All Forum Posts by: Pauline Charlton

Your agent will have the comps and she might know more about the property than you may know because she has access to the applicable  information or she knows where to get it.  If , for example, you offer  90k without talking to your agent and after the fact your agent finds that an offer of $80  appropriate, you already planted the seed of 90k in the seller's agent's mind... She will be trying to counter to reach that figure. It makes her job more difficult and you could lose  a few thousand because of that. 

 In addition, there are terms that must be considered. Do you want the seller to pay closing costs? title costs? Do you want an inspection? Who is responsible for repairs? is the seller paying any costs that would reduce the 90k that you want to offer? 

These are the things for which you hired your agent; let her do her job.  

Get your agent to ask

You should annoy your agent if  she is your agent. She can do the negotiating and making of offers to earn her commission. You will have representation and your offer will be specific with no room for assumptions, etc. Offers for real estate should be in writing. The listing agent has no obligation to present oral offers and if she does there are many elements that would not be addressed thus creating confusion and misunderstanding. Most listing agents know this and will say you should make a written offer or sho could offer to write it for you.   You do not want a listing agent writing an offer for you especially if you have your own agent. The listing agent represents the seller and will write the offer to the benefit of the seller whom she represents. Your buyers agent will write the offer with your interests in mind. 

@Alex Chin

My suggestion to diversify was to help @Brandon Sweeney look this  personal situation before he dumped all is money in one place especially since he said he has no experience in real estate. So he would need to to be sure he does not focus on one area but that he look at his whole personal financial picture.  He had mentioned that he has a mortgage. I am not sure what "diversification for the sake of diversification" means but I think we are on the same page.

Sounds like you need an inspector who does commercial buildings . An appraiser can give you the scoop on value he / she will need the rent rolls and maintenance and expense records to calculate the value of the property based on net annual income. A CPA caN help you with tax implications and may be able to help you calculate the value of the property.

You may also want to consider talking to a financial advisor to get a picture of your personal finances to see where you are with a rainy day fund, how much debt you have and how you will fund things like retirement . Your risk tolerance is also important. A financial advisor can help w that. You want to find one that will not try to make you put all your money in to securities but who will give you a roadmap.

Consider diversification and leverage. In other words : don't put all your eggs in one basket and use loans to help you with some of the real estate deals .

Tenants who need a tub will look elsewhere so you would limit your market if you have just a shower.

Priesh Construction