When to start talking to an agent?

Question

Hi All!

I have been on and off looking for properties to invest in in the Jersey City area but am having trouble finding anything. Realtor, Zillow and the like don't seem to have the greatest of deals and was wondering if I should just start talking to a real estate agent? I don't want to waste anyone's time and feel like since this will be my first investment I'll be extra picky and I'm still building up my down payment so I haven't contacted anyone yet. But when is the right time? And when I do go to contact one, what should I bring to them to show them I am serious? Also, how did you pick your agent? And how much should I expect out of the agent (what should/shouldn't they be doing for me and what should/shouldn't I be doing on my own)?

Thanks in advance!

Patrice Penda · Answer

Hey @Eric S.

You should talk to a real estate agent when you are ready to pull the trigger and buy as soon as you find the right property.

In preparation for that, make sure that :

- you know how much you can afford

- you have been pre-approved by a lender (if you are raising financing)

- you have the cash for the down-payment in the bank

- ideally you have the contact of a home-inspector to schedule the home-inspection asap

- you have the contact of an attorney you can use.

Knowing what you can afford and the type of property you are after, contact the real-estate agents with property listed and explain them what you are after.

Good agents will take that information and source properties for you that matches your criteria.

As you start engaging with more and more realtors, you'll have a feel for the one who understands your requirement, you are confortable working with and is good at his/her job.

That is my 2 cents

Janine Covello · Answer

I was a little hesitant to pull the trigger also, as I was researching and saving properties, but wasn't really sure how to take the next step. I researched some investor friendly real estate agents in the area where I was looking to invest, and luckily found someone great almost immediately. I am so glad I did because despite the fact that I thought I was going to be so picky, my agent actually helped me to find something that I liked so much, I made an offer within one week of working with said agent.

A few things I had in place before I engaged-

1. An idea of my 3-5 top zip codes, and why I had selected them

2. A budget range, with details on how I would be financing my deal

3. Property criteria/ IE i was specifically looking for a 2-3 family that needed some work but didn't want to do a complete remodel

4. My agent was able to put me in touch with an awesome home inspector, and actually had a list of different ones to choose from with information about each :)

Good luck!

Dan Schoenbaechler · Answer

Hi @Eric S.,

It's never too early to reach out to an agent.  You could be saving yourself a lot of time and effort by sitting down and discussing the timeline for everything.  I find that most clients don't realize actual time-frame needed for finding the right property and doing the transaction.

Being pre-approved for loan is Step #1.  Most clients also don't realize all their financing options and sometimes can afford more than they think.  An agent can also direct you to lenders that are familiar with the market you're looking in.  Did you know the Top 2 Loan Officers (in volume) in the state of NJ are both based in Hudson County?  Agents can also recommend attorneys and inspectors that are familiar with the inventory in the area you're looking at.  It always seems to be the attorneys who don't practice regularly in the area that tend to bring unnecessary complications to a deal.  Depending on your circumstances, an agent will likely already know an attorney that might fit your profile better (i.e. 1st time homebuyer, investment property, condo, etc) as some tend to perform better with certain deals.

Moral of the story, save yourself some stress and time... let an agent start working for you.  It only helps to have more people on you "team" putting in the time and effort.  I hope this helps

Eric S. · Answer

@Patrice Penda thank you for that, that's helpful. Didn't think about having a home inspector and attorney at the ready.

When to start talking to an agent?

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