Selling Our Bay Area Home – Seeking Advice on Agent Selection & Pitfalls

[Bunty]

Hello Bogleheads,

We’re in the process of hiring a seller’s agent to sell our home in the Bay Area and would love to tap into the collective wisdom here. We’ve interviewed three agents, each with different commission structures and track records, but a few concerns have come up. We’re hoping to get some guidance on how best to protect ourselves and what to watch out for.

1. Ensuring All Offers Are Presented
One agent mentioned that a top-producing competitor in our area sometimes does not present all offers to the seller, possibly to secure dual agency (earning commission from both sides). We want to avoid missing out on any offers.
Question: Is there a standard clause or method in the listing agreement that guarantees all offers must be shown to us?
Question: Do agents give the seller direct access to the platform where offers are submitted, or do they just email offers?
Question: Aside from reputation, are there any red flags to watch out for to ensure full transparency?

2. Prep Work & Staging
Most agents we interviewed will handle staging, but we have to cover painting, upgrading recessed lights, replacing outlets/switches, and other prep tasks.
Question: Do agents typically provide honest assessments of these costs, or could they mark up services to profit?
Question: Would it be wiser to contract these services independently before involving the agent, or does that complicate the timeline and staging coordination?

3. Commission Structures & Agent Selection
We have three agents competing for our business:

Agent A: Second-highest in neighborhood sales. ~85 in the last year. Charges 1% seller commission, flexible on buyer’s agent commission. Estimates selling price same as Agent C.
Agent B: Fewer neighborhood listings (stronger on the buyer side). ~20 seller representations in the last year. Charges 1.5% seller commission, also flexible on buyer’s agent commission. Estimates selling price about 10% less than Agent C.
Agent C: Top agent in the area, known for record-high sales prices. ~200+ sales in the last year. Charges 2.5% seller commission and insists on 2.5% for the buyer’s agent. Reputation for dual agency.

Questions to the group:
Lower commission vs. proven track record of securing higher sales prices — how would you weigh these factors?
Dual agency from a top agent — is it worth the potential risks of missing out on other offers or losing transparency?

4. Other Pitfalls & Clauses
Are there any other contract clauses we should be scrutinizing (e.g., contract length, cancellation policies, dual agency)?
Anything else you wish you’d known before signing a listing agreement?
Any advice, personal experiences, or lessons learned would be greatly appreciated. We’re aiming to make an informed decision that ensures a smooth selling process and full transparency on all offers.

Thanks in advance!

[gotoparks]

Regarding fix-up costs, it is normal to spend money fixing up your home. An agent can give a ballpark on the costs, but they don't really know. Lots of agents use contractors to do this work. I have used them before and don't see a reason not to use their referrals in the future. The contractors give decent prices because they get referral business. You can hire your own contractors, but it doesn't seem you know much about it because you are asking the question.

I've only hired real estate agents by referral. In my area, a split 6% commission is/was normal. People will suggest cut-rate agents and companies, but I don't see too many of those signs around or get mailers from them.

[mchampse]

Agents are supposed to present all offers that they receive. If they don’t, they can lose their license.

In my part of the Bay Area, it’s a buyers market. Bidding wars are rare and homes sit on the market for a while. I’d offer buyers commission of 2.5% to make sure you are enticing buyers agents to present your property to their buyers.

I wouldn’t go with Agent B. Trust your gut between A and C.

[remomnyc]

If you go with agent A, you pay 1% + 2.5% buyer commission, 3.5%. If you go with agent C, you will pay 5%. Do you think agent C will get you 1.5% more in sales price? If you're in a buyer's market, be careful about pricing. Price too high and the listing gets stale. Did the agents tell you what price they'd list and why?

[Bunty]

On our side, homes are still getting multiple offers. Agent A and C are estimating the lower end of the seller price in the same range. Agent B is about 10% lower. Agent C came across as confident to break the selling price ceiling.

[bluebirdy]

Given your description of the 3 agents, for me it would come down to Agent A or C. B just doesn't do enough volume on the seller side.

Ultimately, I'd opt for Agent C because they likely have streamlined the process with so much volume, and it would probably be easier on me as the seller.

My experience with estimated painting and minor repair costs from agents has been hit-or-miss, but generally in the ballpark when using their recommended contractors.

[stan1]

One agent mentioned that a top-producing competitor in our area sometimes does not present all offers to the seller, possibly to secure dual agency (earning commission from both sides). We want to avoid missing out on any offers.

This is likely NOT true or is a misunderstanding on someone's part. I'd be suspicious of the agent who is telling you that and likely would not hire that agent.

