective agent consider an auction as a first option? If you want to take control of the sales process and close the sale of your home in 60 days, then ask your agent about an auction. Your home could or could not be a good fit for a luxury real estate auction, but at the very least your agent should know about the process. And you can always request a free auction evaluation to see if it make sense for the sale of your luxury home.
Want more on selling luxury real estate? Download our Ultimate Guide to Selling Luxury Real Estate or leave us a comment with your thoughts on hiring a luxury real estate agent.