Real estate agent question

11 Replies

I have been using a very investor friendly agent and plan continuing to use him. My question is, I found a few foreclosed properties that are listed with another agent that is also investor friendly. (I actually bought my primary home thru him), would it be ok for me to use both agents without pissing them off? The guy I use mostly has a very competitive list of investors and I'm one of his originals.

As long as you didn't sign any exclusive contract with one of the agents to represent you as the buyer's agent. I think it's fine to use both if they're both adding unique value. Everyone has MLS access, so like your second one, do they have great deal-flow and access that the other agent might not.

Are you breaking any rules, no. Will the first agent likely ditch you, yes. If the other homes are listed with another agent, why wouldn't you use your buyer's agent to see them? You are setting yourself up to ruin a good relationship to try to curry favor with a new one, but REO listing agents are not going to be showing you properties. They get REO accounts, a lot of them, and they manage those. Your agent now, if they are showing you properties, is the one to stick with. You don't need to use another agent when you have a buyer's agent.

Welll, odds are your original broker will find out eventually.  I'd sit down with him first and explain why you're using the other guy if you feel you have to.

He'd be more pissed if you didn't tell him and he found out later than disclosure up front.

If you have a good relationship with the one you are using stick with him. The other agent is just listing them, shoot the addresses over to your guy and let him go to work. I have a pretty extensive list and I always get "hey Mike I want to sell some random house, but I don't want to list it because...... Do you know anyone buying?". "Why yes I do". I have no listing agreement, but I have a lead on a property I can peddle with zero competition (Non MLS). I start on my list with people who it fits. Relationship/Ability to Close/Ease of working with, are the people I call first. If the relationship has soured, I may still call, it just won't be first :)

@Jonathan Greene I was hoping to get more properties between the two agents. My first agent finds prospective properties and negotiates with the sellers to point the he thinks the investors on his list will make money and blasts them out. It’s at the point where finding deals has become very difficult and to have another agent sending properties would help. I will probably go thru my original agent, he bends over backwards for his investors.

@Shane Ward

If they are on mls, send them over to your current buyers agent and get a showing scheduled. If it's nothing extra to use your buyers agent, use him without question.

If they are off market and he the sellers agent owns them or is wholesaling, I wouldn’t hesitate to do an off market deal or two. Ideally you are going to buy a few more and can still close more deals with your buyers agent.

Agents who list REO's tend to not be particularity high quality agents. They are really more akin to a property management company for the REO market, checking in on vacant properties, switching utilities, making sure the properties arnt vandalized. They might at a given time have a hundred or two properties listed, and typically wont deal with an individual.

Ask your current agent, don't assume!

Unprovable FACT: there are ethically challenged listing agents where investors not doing business with them mysteriously never seem to get their offers submitted by other agents accepted. Put another way, the best deals only go to the investors that write their offers through the listing agent (so they can double dip the commission). 

As our primary focus is property management and we only assist our current clients in finding new acquisitions, we have no problem telling a client of ours to write an offer through a listing agent like this. Sure we'd like to get the sale commission, but ultimately, we want them to acquire another property for us to manage.

So, talk about it with your current agent and see what they have to say. A talk like this may deepen your relationship with them:)