Now, if the seller has agreed to only offer the house to one person that's a different issue. The situation could come up where an agent says "I have a buyer who would like to buy this house before it goes on the market and will give you an easy close for this price, are you interested?" That's the seller's choice but I can see how other agents or excluded buyers would feel slighted by it. It is not illegal or unethical to do this.

It is convenient to use the handy man and simple remodel contractor recommended by the agent, the person they work with will move fast and will be focused on getting the house ready for sale. You could also do it yourself. Your decision.

Also, the buyers agent commission is now paid by the buyer. The buyer's offer will identify whether they want to pay their agent in cash outside the sale, or include it in the purchase price so it is rolled into their mortgage. You would choose the best offer taking that into account. Best should mean price but you might accept less for an all cash offer or one that will close in 15 days instead of 30 days. If you prefer a rent back situation so you can live in the house for another 30-90 days then you might accept a lower offer that will accommodate that.

Remember the agent does not determine the sales price. The house will sell at a price that you the seller and a buyer agree to.

I would likely choose agent A.

If Agent C has 200 sales they have a large team of people working for them. You will mostly be working with their staff not them personally.

[SuzBanyan]

I keep hearing Jack Bogle’s voice in my head telling me that “fees matter.” You can control the commission you pay; you cannot as directly control the sales price. And at the end of the day, what matters is money in your pocket after paying all fees, costs and taxes, not setting a record with highest sales price.

[stan1]

On our side, homes are still getting multiple offers. Agent A and C are estimating the lower end of the seller price in the same range. Agent B is about 10% lower. Agent C came across as confident to break the selling price ceiling.

You want the listing price to attract multiple offers, then you can select the best one. The house will sell at a price you the seller and a buyer agree to not at the price an agent selects. The worst thing you can do is overprice it to begin with so that you don't get any offers. I'd agree with A and C of pricing it at the low end of the range backed up by comps from recent sales. B doesn't seem like they know what they are doing.

Do not reject dual agency out of hand. Entertain all offers and pick the best one. If you want a quick and easy sale without a lot of people walking through your house it sounds like you could get that if you want. But that's your decision. If you do that you should demand a premium for selling the house that way.

[hand]

1. Ensuring All Offers Are Presented
One agent mentioned that a top-producing competitor in our area sometimes does not present all offers to the seller, possibly to secure dual agency (earning commission from both sides). We want to avoid missing out on any offers.

It is unlikely (but not impossible) that a "top-producer" who is presumably in it for the long run, would risk their license by not fulfilling their obligation to present all offers. What is more likely, the agent you are talking with is engaging in sleazy or untrue marketing practices - a real red flag.

Typically realtors don't accept or present offers after an offer has been accepted - this is in the realtor's interest (why complicate a deal set to close and pay commission). This is not in your interest - it limits your negotiating ability for things like inspection items should a strong backup offer be on the horizon.

Worth reading the contract to understand when offers will no longer be presented to you and pushing back if you disagree.

[Bunty]

I keep hearing Jack Bogle’s voice in my head telling me that “fees matter.” You can control the commission you pay; you cannot as directly control the sales price. And at the end of the day, what matters is money in your pocket after paying all fees, costs and taxes, not setting a record with highest sales price.

I agree. That is what is making it difficult, since I believe that the agents can guide the updates and staging that may impact the price.

[Bunty]

Remember the agent does not determine the sales price. The house will sell at a price that you the seller and a buyer agree to.

Agree that agent does not determine the price. However, is it likely that Agent C has a pool of interested buyers who lost offers on other houses, therefore he knows the market better? Then he can recommend the top fixes that should be done and would pay off.

I should add the following details

Agent A - Does not know what will it cost to do the fixes? That will determined only after the agreement is in place.

Agent B - Is suggesting fixes that will cost about 1% of the prop value.

Agent C is suggesting minimal fixes that will cost about 1/2% of the prop value.

Thanks

[J295]

Hire an agent with integrity. If you are uncertain about their integrity, I wouldn’t do business with them.

I am as mindful as cost as anyone, but I’m more interested in value. I try not to be penny wise and pound foolish.

My guidelines come from my experience as professional who hired and observed numerous other professionals; and from observing my spouse’s activities as a real estate agent.

In my experience, there can be a wide variety in skill sets and operational processes between various professionals.

[Parkinglotracer]

Do you have a good idea of what it is worth? Have you considered selling it by owner? I have sold two houses in the last 4 years in a smaller market by putting them on Zillow fsbo. The market has been hot in upstate New York. Limited inventory.

