What is a Five Star Real Estate Agent, and Why does it Matter?
The Five Star Real Estate Agent Award is a privilege for any real estate broker/agent to be given for a variety of reasons. In order to learn more about it, let’s look at some of the more common questions. What is this program all about? What kind of research goes into it? What are the geographic locations and populations that are used? Are there independent evaluations that are considered? Do they consider reviews? How is the data collected? Let’s take a closer look at why this award matters and why you should be looking for an accomplished 10 year Five Star Real Estate Agent like myself who is able to back up their years of service in the industry as a real estate broker because of the qualifications, criteria, service, experience and professionalism.
Program Summary and Research Methodology
PROGRAM SUMMARY
Five Star Professional conducts market-specific research throughout the U.S. and Canada to identify service professionals who provide quality services to their clients. Now entering its seventeenth year, the Five Star Real Estate Agent program is the largest and most widely published real estate award program in North America, covering more than 45 major markets. Five Star Real Estate Agents for each market are listed at no cost at www.fivestarprofessional.com. Five Star award winners do not pay a fee to be included in the research or the final list of award recipients. The chart in Appendix A provides a summary of the Five Star Real Estate Agent award program.
RESEARCH OBJECTIVE
The research objective is to develop a list of real estate agents in a given market who satisfy objective criteria that are associated with providing quality services to clients. To receive the Five Star Real Estate Agent award, a real estate agent must satisfy five objective eligibility and evaluation criteria that are associated with real estate agents who provide quality services to their clients. The award process is conducted annually in each market. The final list of award recipients is not intended to be exhaustive.
RESEARCH METHODOLOGY
The following steps define the process used to ensure that the research objective is met:
Award Candidate Identification Process
The nomination and candidate selection process is designed to identify the broadest possible population of high-quality award candidates in order to ensure that eventual award winners have been drawn from a large and diverse pool. Award candidates are identified by one of three sources; consumer nominations, peer nominations, and a review of online consumer evaluations. Self-nominations are not accepted.
1. Define Research Geography and Relevant Population of Recent Homebuyers (all should have the below)
We define the geographic bounds of each market, with some research areas limited to cities and others covering larger regions that stretch beyond any one metro area. This is typically a list of counties but may also include a list of zip codes. Within this geography, Five Star Professional defines a sample of recent homebuyers and sellers to be surveyed.
2. Acquire Recent Homebuyer Lists
Once the geography and the population of recent homebuyers have been determined, the data is acquired. The list of recent homebuyers and sellers is provided by an outside data provider.
3. Solicit Recent Homebuyer Evaluations
Five Star Professional administers a survey. Clients of real estate agents may also submit evaluations online. Each respondent is asked to evaluate only real estate agents with whom they have worked and evaluate them based upon ten criteria: customer service, integrity, market knowledge, communication, negotiation, closing preparation, post-sale service, finds the right home, marketing of home, and overall satisfaction. Additionally, respondents are asked whether they would recommend the agent to a friend. This information is incorporated into a client scoring algorithm as a cross check against their average rating. Recent homebuyers may evaluate up to two real estate agents in order to measure the experience associated with the purchase and sale side of a move.
4. Solicit Industry Peer Evaluations
Five Star Professional administers a survey by email to industry peers and professionals (mortgage professionals, insurance professionals and real estate professionals). Each respondent is asked to evaluate real estate agents with whom they have worked or have close, intimate knowledge of their business practice. Respondents are asked to evaluate them based upon four criteria: industry expertise, customer service skills, market knowledge, and negotiation skills. Additionally, respondents are asked whether they would recommend the agent to a friend if they were unable to provide real estate services. Each industry peer may evaluate up to five real estate agents.
5. Review of Online Consumer Evaluations
Five Star Professional works with 3rd party data sources to analyze online consumer evaluations of professionals in a market area. A select group of professionals that have demonstrated favorable reviews will be identified as award candidates. All candidates will be reviewed by a panel of industry experts prior to being named an award recipient (see section on Blue Ribbon Panel review).
6. Verify Award Candidate License and Contact Information
Each award candidate is matched to a real estate license number. Once found on the state license/registration site, each real estate agent’s license status (active or non-active) and disciplinary history are noted. In order to be named a Five Star Real Estate Agent, an individual must hold a current real estate license and be in good standing. Five Star Professional employees identify contact information, using company and other directories.
7. Assign Evaluation Score
After the consumer and peer evaluation surveys and prequalified candidates are identified, all candidates are reviewed by a panel of industry peers – the Blue Ribbon Panel review. Each Blue Ribbon Panel review member is given a portion of the candidate list to review. Each candidate is reviewed based on their commitment to professional excellence in the industry and demonstration of superior client service. Blue Ribbon Panel review members are asked to remove candidates they feel are not worthy of award consideration. Safeguards are in place to ensure a single panel member is unable to remove a candidate from consideration. Once all evaluations and panel reviews are complete, the real estate agent’s license, regulatory history, and contact information are determined; each real estate agent is given an Evaluation Score. Both favorable and unfavorable evaluations are incorporated. Safeguards are in place to eliminate any bias including; self-nominating, “back-scratching,” and “stuffing the ballot.”
