Are there really real estate agents that HELP investors?

Question

Are there really real estate agents that HELP investors? I am asking because so many real estate agents invest in properties and deals themselves. How many real estate agents actually help and work for other real estate investors (who are not real estate agents)? If they find a really good deal, what are the chances that real estate agents would just keep those for themselves instead of giving it to other real estate investors? Do real estate agents help other investors because they need more money from commissions and don't have enough money to buy all deals? Are all real estate agents investor friendly or do most real estate agents HATE investors and finding the best deals for them that fit their strict returns criteria?

Amanda G. · Answer

Yes, there are real estate agents who can help. People throw around the phrase "investor friendly" without defining it. I think investor friendly agents are willing to submit low bids with a straight face, show you "pocket" deals that come through their agency, give you background on areas you don't know and estimates on rents (although one needs to do more research for oneself). Some agents have good negotiation skills (after all, they do it for a living) and they give you a buffer to the other side's craziness. Agents are great sources for good repair and GC people.

Sure, an agent can cherry pick deals for themselves. However, if you share your ideal criteria with several agents and they send you good leads, how much does it matter that you don't see everything that comes on the market? I don't need all the deals, just the right deals for me.

Thomas S. · Answer

There are absolutely agents that help investors. The best are investors themselves that understand the difference between home buyer and investor. Agents that specialise in home buyers have next to no clue how to purchase income properties. They are embarrassed by the business aspect of making offers and as a result at very often unprofessional in regards to making offers.

Why do they help investors...because they are not personally in the market to buy every good deal that comes along, ethically they may not be allowed to buy listings and, like us, must have th emoney/financing and be in buy mode.

Good investor agents are difficult to find and worth their weight in gold.

Mike Cumbie · Answer

Hi @Tom Smith

Yes there are agents that help investors. I think one of the biggest miscommunications is many people believe a "deal" is a "deal" to everyone. That is simply not the case. If an electrician finds a place that needs all new electrical, but the rest is solid it is a whole lot better of a deal than it is for the drywall guy. Same with a place that needs all new drywall put up to the plumber. There are "deals" on the other side of town I have zero interest in getting into regardless of what value just because they are too far to drive and keep tabs on.  I have completely different people I call for a 1000 sq foot ranch that needs a full gut than I would call for a 3500 sq ft farm house on 4 acres just 2 miles away.

All of the serious investors I know have a "type" of property. Duplex/Small single family/large single family/in this area/not in this area/on the water/old woodworking etc. I walk in and know who I want to call in most cases. Sometimes I go in, sometimes I do not. My Warchest isn't big enough to grab a piece of everything. But If I can get the buy and they are going to use me for the sell at the end it works out. Besides this business is more about relationships than property anyway.

Just my 2 cents

Joe Splitrock · Answer

@Tom Smith you are falling victim to scarcity mentality. The idea that there is a limited number of good deals is where your theory falls short. An agent can't buy every good deal they see. There is just too many.

Your definition of investor friendly and mine may be different. You want an agent to spoon feed you deals. I want an agent that is responsive, meaning when I want to look at a property, I am there within a few hours with my agent. I want an agent that will negotiate deals at 10PM on a Tuesday night or 9AM on a Sunday morning. I want the agent to bring me pocket listings - dealt that are not even on the market yet. But in exchange, I need to demonstrate to my agent that I am a closer. If I am just some flaky wanna-be investor that never buys anything, I never waste my agents time looking on a property that I have not vetted. I also understand the reality of my market. If a 3/2 house sells for $150K-180K in my market, telling him I won't pay over $130K is kind of unreasonable.

The point is that finding a good agent is a two way street, just like any business relationship. Too many people are more interested in what is in it for them versus how can I help the other party. Agents get paid only when deals close, so if you are not a deal closer, at some point they will stop wasting their time on you.

Deb Somdahl · Answer

Yes, Realtors that help investors are out there.  If you haven't already, define what you are looking for.  Is your strategy long or short term?  Multi-family or single family? What are the parameters (location, cash flow, ROI)  Look for agents/brokers that are investors themselves. They will know how to calculate the numbers and be able to point out missing information. They also may be finding more deals than they have capital for or may agree to do a JV with you, where they find the deal and you bring the money.

Are there really real estate agents that HELP investors?

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