How to become Investor Friendly Real Estate Agent

Question

Hello BP!!I recently acquired my real estate license in South Florida. I will be working in Palm Beach County. I would eventually like to become a real estate investor as well. However, I would LOVE to start working with current real estate investors in the area. My question is:What do real estate Agents need to be able to provide for real estate investors and wholesalers to become a "real estate investor FRIENDLY agent".Details please... Thanks in advance!!

George Hermann · Answer

Hi Aneita,The best advice I could give you is to first become a good real estate agent with residential buyers. This will probably take about two years and during this time you will learn how to find properties, how to work with all kinds of people, how to negotiate a deal, how to evaluate a property, general pricing in different areas, and a lot more that will position you to eventually be valuable to investors who do not have the skills you have acquired. Being an investor friendly real estate agent is not something you just call yourself, it's being knowledgable and bringing value to an investor. There is no short cut for experience and an inexperienced agent is of little value to an investor.I hope this helps you in setting smart and realistic goals for yourself.

John Thedford · Answer

Know your market. There is nothing wrong with investors as clients. DO BE CAREFUL and don't get played by "wholesalers" that want to tie up a property for an extended time with a bunch of weasel clauses. These types of "buyers" are NOT buyers. They are frauds stealing your time and wasting sellers time. A TRUE investor buyer will have a short inspection period and proof of funds. If you have an investor that repeatedly want to offer 50% of market value you might want to consider your time and effort with possibly little hopes of closing a deal. Like potential listings or potential buyers, you have to filter through them and find ones that you can work with. Not every buyer or seller will be a good fit. I am my own best customer...and I find myself easy to work with:)

Aneita Williams · Answer

Thank you Ed Emmons I appreciate your input. I will follow your advice to cut the learning curve.

Melissa Gittens · Answer

@Aneita Williams Thanks for posting this topic. I would say to become an investor friendly agent you should invest your self. it will help you to understand the process of choosing properties that will cashflow or would be a suitable flip. Also learning the lingo and how to crunch the numbers is key.

Aneita Williams · Answer

Thanks @George HermannI appreciate your advice. I do realize that it will take time.

Ed Emmons · Answer

The realtors I use the most bring me enough information so I can make s decision in a few minutes. If he brings me a flip house, he has comps of similar houses in good condition. He has a general idea of what the rehab cost would be if hired out. He also knows days on market DOM of the sold comps. If it fits my criteria at that time I will write up the offer on the spot with 2 or 3 days for my inspection to give me my due diligence time. I'm a cash buyer for flips either through lines of credit, credit cards or real money. Mortgage contingencies can really slow things down.If it is a hold and rent, I need numbers, all of them and any other info. that will prevent me from getting surprised. Also a little about sellers needs and wants would be helpful. Educate sellers on value of holding paper rather than a full cash sale. I do more owner financing on my sales then outright sales. It fits my goals better. Also you should know your investors. What they are looking for, how much they know, how much money they have. I would cut learning curve by reading, listening or watching courses that teach investors. That way you would really know a good deal when you find one and not waste any time.

Aneita Williams · Answer

Thanks @Gino Barbaro Great Advice! Thank you

Gino Barbaro · Answer

@Aneita WilliamsHi AneitaYou need to learn how to speak the investor lingo, cap rates, cash on cash, dscr, etc.I think you have to narrow the type of investor. Do you want to sell to SFH, apartments, small multis.You also need to have an intimate valuation of your market and have an investors mindset. The view doesn't really matter. It's usually about the numbers.It would be a great thing if you could serve investors and become one alsoGood luckGino

Aneita Williams · Answer

Thank you @John Thedford :)

Aneita Williams · Answer

Thanks @David Dachtera I will check your profile.