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Use Local Agent
by Don Dunning, ABR, CRB, CRS
DRE Lic. #00768985
Originally appeared in Hills Publications, February 16, 1996

In buying or selling residential real estate, using an agent who works, sells and, preferably, lives in the area is an imperative. Interestingly, some people enlist the services of out-of-area agents, usually with negative consequences.

Not long ago, I met a nice young couple at an open house. We chatted about where and how long they had been shopping for a home. Although they were looking in Oakland, they had been "working" with an agent from another area for about three months. I asked how they were going about their search. They explained that they marked off listed homes in the Sunday newspaper and, then, drove around. 

It was apparent their search was being done on their own. No one was pointing out to them the pros and cons or the pricing of various neighborhoods, nor discussing schools, shopping areas, resale values, earthquake hazard zones and other important considerations. They seemed less than enthusiastic about their agent, but were not willing to do something about it. Their reluctance to insist on quality service is not uncommon.

One Sunday last summer, I was driving away from my open house when I saw an agent retrieving an open house sign for a home in the neighborhood. I had spotted it in the Multiple Listing Service (MLS) computer, but there had been no "broker's open" tour to expose the property to Realtors. 

The listing price seemed high for the street and size of the home. As I had not yet seen it, I stopped to ask the agent about the house. He was a relatively new agent from a totally different market located quite a distance away. He said he had "meant to" have a broker's open and probably would do so in the next few weeks. That type of casual approach is not what gets homes sold, especially in our difficult market. 

He was unaware of the local publication where our broker's opens are publicized and I explained the process. The broker's tour did not take place until four or five weeks later. Not surprisingly, it was not advertised in the publication I had told him about. 

More than seven months later, the property is still overpriced and has not sold. Considering that the seller has extended the listing time period more than once, he must not realize how he is being harmed by using an agent who fails to understand how our local market functions.

Why work with someone who does not know the territory when you can choose someone who does? Some may think having a real estate license means an agent has all the knowledge necessary to sell in any location. Although licensed California agents may sell anywhere in the state, the question is, should they? What kind of service are they giving when they are unfamiliar with the particular market? Can they give you the service you are entitled to? I suggest you work with an expert, not a generalist.

There are exceptions. Some agents are capable of doing an effective job in more than one locale. Make sure, however, to ask where the agent's experience has been, whether he or she is a full-time professional and for how long. There are some Realtors, for example, who routinely work both the Berkeley and Oakland markets. 

Even though I specialize in Oakland, I have sold numerous properties from Oakland to El Cerrito. I am comfortable in that corridor because I spent many years working in El Cerrito as well as Oakland and points in between. I do not, however, work with clients in areas where I lack first-hand knowledge. Rather, I refer them to agents who are specialists in those areas.

This newspaper, a Hills Publication, covers local issues as only a local newspaper can. In the same way, by living and working in the area, a local agent will have a far better pulse on the community than one who lives and works in another location. 

Each city has its own idiosyncrasies, e.g., Berkeley has its Residential Energy Conservation Ordinance (RECO) and rent control; Piedmont has a sidewalk ordinance; El Cerrito has the Blakemont slide area; Oakland has its "3-R" (Report of Residential Building Record) reports. To fully protect a client, an agent must be aware of these, and more.

One of the keys to being an effective real estate agent is knowing other local agents. They can help a Realtor sell his or her listing or assist in finding property for a buyer. I routinely ask other real estate professionals for their opinion on selling price before I take a listing. This networking is vital. Non-local agents are totally out of the loop. This is why I refer clients who are outside my circle of expertise. I recently referred a buyer to an Alameda agent for just this reason. Geographically, it is not far away — experientially, it is. Similarly, last week I received a buyer referral from a veteran Walnut Creek real estate professional.

Using a local salesperson also means using local people on your agent's "team," i.e., title companies, lenders, home inspectors, pest control companies, roofers, electricians, plumbers, etc. These individuals understand local rules and regulations. Those who work with me also know something else that is critical: they are on my team to support my clients. If there is a problem, I expect them to resolve it to the client's satisfaction. This is the time my client and I need them most. If they do the right thing and act with integrity, they remain as valued team members. If not, I am obligated to replace them with someone who will put my clients first. 

People tend not to think about these things until after there is an upset — usually unexpected cash out-of-pocket. Have you ever tried to resolve a disagreement from a long distance? It just compounds the situation. Local people want and need repeat business. They get that by standing behind their work and being accountable if they make an error. Agents from other markets do not have these local contacts nor the clout that comes from long-term relationships.

In today's tough real estate climate, some agents will not hesitate to work out of their area of competence. If you are the client, this will very likely be to your detriment. You are entitled to the best representation. 

Most highly successful professionals work and specialize in a relatively limited geographical area. Ask the right questions and choose an experienced agent who is familiar with the community you are interested in and who can be your guide through the local real estate maze.

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Don Dunning has been a full-time, licensed real estate agent since 1979 and a broker since 1982 and is past president of the Oakland Association of Realtors. He provides sales and hourly listing or consulting services with Wells & Bennett Realtors in Oakland and is an expert witness in real estate matters. Call him at (510) 485-7239, or e-mail him at , to put his knowledge and experience to work for you.

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