Real Estate Consulting

[Akshay Bhaskaran]

Hello everyone,

My wife is a licensed real estate agent in Texas and she is under a brokerage. I am an Investor in RE doing single-family residences (Turnkey, and BRRR). We both are into real estate for the past couple years, and she's closed some deals for her clients. We were thinking about starting a Real Estate Consulting in a very small scale.

We are doing this already for her clients where she finds properties and deals, negotiates with the seller/builder (if new construction), and helps them get a good offer. From my part, I analyze the property's location, neighborhood growth, appreciation factor, the average rents using some paid tools, and crunch some numbers for them to let them know the CoC return, cash flow, and more etc. If they want an off-market property, I even built a BRRR calculator that they're using to feed-in the numbers from the 'B'uy all the way up to the final 'R'efinance part.

Since we are doing this already for our clients, is there a probability that we could do this officially and legally? We have an LLC registered but haven't had much activity in it, so I was always thinking of starting a small-scale Real Estate Consulting where we could offer the afore-mentioned services for a minimal fee. (Definitely not 4-digit-$$)

Need your honest thoughts and inputs on this :) 

[Chris Clothier]

Quote from @Akshay Bhaskaran:

Hello everyone,

My wife is a licensed real estate agent in Texas and she is under a brokerage. I am an Investor in RE doing single-family residences (Turnkey, and BRRR). We both are into real estate for the past couple years, and she's closed some deals for her clients. We were thinking about starting a Real Estate Consulting in a very small scale.

We are doing this already for her clients where she finds properties and deals, negotiates with the seller/builder (if new construction), and helps them get a good offer. From my part, I analyze the property's location, neighborhood growth, appreciation factor, the average rents using some paid tools, and crunch some numbers for them to let them know the CoC return, cash flow, and more etc. If they want an off-market property, I even built a BRRR calculator that they're using to feed-in the numbers from the 'B'uy all the way up to the final 'R'efinance part.

Since we are doing this already for our clients, is there a probability that we could do this officially and legally? We have an LLC registered but haven't had much activity in it, so I was always thinking of starting a small-scale Real Estate Consulting where we could offer the afore-mentioned services for a minimal fee. (Definitely not 4-digit-$$)

Need your honest thoughts and inputs on this :) 

 You will need to bring more to the table for this to be a service that investors find valuable.  What you describe is what the best agents have been doing for years.  They dive deeper into niche services by providing in-depth analysis from a high-level and experienced point of view.

I see your biggest obstacles as a lack of experience and background as investors and the perception that these are services your wife should already be offering as the licensed agent.

Given those obstacles, what differentiates your service?  What makes you special?  Why should an investor pay attention to your data or trust your analysis?  This is a very crowded space now, and what you've described is not particularly unique.  In my opinion, you need something that instantly earns someone's trust. Investors need a reason to trust you and know that you are not simply charging for something they should already expect when hiring a great agent with experience working with investors.