When creating a comprehensive list of everything a listing agent does for their client, it easily amounts to more than 150 items. However, these tasks can generally be grouped into a few key categories that are most noticeable to clients: preparing the listing, negotiating offers, managing home inspections and appraisals, and facilitating the closing process. Each category involves significant attention to detail to ensure a smooth transaction for both the buyer and the seller.
Before signing a listing agreement with a seller, a listing agent conducts thorough research on the property to be listed. This research includes analyzing recent sales of similar properties and determining the days on the market to establish an appropriate market price. The agent also verifies essential property information, such as ownership, zoning, and any overlays or subdivision covenants and restrictions (C&Rs) that might affect property use.
Once the seller and the listing agent have signed the listing agreement, the agent goes to work preparing the listing and initiating marketing efforts. This typically involves arranging for a photographer to take photos and videos and potentially staging the home. The agent then enters the listing data into the MLS system, uploading photos and associated documents, such as a plat map, seller’s disclosure document, utility history, and C&Rs. This enables the property to be marketed to other REALTORS in the system and listed on relevant websites.
After marketing the property and receiving one or more offers, the listing agent collaborates with the seller to evaluate these offers. They consider factors such as the purchase price, proposed closing timeline, contingencies, and the buyer’s financial qualifications. Usually, a counteroffer is prepared in response to one of the offers, allowing negotiation to take place back and forth until both parties reach a final agreement.
Once an offer is accepted, the listing agent sends the signed contract to the buyer’s agent and the title company, then moves onto the inspection and appraisal stage of the transaction. Although transactions without appraisals or inspections do occur, they are quite rare.
This phase can be particularly stressful and may lead to further contract negotiations. If an appraisal comes in below the agreed purchase price, the listing agent will communicate with the appraiser to discuss the comparable properties that influenced the appraisal amount. They may also need to explore options for the seller if the appraisal falls short.
Inspections work similarly; when the listing agent receives the inspection report outlining the buyer’s requested remediation items, they negotiate with the buyer’s agent to agree on which issues will be addressed and who will cover the costs. Additionally, the listing agent can assist the seller in finding contractors to complete any repairs that the seller agrees to address during these negotiations.
Once all contingencies have been resolved and any appraisal and inspection concerns have been completed, the listing agent prepares their client for closing with the title company. The listing agent reviews the closing documents and the final settlement statement, which details the transaction specifics and indicates how much the seller will net from the sale.
Throughout this process, listing agents must remain “on call” because they can receive essential communications at any time of day, whether it be an incoming offer or updates from home inspectors and appraisers. They must be ready to respond quickly to address any issues that arise during the transaction to ensure everything is ready for the closing day for the seller and the buyer.
