Step 1

It’s probably not revelatory that many buyers start their home search online, even before they decide on an agent. As NAR revealed in its buyer profile, 42 percent of recent buyers’ first step in the homebuying process was checking out properties online, compared with only 14 percent whose first step was to contact an agent; that handful of buyers were likely referred.

“I actually found my lender first through a referral,” said Buyer A, a Millennial. “He then referred me to a traditional, full-service agent.”

Across all age groups, 40 percent of buyers found their agent through a friend, neighbor or relative – though, among Millennials that share jumps to half – which is a testament to the importance of referrals. Our second buyer, B, also younger, knew her agent from a past job.

Of course, as NAR’s profile explains, the majority of buyers entering the market start out online, which is exactly where Buyer C found her agent.

“We started looking at properties on Trulia and requested extra information on a couple,” she said.

The site was an obvious route for Buyer C, who was relocating from Europe with her husband. They knew very little about the process, and when an agent invited them for an “introductory meeting,” it was something of a godsend.

“Both my husband and I are Dutch, and this was our first time buying a house. The buying process is different here, we weren’t aware of the different steps and the order in which they would take place,” C said. “Our agent explained the process of buying a property and how he could help us in that process.”

Buyer A also met with his agent before deciding whether it was the right fit and he was better for it, as the interview revealed the agent’s brokerage offered a bigger rebate than another he was looking into. At the time, cost was this buyer’s No. 1 concern, so the difference weighed heavily in his decision.