In terms of stress, moving house is up there with bereavement and divorce – and it is likely you will go through it more than once.
The right estate agent can make selling your home a relative breeze, but the wrong one can cause problems, drag the process out and get you a lower sale price into the bargain.
Most people will tell you to speak with more than one agent before making a decision. But the more you invite to tender, the harder that decision can become.
So do you choose an estate agent based on first impressions, or word of mouth, or whose office is closest, or who appears to have the greater market dominance in your area? Or is it sometimes just a simple question of who charges the lowest fees?
Choose carefully: If you are selling your biggest asset you should ensure you choose your agent carefully, says Nathan Emerson of Propertymark
To explain more, we spoke to Henry Pryor, a professional buying agent, Nathan Emerson, chief executive of Propertymark, and Paula Higgins, founder and chief executive of the HomeOwners Alliance.
Why does a good estate agent matter?
Nathan Emerson replies: If you are selling your biggest asset you should ensure you choose your agent carefully.
A good agent knows their area. They will be professional in their approach and knowledgeable about their local market, as well as the wider market conditions and influencing factors.
They will understand buyer behaviour and how to highlight the best features of your home. They will also be honest with you about what to expect, and more importantly have the skills to deliver.
Agents also really earn their keep after the sale is agreed. They must negotiate not only price, but they will work as a conduit between yourself, multiple conveyancers, finance professionals, surveyors, contractors and others involved in the chain.
An agent who is an experienced communicator will take the stress out of the process. They can make the difference between keeping the chain together if issues arise or letting it fall apart.
A poorer agent will not necessarily have the knowledge needed to give you the right advice, they will not communicate with you and give you their time, and you may feel you cannot trust them.
Paula Higgins adds: Sellers must remember that the agent is working for them. The right agent will sell your home quickly, for the best price and help you navigate your sale, which can be stressful and uncertain.
That is why shopping around to find the best estate agent to sell your house is critical. It is important to speak to a few agents and ask them the same questions so you can compare.
How many agents should you invite to value your home?
Nathan Emerson replies: Getting three or even four valuations on your home will ensure you get the best comparison between agents and their suggestions.
Paula Higgins replies: Once you have a list of possible agents you will want to whittle it down further to a shortlist of at least three.
You can then invite them round to give you a valuation and discuss how they work.
How do you then choose between them?
Paula Higgins replies: Compare them based on the facts, like how quickly they sell properties and how close they come to achieving the asking price.
Make sure the estate agent has experience of selling property like yours by checking in their shop window, on their website or the online property portals like Rightmove.
Get a feel for the firm. Look at the properties that the agent sells on Zoopla and Rightmove. Are the pictures well taken and the descriptions clear and relevant?
Have they got a lot of properties on their books? Do they price them right or are lots of them marked ‘reduced’?
Shop around: It’s important to speak to a few agents and ask them the same questions so you can compare, says Paula Higgins of the HomeOwners Alliance
Henry Pryor replies: Quiz the three estate agents you invite to pitch. Ask them how they would market your home, who they would expect will be interested, where they would promote it and what similar properties they have sold.
Speak to people who have used their services. Knock on doors that have their boards outside and ask what they thought of the service. Post on social media if necessary.
Nathan Emerson adds: Remember – it is not all about fees! Choosing between agents should really be about who you think is the best communicator and the best fit for you.
The marketing of your home on the internet is only a small part of what an agent truly does and the working relationship you enjoy with a true professional can make a considerable difference to the experience and the result.
Selecting an agent who is dedicated to professional standards is a must. It is a little-known fact that anyone can become an agent, there is no qualification needed and they are unregulated, which can potentially cause issues if things go wrong.
An agent who is a member of a professional body like Propertymark has to meet certain criteria to be accepted.
They are audited regularly and have to complete a certain amount of professional training every year.
Shouldn’t you go with the agent who promises the highest selling price?
Nathan Emerson replies: A good agent will give you a genuinely realistic price that will help you get the best price in the market.
