Real Estate Agents want to keep the Good Ones?

Question

So real estate agents have access to the MLS where they can see all of the properties currently available. And so they can see it before anybody else can, unless ofcourse you go door to door or do intense research on your own to find good deals without real estate license. If real estate agents recommend a property, I always think why couldn't they buy this themselves if this is a good deal? Why are the properties even there in the listings for more than 30 days?

Charles Carillo · Answer

@Corazon B.

I have found that not many agents are also real estate investors. In addition, if they are real estate investors, they might not have the funds available for every good deal. A listing that has been on for a while might be an opportunity in disguise. I have purchased properties that were on the MLS for 4+ months before.

Travis Main · Answer

Yes, that's the concept. There can be various reasons why a seller needs to sell a property quickly and might be willing to accept a discounted sale price. Often, financial distress, sometimes triggered by medical issues, is a common cause.

To find wholesalers, there are several approaches you can take. One convenient method is to visit investorlift.com, where you'll likely find numerous wholesalers listed on a single platform. Additionally, attending local real estate investor associations can be fruitful, as wholesalers often attend these events to connect with potential buyers.

Another method is to keep an eye out for bandit signs in your local area that advertise messages like "we buy houses" or "cash for homes." These signs often indicate the presence of wholesalers, and reaching out to them directly can lead to potential opportunities.

Bradley Buxton · Answer

@Corazon B.

This is a great question to ask any agent you work with. People make money in different ways in real estate. I'm an investor focused agent and my priority is clients to be successful. The more deals they do the better for them and myself. Our brokerage in Reno Tahoe, NV offers tools, data, analytics, and analysis to our clients that help them make informed and confident decisions. In the CA gold rush there were miners and there were the stores that sold the mining tools. We provide the tools for you. Always interview and agent and what their goals are. Continue to communicate with them what they are buying.

Jeff Roth · Answer

Hi Corazon-

Great question on why, if a Realtor says a property is a such a great deal, they don't just buy it themselves?

Agree most Realtors are not real estate investors themselves, number 1.

Additionally, your Realtor may have a different property type they like to invest in or prefer to have more paid off properties than leveraged properties.

You will know you are working with a true advocate and fiduciary if they negotiate hard for you and advise you not to get into or stay in skinny or low profit deals.

To Your Success!

Daniel McDonald · Answer

Agree with Charles, I am an Agent and investor but not looking to purchase anything this year. Just doesn’t match up with my goals/strategy/access to funds. But helping someone else do so is still very rewarding.

Brock Mogensen · Answer

Real estate agents main priority is to make a commission, always remember that. There are great agents that will give honest advice on the deal but at the end of the day they want to get paid.

Trust but always verify. And generally, the best deals are those that transact off-market.

Marcus Auerbach · Answer

We have about 400 agents at KW in Milwaukee and there are only a handful who own a couple rental properties. And most of the top agents do not want to work with investors: it's a huge time suck and it does pays peanuts. So that leaves rookie agents who want to work with investors, but they have little value to bring to an investor.

I literally got licensed in 2015 because I was tired of working with agents. I still buy properties for our own portfolio every year, but how many do you think I can buy with an average of 100k down?

Alecia Loveless · Answer

@Corazon B. I know a lot of the major players in the Realtor department in my area. Not one invests in real estate.

Personally my realtor is always on the lookout for great deals for me. I’m his only investor client and get all the leads.

I would say the other realtors in my market likely have their one go to for investment opportunities.

Also as someone else mentioned I’ve gotten some great deals that have been sitting on the MLS for a while. My most recent deal sat for months due to a difficult seller. It’s almost done being rehabbed and will provide a CoC of about 20% next year. It will be less this year because of the time it took to get the units on the market.

Preston Dean · Answer

@Corazon B.

Everyone is in different stages of life. I come across plenty of solid deals daily that I cant afford myself so I send it out to my investors. You also can't assume that just because someone is an agent they are also an investor

Denis Ponder · Answer

Also, for the same reason there are 20 different restaurants that fry chicken differently, or places to get ice cream, or cars to drive, or churches to attend. People have widely different goals and preferences.

Real Estate Agents want to keep the Good Ones?

Real Estate Agents want to keep the Good Ones?

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