Why A Referral Isn’t Always Enough

When buying or selling a home, it’s common to rely on referrals from friends or family when choosing a real estate agent. After all, if someone you trust had a great experience, why not follow their lead? But while referrals can be a helpful starting point, they shouldn’t be the only factor in your decision. 

Real estate transactions are complex, high-stakes, and deeply personal. What worked well for someone else may not align with your goals, your communication style, or the specific dynamics of your deal. 

Here’s why it’s worth taking a closer look—and how involving a lawyer early in the process can make a big difference. 

 

 1. Every Transaction Is Unique 

Your friend may have sold a suburban home in a seller’s market. You might be buying a condo in a competitive urban area. The skills, strategies, and even personality traits that made an agent a great fit for them may not translate to your situation. 

 2. Referrals Can Create Pressure 

When a friend or family member recommends an agent, there’s often an unspoken expectation to follow through. That pressure can make it harder to ask tough questions, negotiate terms, or walk away if the fit isn’t right. 

 3. Representation Agreements Matter 

Many buyers and sellers don’t realize that signing with a real estate agent involves a binding contract. These agreements can include exclusivity clauses, commission structures, and other terms that significantly impact your flexibility and financial outcome. 

 4. A Lawyer Can Help You Negotiate Agent Terms 

Before you commit to working with any agent—referred or not—it’s wise to have a lawyer review and, if necessary, negotiate the representation agreement. A lawyer can: 

 · Clarify your rights and obligations under the contract 

 · Negotiate commission rates or exclusivity terms 

 · Ensure the agreement aligns with your goals and timeline 

 · Act as a third party to help preserve personal relationships if the agent is a friend or family referral 

 5. Protecting Your Interests from the Start 

Hiring a lawyer at the outset of your real estate journey isn’t just about reviewing paperwork—it’s about setting the tone for a transaction that’s informed, intentional, and in your best interest. It ensures that your agent is the right fit for you, not just someone else.

 

Bottom Line

Referrals are valuable, but they’re not a substitute for due diligence. Before you sign with a real estate agent—especially one recommended by someone close to you—consider consulting a lawyer. 

It’s a small step that can make a big difference in protecting your investment and your peace of mind.