Let $T$ the transpose map $T(A)=A^t$ for $A\in M(2,\mathbb{R})$. I want to find a basis such that $T$ is diagonal. I considered $T$ as a map from $R^4\rightarrow R^4$ where $T$ can be represented by $$ \begin{pmatrix} 1 & 0 & 0& 0\\0&0&0&1\\0&0&1&0\\0&1&0&0\end{pmatrix} $$ The characteristic polynomial is $(t-1)^3(t+1)$ and by finding basis for each of the two eigenspaces I got $\{(1,0,0,0),(0,0,1,0),(0,1,0,-1),(0,1,0,1)\}$.
Is this correct?
Presumably, you took as your basis of $M(2,\Bbb R)$ to be $$ \mathcal B = \left\{ \pmatrix{1&0\\0&0}, \pmatrix{0&1\\0&0}, \pmatrix{0&0\\0&1}, \pmatrix{0&0\\1&0} \right\} $$ or something to that effect. If so, then your representation of $T$ is correct, as is everything you've said about this transformation.