I am a licensed Houston Realtor and have worked with investors on many of my deals ajd also have family that invest in our areas, and wanted to know the best ways to build professional relationships with Investors.
There are many Realtors and Investors that don't work together because essentially we are each other's competition but I do understand that buying/selling for my clients to inhabit the property and buying/ selling for investors for VERY different. I am currently working with a new investor but I am extremely driven and have the ability to gather numorous properties and wanted to grow business. Please help.
Keller Williams Realty
I don't see realtors as competition. A conventional realtor is just an expense that cuts into the profit so there's really no need to deal with them on most deals. I usually stay away from deals involving conventional realtors. Too many investors, wholesalers and others in the business have a license so why give up the profit? On the current flip I bought Friday I would stand to lose 15k to conventional realtors if I was represented by a normal 6% realtor. Most of us have flat rate realtors or can do it ourselves. We still have to deal with the potential buyers agent but never at more than 2%. I would rather price a property to move quickly than push up the price to cover the conventional realtor expense and have it sit on the market twice as long.
Thanks so much for your response, I know that many do look at us as an added expense in certain transactions, but that could be an expense worth the while if the Realtor is out finding great deals and bringing double or triple the business to the investor. I think the biggest issue is that many Realtors do not like lowering their commission rates in order to get deals done, which I have done on a some of my transactions to get the deal completed or initially when the contract was signed. I think that we both ultimately can benefit on both sides.
Free eBook from BiggerPockets!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!