Investor-Friendly Agent: Worth Finding?

Question

Hello BP,

I have seen this question asked a few times, I've seen quite a few articles posted about it, too. But, because everybody's circumstances are different I felt the need to ask the community what they would recommend for my situation.

I've been pre-approved for an FHA loan, my price limit almost certainly guarantees that I will be purchasing a duplex with it (not interested in SFH). I have multiple people that have expressed an interest to live with me on my side of the duplex, but they want to move in soon, before the start of next year. So I've got about 3 months before my guarantee of someone living with me turns into a maybe. I'm going to treat this purchase as an investment. If the numbers work for me I have the will-power to buy, but I won't put myself in a financial hole just because I want to move out of the basement.

Because I'm on somewhat of a time crunch, building up a relationship with someone who from what I've read so far is unlikely to be on the same page as me, would it be wise of me to search for, network and ultimately select an agent? I am only interested in this 1 property for the time being AND it will be my first deal; which is why I don't envision agents wanting to give me their best deals.

While we're at it, without utilizing an agent, what are some other ways you guys find deals in your marketplace? I have considered cold calling duplexes for rent in my area and asking if the owner would be willing to sell their property, as well as using the county assessor's office.

Anything helps, thanks for taking the time to read!

Jake Riordan · Answer

Hey @Ryan Barr - I'm a broker & investor in OP/KC & am happy to set you up on an auto search through MLS.  That way, you'll get notice right away about any duplexes in the areas you like coming on the market.  Zillow is good for FSBOs & other sites are good too, but this is the best way to see most multi fams.  Just PM me if interested.

Bala S. · Answer

Hi @Ryan Barr,

I am an investor and a realtor in Kansas City area (specifically in and adjacent to Johnson County, KS) and currently finishing up a BRRR  on a Full Duplex with 3 bedroom and 2.5 bath in Overland Park KS.

I sent you a PM to see if you want to get together and see how I can help you in your journey.

Michael Hastings · Answer

Hi @Ryan Barr, thanks for the explanation.  I agree with your assessment that the numbers have to work after you move out, but you can compute that on your own using Rental Property Calculators here on BP.  You wont need a specific agent for that (it cannot hurt, however, but not needed.)

Ryan Barr · Answer

@Joe Facenda They are the same city! Just sent you a PM.

@Michael Hastings Thank you for taking the time to reply. My reason for wanting an investor-friendly agent was that the numbers still have to work for me after I leave when the mandatory year is up. I'd obviously prefer to make money while I live there too. I won't have questions about financing choices or the area. I assumed that if there was a deal that would cash flow, at this moment in the market, it would be snatched up before it would get filtered all the way down to me with my very little connections. That was just my thought process though!

Joe Facenda · Answer

If Shawnee Mission KS and Shawnee KS are the same place, I have great agent for you.  Please PM me.

Thanks

Michael Hastings · Answer

Hey @Ryan Barr, I am going to take a stab at answering this.  You posted a few questions, I will break them down:

1.  "would it be wise of me to search for, network and ultimately select an agent? I am only interested in this 1 property for the time being AND it will be my first deal; which is why I don't envision agents wanting to give me their best deals."

A = If you are asking if you need to have a buyers agent to help you find and select a property, which you have already been approved for financing for, I see no problem with that.  But, I note that you state you are only interested in this one property, so I would then ask what is the need for an "investor friendly" agent?  Note that unless you want to work specifically with a buyers agent in your market, you could use zillow or redfin or realtor.com and the like to find a property you are interested in and contact the listing agent.  This to me, is personal preference.  I see Buyers agent as necessary if you need assistance with seeing a lot of properties, help with financing choices, have questions about the area where your property will be and want someone who will be working to help you close a deal.  This person does not have to be investor friendly, for one deal, in my opinion.

2.  While we're at it, without utilizing an agent, what are some other ways you guys find deals in your marketplace? I have considered cold calling duplexes for rent in my area and asking if the owner would be willing to sell their property, as well as using the county assessor's office.

A = That is one way, there are tons.  You can search the forums on BP to get ideas on how to find deals.  Most use the MLS, wholesalers, realtors, other investors, networking, telemarketing to owners, mailing to owners, door knocking, lenders, driving for dollars, probate sales, auction sales, craigslist, oh the list is exhaustive.  Find one that you are comfortable with, and work it.  When I was new to investing, I found what agent was selling foreclosures for the banks in my area, and got friendly with them.  They forwarded me deals that fit my criteria.  This is when a investor friendly agent would be needed.

Hope this helps!