Why would you think that? I cover a 50-60 mile radius around Charlotte in two states and half a dozen counties.

You limitation is your area of specialty-at some point, you no longer know enough about an area to be a benefit to the client. But, until you get to that distance" you're well within your fiduciary duty to serve clients. If you are out of your depths, it's time to refer it to the local expert and put the client first.

I work a 35 mile radius and refer the rest to my team members who live and work in the areas outside my geographic specialty and expertise.

I say yes, others you will find out do not agree. I always look at it like how much territory can you really know?

Then they say ... describe 'really know'? Say as an example, the entire northern 1/2 of Illinois is too much territory.

How big an area? What is the density? How much opportunity do you want?

Opportunity knows no bounds....Richfuscious

I don't farm an area, and work buyers in 5 counties. I can speak intelligently about  the RE in all the counties...yes, it takes effort.  When my client makes an offer, I usually know more than the listing agent, because I know how to dig for imformation.

I am also a registered appraiser, so figuring out property value is not difficult.  I had a client pay me to go out of state to evaluate some land they were planning on buying.  I went there, did the research and told them not to buy...

I think that if you are working buyers you need to become knowledgable about the surrounding areas, if you don't, you are doing buyers a diservice.

I find that agents that farm an area know "0" about what else is out there, so they talk the buyer into thinking that their farm area is the best.  Usually it is not, and there are better options for buyers elsewhere. 

Eve

I cover a larger area for Sellers than I do for Buyers. I will list anything in Fairfield County, Litchfield County or New Haven County. That can be as much as an hours drive from me. For buyers I stick with my primary Connecticut towns- Danbury, Bethel, Brookfield, New Fairfield, Sherman, New Milford, Ridgefield & Newtown. 

We work in Miami, Broward and Palm Beach counties in Florida. 

But if I have somebody for North Florida - I will fly, drive - you name it. There is no limit or distance when you have a customer. 

Kathryn. 

Because you will know the area and the market trends. 

By the way, some agent from North Florida sometimes bring the customers to Miami. It is possible to. 

Good luck.

I cover a larger territory for sellers. Buyers, we have 12 counties in the two states in our 'territory' and I don't think we can serve our buyers well by trying to cover the entire area.

Some are 1.5 hours from me and I don't think we can serve our clients well that far away... I'm not doing that. Others will though, just to make a buck!

You, as the local expert, should know best.

Depends on the area you live in.  Denver has 6 counties that are all with in 45 minutes so we can cover lots but for farming sooner be close to my home to know more people.

I could sell anywhere in the state of FL but that's not realistic for me. It's a 4hr drive(each way) to Miami and I don't even know the area. However, I will go anywhere in Central FL, some counties are an hour away from me. 

We go where our clients want us to go. Mostly, they want us to go nearby but that are some exceptions. Of course, referrals also make sense when the distance does not.

I just set a max drive time of 2 hours usually.  I'll go farther sometimes. It's a 20 minute drive for me to surrounding towns of Leesburg and Purcellville, so a hour drive in this area is the norm.

Yes, EARTH! When you think about it that's pretty centralized considering the size of the universe Kathryn Messina .

I say NO. But it does depend. Like here in NH we have many small towns surrounding my city. I can be in 10 plus town in less than 15 minutes. I make sure i know the area, know the market, know teh available listings and i thrive

It the house is unique and I really like the sellers, yes I go a good distance.

With GPS, internet there is no reason to stick around in your neighborhood. In my small rural community threre are over 3000 agents competng for perhaps 50 listings. Over 50 mile distance, I tell people I do not know the schools that well. Only take listings. 

It depends on the size of the market, and what you know or can learn so you can benefit buyers and sellers.

I specialize in Pinecrest, Florida; this is my niche.  It is a 7 1/2  square mile area within Miami-Dade county; average sale price $1M.  I am very well know in my area and not much happens in Pinecrest that I don't know about.  Pinecrest sellers have told me that they appreciate I specialize in their area.

I spend very little time on the road; it works for me.  So yes, I do believe in niche farming.

There are many variables Kathryn Messina - what a great question!  Are you in a large city or are there many small towns around you?  We work a niche that is in three different areas, all close by, though not in the same town.  If we were to work in the large city we are near, it has many areas and different types of homes, and different neighborhoods.  There is a lot to learn, and it's fascinating!  Good Luck at deciding what area(s) you are interested in, and sometimes you do not know immediately.

Up to 2 hours away, it just my market. 

we are listing agents, and I've always focused on local listings.... with the very thin inventory, we are NOW far reaching.... and we have a new client who feeds us business throughout Massachusetts... we go... we list and sell them.... we've done 10 in the past 2 months...list, pending and starting our closings this week.... YES, FAR REACHING....

No shoulds in real estate.  It depends on your marketplace...A

It boils down to competency.

 Depends on the area you are focusing. I think it is seriously limiting your potential and reach. Maybe when you are in the twilight of your career, but get what you can, while you can.

I am a fan of niche.  I work in one county. That is my choice.  Can I sell anywhere in the state - Yes.  I choose not to for many reasons.  

Do what is best to build your business. 

I guess it depends.   I service areas North of Dallas but it is a big area.

You should do several of the those - the more the merrier ;)

No.  See the detailed answer from Eve of Mike & Eve Alexander 

You mean a 'farm' as we say in the biz?

I don't, Kathryn Messina. 

No

You go where business takes you.

At some point 'windshield' time will become to expensive and centralizing may prove beneficial.

Ahh, but some would argue, "How can you be and EXPERT in far-flung areas?"

ANSWER: Knowing what the buyer/seller REALLY wants NOT what agents have been trained to 'sell' them.

Stick to the areas where you are qualified.

Whatever you do, you should be an expert.  If you can be an expert in more than one area, that broadens your opportunities.

Depends on a persons location.  How big is the centralized area?

Mine is about a 60 mile radius.  Anything less than that I may not survive

Not in the internet age.

You should have a laser focus as to where you attempt to BRAND your Real Estate ID to (rather than scatter it all over )

Why?

I work the Denver metro area, and is quite large - about an 1.5 from one end to the other.

Do what is comfortable for you.  My "central area" is about a 2 hour drive from my house to the east and a 45 mintue drive to the west.