[JustGotScammed]

Sellers' agents want a quick sale. No way they wouldn't advise of offer. The dual agency thing is a red herring - they still rep the buyer, and will collect a fee in that separate transaction.

[stan1]

Remember the agent does not determine the sales price. The house will sell at a price that you the seller and a buyer agree to.

Agree that agent does not determine the price. However, is it likely that Agent C has a pool of interested buyers who lost offers on other houses, therefore he knows the market better? Then he can recommend the top fixes that should be done and would pay off.

I should add the following details

Agent A - Does not know what will it cost to do the fixes? That will determined only after the agreement is in place.

Agent B - Is suggesting fixes that will cost about 1% of the prop value.

Agent C is suggesting minimal fixes that will cost about 1/2% of the prop value.

Thanks

Sure, put another way:
A is saying list as is and wait for the inspection report, only fix what is agreed upon with the buyer. They may ask for nothing or you demand that as part of the negotiation process.
B is saying fix it up before listing. I would not do that if you expect multiple offers, you won't get any of it back.
C is saying just do some basics.

Yet again B is inexperienced, and you should not use them. If you are going to get multiple offers do not spend $10-20K fixing it up before you list it. A saying wait for the inspection report is valid, C saying fix up some minor things so they don't hit the inspection report is valid too.

You know the condition of the house, is it fully modernized, is it dated, is it a tear down? If there are known major issues like the heater doesn't work or the roof is old I would disclose that up front and have the buyers price that into their offers so it doesn't become a negotiation point.

[stan1]

In my experience, there can be a wide variety in skill sets and operational processes between various professionals.

I agree, as a professional who has supervised, hired, fired, and effectively done business with other professionals for decades I know it is not a crapshoot on what you get. Talk to the person. Ask questions. You'll either like the answers or you wont. But any manager has made a hiring mistake in our career where we've had to fire someone or deal with them in another way.

[Bunty]

A is saying to list as is and wait for the inspection report, only fix what is agreed upon with the buyer. They may ask for nothing or you demand that as part of the negotiation process.
B is saying to fix it up before listing. I would not do that if you expect multiple offers, you won't get any of it back.
C is saying just do some basics.

This a new house - built about 15 years back. Each of them agreed that the interior of the house should be repainted - with neutral colors. Anything that comes out of the inspection will be managed separately.

Agent A - After the agreement, their stager will suggest what should be done such as repainting the kitchen cabinets, paint the driveway and replacing yellowing light fixtures.

Agent B - Repaint the kitchen cabinets (from current wood stain) to more modern neutral color, replacing yellowing recessed light trims, etc. to make the house look more 5 years old rather than 15 years old.

Agent C - Just paint the house and that is it, unless something major comes from the inspection.

[ETK517]

Most home buyers today shop online, which makes the effective presentation of your listing the single most important factor in achieving a fast sale for a good price - photos, staging, price (especially price per square foot and price vs estimated value), and listing text. I would look at a couple dozen of each agent's listings.

I agree that Agent A's story about another agent not presenting offers to earn double commission is more likely badmouthing another agent to try to get business than truthful. As others point out, agents are required to present all offers, so this would be a major issue.

[mchampse]

A is saying to list as is and wait for the inspection report, only fix what is agreed upon with the buyer. They may ask for nothing or you demand that as part of the negotiation process.
B is saying to fix it up before listing. I would not do that if you expect multiple offers, you won't get any of it back.
C is saying just do some basics.

This a new house - built about 15 years back. Each of them agreed that the interior of the house should be repainted - with neutral colors. Anything that comes out of the inspection will be managed separately.

Agent A - After the agreement, their stager will suggest what should be done such as repainting the kitchen cabinets, paint the driveway and replacing yellowing light fixtures.

Agent B - Repaint the kitchen cabinets (from current wood stain) to more modern neutral color, replacing yellowing recessed light trims, etc. to make the house look more 5 years old rather than 15 years old.

Agent C - Just paint the house and that is it, unless something major comes from the inspection.

Look at listings in your area and see what sells quickly. There are gut remodels in my area that I think look tacky, but they sell quickly for good prices. You don’t have to live in it.

[boomer_techie]

Agent B - Repaint the kitchen cabinets (from current wood stain) to more modern neutral color, replacing yellowing recessed light trims, etc. to make the house look more 5 years old rather than 15 years old.

Painted cabinets seem to be the fashion today. All the house flip shows are painting every cabinet in every flip. However, to me, it screams "Cheap!" As in, being too cheap to buy real wood cabinets, so the only finish option is paint.