Selection Process
1. Collect Award Candidate Data
Five Star Professional provides each award candidate with instructions to submit information about themselves and their practice, including specific data related to eligibility and selection criteria.* They are required to certify the information they provide is accurate. Award candidates who satisfy the following five objective eligibility and evaluation criteria associated with providing quality services to their clients receive the Five Star Real Estate Agent award.
Evaluation Criteria
A. Qualifying evaluation rating
Eligibility Criteria
B. Actively licensed as a Real Estate salesperson
C. Actively employed as a licensed Real Estate salesperson for a minimum of five years
D. Favorable regulatory and complaint history review
E. Satisfies minimum production on a one year and three year basis (# of transactions and/or $ value are considered)
2. Evaluate Award Candidates
Once the award candidate data forms are collected, award candidates are evaluated based on the 5 eligibility and evaluation criteria. Five Star Professional finalizes the preliminary list of Five Star Real Estate Agents to be no more than 7% of the real estate agents in the area.
3. Award Winner Notification
Five Star Real Estate Agent award winners are notified of their inclusion on the final list of award winners. Those candidates who do not qualify are also notified accordingly.
AWARD LIST PUBLICATION
The contracting magazine publishes a special section, prepared by Five Star Professional, which describes the evaluation process and determination of award winners. Five Star Real Estate Agents are listed at fivestarprofessional.com.
Real Estate Agents do not pay a fee to be included in the research process or to be named a Five Star Real Estate Agent. In connection with publication of the article, real estate agents may elect to pay a fee to include certain profile information in the special section. For additional fees, Five Star Professional will provide real estate agents with other tools to further publicize being named a Five Star Real Estate Agent. A real estate agent’s purchase of a profile or other services does not influence Five Star Professional’s determination whether to include or exclude a particular real estate agent from any list of Five Star Real Estate Agents.
Appendix A – FIVE STAR REAL ESTATE Program Summary Chart
Research Objective
The research objective is to develop a list of real estate agents in a given market who satisfy objective evaluation and eligibility criteria that are associated with providing quality services to clients.
Award Requirements
To receive the Five Star Real Estate Agent award, a real estate agent must satisfy 5 objective evaluation eligibility criteria that are associated with real estate agents who provide quality services to their clients.
Sources of Award Candidates
Clients
Clients are defined as home buyers and sellers.
Peers
Industry peers include real estate, mortgage, and insurance professionals.
Online ratings and recommendations
The Five Star Professional research teams reviews relevant sources of online ratings and recommendations.
Regulatory Review
Regulatory reviews of reported complaints and disciplinary actions are conducted for each award candidate through the applicable state regulating agency.
Award Evaluation and Eligibility Criteria
Award candidates who move on in the process are asked to submit information related to 5 objective evaluation and eligibility criteria associated with providing quality services to clients. The following 5 criteria are used in determining the Five Star Real Estate Agent award winners:
Evaluation Criteria
1. Qualifying evaluation rating
Eligibility Criteria
2. Actively licensed as a Real Estate salesperson
3. Actively employed as a licensed Real Estate salesperson for a minimum of five years
4. Favorable regulatory and complaint history review
5. Satisfies minimum production on a one year and three year basis (# of transactions and/or $ value are considered)
The specific numeric values for some of the objective criteria are determined after the real estate agents have submitted their real estate agent-provided data forms. For example, Five Star Professional will determine the minimum requirement for production after the data forms have been received. This helps assure a final list that is appropriately sized for the market, and it also allows Five Star Professional to accommodate the variations within different regions of the country.
*Five Star Professional administers a survey through an unsolicited online form to recent home buyers and sellers. They are then asked to evaluate a real estate agent they have worked with on ten criteria: customer service, integrity, market knowledge, communication, negotiation, closing preparation, finds the right home, marketing of home, post-sale service and overall satisfaction. Additionally, respondents are asked whether they would recommend the agent to a friend. This information is incorporated into a scoring algorithm client satisfaction rating. Recent home buyers and sellers may evaluate up to two real estate agents (buy and sell side).
Award List Publication
Five Star Real Estate Agents for each market are listed at no cost on fivestarprofessional.com. Five Star award winners do not pay a fee to be included in the research or the final list of award recipients.
Five Star Professional identifies up-and-coming real estate agents in the industry for the Rising Star award. We ask Five Star Real Estate winners and other peers in the industry to nominate professionals that have been in the industry for less than 5 years and have shown a strong potential to excel. Additionally, we consider professionals have less than 5 years of experience that were brought forward for the Five Star Real Estate award by consumers. Each Rising Star award candidate is required to submit an Award Candidate Data Form to be considered for the award. Candidates must submit additional information about their practice and demonstrate noteworthy production for an early career professional. These up-and-coming real estate agents exhibit a strong commitment to client satisfaction and embody professional excellence.
As always, if you’re thinking of listing, or if you don’t own a home, condo or similar, and are ready to buy, let me know and I’ll help you take advantage of current market conditions, as well as the many resources and referrals I have from my many years in the industry. As a 10 year Five Star Real Estate Agent, knowing that no matter what is happening in the economy, and especially now, you need a professional real estate broker as your ally, and you’ll be in great hands with my team and me!
We’re excited to help you #moveforward,
Teresa Catania, Broker
Fred Real Estate Group
Bend Oregon | Central Oregon | Portland Oregon
503-740-3293
teresa@teresacatania.com