Be wary of being tempted by a high price to win the instruction that may mean you need to face price reductions in future. This can also mean you end up selling for less money than you could have done if you had selected the correct price in the first instance.
The best price is very often achieved in the first four weeks of marketing, so getting it right first time will secure a nice quick sale.
Henry Pryor adds: Sadly some agents play a numbers game and take on as many instructions as possible hoping that one in three sells.
Always ask the agent to justify their valuation and remember, just like other areas of life, we are all susceptible to flattery.
Some agents will buy your business with a high expectation and tie you into a long sole agency agreement, then share your disappointment on the eventual price they achieve while they bank your fee.
Should you negotiate over the fee?
Paula Higgins replies: When you want to find the best estate agent you should negotiate with them on the fee and aim to get a price based on the agreed sale value for a sole agency contract.
For higher value properties – such as over £500,000 – agents are often prepared to accept even lower fees, and perhaps go below 1.2 per cent.
But when you want to find the best estate agent do not go on fee alone. Top performing agents that achieve the asking price can be well worth their commission fee.
For example, if a property is listed for £300,000 and the agent achieves this asking price with a of 1.42 per cent, you will pay commission of approximately £4,250.
But if another agent charges a lower fee than this, or even no fee at all, and achieves 98 per cent of the asking price, this has cost you £6,000 in a lower achieved sale price. In this instance, you are at least £1,750 worse off with the cheaper agent.
The cut: The average estate agent fee in 2023 is 1.42 per cent of the final selling price, according to The HomeOwners Alliance
Henry Pryor adds: You can get your home sold for £99, but I strongly advise you not to be persuaded by a low fee.
In the current market most agents will do the job for 1 per cent. But I would want my property to be at the top of their pile every morning and then pay 1.5 per cent if they do sell it.
UK estate agents are the best value in the world. Almost all will do all the work for free and only charge you if they find a buyer.
What other questions should you ask?
Paula Higgins replies: Besides the valuation, it is important to ask how much they will charge and how they intend to market the property.
Have they sold any similar properties recently? If so, they could very well have buyers on their books who are still looking.
Check the estate agent will accompany potential buyers when you are out, or all the time if you want them to take the lead. If there is a particular agent you like, ask if it will be them coming personally to viewings.
Due diligence: Knock on doors that have their boards outside and ask what they thought of the service, says buying agent, Henry Pryor
Take a good read of the contract and query anything you do not understand. Be wary of long tie-in periods and hidden fees.
You do not want to be locked into using an estate agent that is not getting you viewings for any longer than you have to.
Most estate agents will push for sole agency, but there are advantages of using multiple agents to generate competition. However, you will likely pay a higher fee.
Should you use multiple agents to sell your home?
Henry Pryor replies: Unless you have a very particular property, instruct one agent rather than more and offer them a maximum six week sole agency.
They will ask for more but be firm. An agent who is confident they can sell your home does not need more.
Paula Higgins adds: Home sellers usually select just one estate agent. This can be simpler to manage and is usually cheaper, as agents will charge more for multiple agency arrangements.
Using one estate agent also avoids the risk of the seller paying double commission.
Beware of contract traps
Paula Higgins replies: Do not give them ‘sole selling rights.’ It means that even if you find a buyer yourself, you still have to pay the agent their fee.
If you do give away sole selling rights to an agent, it must only be for a very limited period.
Beware sole selling rights: It means that even if you find a buyer yourself, you still have to pay the agent their fee, says Paula Higgins
Are you paying commission when they sell the property, or if they find a ‘ready, willing and able purchaser?’
The latter would mean you still have to pay the agent a fee even if the sale falls through because you have had to pull out – such as if you lost your job. You should only use an agent who expects a fee as a result of exchange of contracts.
Does the agreement have a time limit? This allows you to change agent if you are not happy.
A normal period is 12 weeks, but can be as little as four. Agents might not like it, but try to get a no-penalties notice period of two weeks.
