Investor friendly realtors

[Jennifer Stradtman]

I don’t know about you but I am having a tough time with my realtors.  Thanks to many of the BP guidance webinars and success stories I’ve read lately I decided to step up my game and buy more properties this year. Five is my goal. The problem...I don’t want to pay asking price, retail prices, market rates or anything loosely related to too much money,  I have two realtors I usually work with but I’m having trouble getting either to want to put in the offers at my starting price. It’s not crazy low - maybe 15% below asking. I’m willing to go up a little to maybe 10% in negotiations.  Why the reluctance to even ask? You never know the bottom if you don’t at least try to find it.

Am I being unreasonable?

[Joe Norman]

I don't think you're necessarily doing anything wrong, and neither is your agent.  It takes a good bit of time to put together a complete offer package (at least using all of the docs required here in Maryland), and your agent may be choosing to focus his time on offers that have the potential to earn him more money.  What I tell my clients who are putting in low offers is something along the lines of the following script:

"I'm here to help you get a deal, and I know that means writing offers that are going to get declined.  Please understand that I spend a good but of time on this, and do not make any money when they get rejected.  I make a couple bucks on the ones that do close, but at your price point its really not worth the time it takes.  All that said, I'm still willing to work with you on this but I'm going to need your help.  When you hear of one of your friends or family members looking to buy or sell will you send them my way?  That will help our relationship be a win-win (I can make some real money by representing your referrals, and you will get your offers in)"

I suggest asking yourself, or asking the agents straight out, if they view their current relationship with you as a win-win.  If not then ask them what a win-win would look like.