~ The "Local Agent" Whose Office is 3000 Miles Away ~
I'm not naming names here but I've got a story to share with other Realtors and with consumers who might be looking for local agents online. It's a story about an agent who is advertising his services to sellers and buyers in the Sonoma real estate market---even though his office is nearly 3000 miles away.
The story starts with an email from this New York agent asking if I would be interested in a referral. He said he had clients with a home to sell in Sonoma Valley. We discussed a referral fee and agreed, in email communications, on 25%. Several days later, I met with "his clients" at the property, which had belonged to a deceased family member. They said they'd never been to Sonoma Valley. They came from out-of-state to interview potential listing agents.
They told me they had found the referring agent on a well-known real estate website, which shall also remain unidentified here. They'd never met the agent. They said they contacted him because he was advertising himself as a Sonoma agent and they'd read his favorable client testimonials. They were absolutely stunned when I told them their "Sonoma agent's" office is located in New York. To quote one of the sellers, "So much for local expertise!"
After our meeting, I visited the real estate website where this agent is advertising. His name appears on a list of many Sonoma agents INCLUDING MINE. I wasn't surprised to see the names of several out-of-area agents claiming to be Sonoma experts but nearly all on the list work out of offices within 50 miles of here.
I checked with the California Department of Real Estate to see whether this New York agent is licensed to sell real estate in California, too. He is not.
This story is not over yet. I've called my broker for advice. I don't know yet if the sellers want to list with me but if they do, I frankly have no desire to pay a referral fee to a New York agent who is misrepresenting himself as a local real estate expert in Sonoma only to refer "his clients" to an agent who REALLY has the knowledge and expertise they are looking for.
It's not clear how this saga will end but it raises questions about misleading advertising on real estate websites and the practices by some real estate agents. Most importantly, it should serve as a big red flag to consumers.
The moral of the story for consumers is this: If you are searching for local agents online, make sure you dig deeper than their ad on a website. Call the agent, ask them detailed questions about their knowledge of that specific market. Ask about the types of properties they sell and how long they've practiced there---and ask for references from past clients. Heck! Ask them where they do their grocery shopping, get their hair cut, and which local restaurants they like best.
Just because they say they're local doesn't mean they are!
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