Home Buying & Selling Do You Need an ‘Investor-Friendly’ Agent to Buy an Investment Property?

Do You Need an ‘Investor-Friendly’ Agent to Buy an Investment Property?

by admin
0 comment

“I’m looking Investor-friendly real estate agent.. Have you heard this statement before? Exchange meeting, forumOr in a Facebook group?

This is one of the most common things new investors are looking for when moving around. Find deals..

Still, I’ve never seen the definition of an investor-friendly agent!Me think What everyone means when looking for an IFA (this is my handy new acronym for the rest of this article) is the right agent to help them reach their goals. Not everyone!

One of the main assumptions investors make is that they know Investment real estate (and perhaps the investor himself). Why is the problem?

Who are the investor-friendly agents?

In my humble opinion, based on my experience, this is what I am think Investors mean the following when describing the perfect IFA:

Ann Investor-friendly agent Is a licensed real estate expert with investment real estate experience, working with investors and knowledge of the local market. The agent is also an investor. Help them find a deal, Analyze themMake an offer and sell the property as needed.

This seems reasonable enough, doesn’t it? Sounds like a dream agent for every investor. But let’s revisit the question “Why do we need this type of agent?”

Clarify your goals

When it comes to real estate investment, many people have a hard time choosing a niche or deciding how to buy the first or second real estate. I always go back to “What is your goal?”

Many (and sometimes excuses) of these other questions disappear if you have a well-defined goal and a plan to reach it.

When looking for an IFA, start with your goals. What is your plan to get where you go? How do agents fit?

If you are looking for a purchase House, cash flow rental In certain markets, this helps inform you of the type of agent you need. If you are looking for a home to turn over, you may actually need another IFA skill.

Don’t ask the wrong question

Many consumers When Investors make the mistake of going with the first agent who showed them their home. This can be an indicator of hustle and bustle, but it can also mean negative things (such as despair).

Instead, it’s important to interview the agent first. Let’s dig into some of the questions that investors think are relevant, but in reality they are the wrong questions.

Don’t ask: Are you an investor?

Again, the assumption that investors make is that they need an agent who is also an investor. Why is that so?

Personally, I think they no Investor. I don’t want to compete with agents in the same property. I’ve heard cases where agents choose the best deals (usually before they hit the market) and drive investor clients into unfavorable MLS deals.

Wouldn’t it be better for you if your agents gave you those sweet off-market deals instead of keeping them?

Related: 7 Signs of Bad Realtors

Don’t ask: How long have you been in the business?

I think this is pretty irrelevant. Many believe that they need to go with an experienced agent. This can be useful, but let’s look at it from a broader perspective.

If the agents are “experienced”, they probably have many repeaters and many referral businesses, are very busy, and are probably doing well financially. Are they really going to work hard to find that terribly distressed property that you only pay them a $ 1,500 fee?

I would rather work with a new, hungry agent who is trying to build their business. They are likely to have time to help you and they want to go one step further and win your future business.

Although they may not be very experienced, these new agents tend to rely heavily on management brokers for help, advice, and resources. It’s like getting two agents for one price.

Don’t ask: Can you help me analyze the transaction?

Don’t be lazy. Your agent should not analyze transactions for you. You need to run all your numbers.

Of course, you can rely on them for specific information such as local rent and comps. But you can also find them yourself using Rentometer, Craigslist, Zillow and more.

Don’t ask: Are you trading for me now?

Even if they do, why do they offer you it if you haven’t proved it? yourself As still close. The agent will not be paid until it closes, so the agent will walk cautiously until you can prove that you are a serious buyer. Align your funding, know your standards both inside and outside, and don’t waste their time.


Find a local agent now

The Bigger Pockets Agent Finder You can easily connect with realtors who know the local market and can evaluate real estate from the investor’s point of view. The mechanism is as follows.

  1. Choose your market
  2. Share investment standards
  3. Matching with real estate agents

Ask these questions instead

Here are some questions to keep in mind when interviewing IFA.

Ask: How do you find a client’s transaction?

Agent that’s all I’m going to set up an MLS feed based on your criteria. Understand it from the beginning. Bonus points if they can earn off-market assets for you through their network or other marketing they do.

Ask a question: How do you communicate?

This is important and can ruin a relationship if it doesn’t work. Communication styles vary from person to person. For example, when I was an agent, I noticed that clients tend to prioritize one form of communication over another. Some people like the phone, others like the email. Many people just want to send a text.

When I noticed that pattern, I asked the client, “What is your preferred method of communication?” Before taking it seriously.

If circumstances permit, I will always do my best to respect their choices. When it comes to communication, make sure you and your agent are on the same page. how You communicate When how often..

Related: 3 Tips for Finding a Real Estate Agent (For Investors!)

Ask a question: How fast can you act?

Speed ​​is important in real estate. I don’t know if another buyer is in the immediate vicinity and ready to close the deal. Therefore, make sure that the agent can quickly create a contract (preferably using DocuSign or Dotloop) or take you to the property with a relatively short notification. Ask them: If for some reason they can’t show the property, can another agent in their office show the house in a pinch?

Ask: Are you working with other investors who share my standards?

It’s easy here, but you probably don’t want to compete with other investors. In addition, it can be very difficult for an agent to faithfully represent both parties.

Real estate agent handing over the house key

What investors really need from agents

So what do you really do as an investor? necessary From the agent? Here are some things I think are important.

Deals

It’s a very competitive market, so give your agents a little elegance. You may need to find a little deal on your own. They probably won’t Drive for dollars For you or send direct mail..

However, they are usually very well networked and are always on the list of appointments. Also, if they work in a larger office, they can let other agents know what you need.

Work ethic

There are some lazy agents out there. Yes, I said.

Find someone who does the work you need to make both of you successful.

communication

As I mentioned above, you need someone to communicate the way you want to communicate. And they need to provide you with information in a timely manner.

Keep deals together

Don’t agree with the idea that National Association of Realtors members show you home, write an offer, and then collect fat commission checks when the store closes. Good agents work behind the scenes to make sure transactions are as seamless as possible.

Things often go wrong, and agents need to act quickly to find a solution to a problem that always arises.

honest

Finding a sincere agent is very important. In the past, both as an agent and as a buyer, I’ve been entwined with rogue agents. It’s a huge waste of time and energy.

We also want our agents to have the greatest interest from the bottom of their hearts. I have told clients in the past to leave trading for many different reasons. They thanked me for my insight.

alignment

The best business partnerships work perfectly together. Your partnership with your agent should have the same goals, just as your car needs to be adjusted from time to time. If they want to show their clients a luxurious home rather than helping you find a fixer upper, you’ll be in a bumpy ride.

What do you look for in a real estate agent? Do you define the agents you meet as investor-friendly? Is it important?

Share your thoughts in the comments section below.

You may also like