Rental Property Investor · Member since 2018 · 45 posts · 13 votes
As an real estate agent what types of investors do you like to work with? What are some questions that really annoys an agent coming from a newbie. And what are some good information to share to make it easier on finding deals.
What sort of arrangements works well if a investor needs help running comps every now and then, as well as needs help writing low ball offers before eventually closing on a deal. Is paying some monthly fee good enough for access to MLS data without being on a conflicting situation where it feels like investors are wasting your time?
Rental Property Investor · St. Paul, MN · Member since 2016 · 3k+ posts · 3k+ votes
6y
As an investor that has spoken to a lot of RE brokers about this, it's all about communication, not being a pain in the butt and doing what you say.
Be prepared as an investor. Understand exactly what you are looking for and understand how to identify it. Be able to close transactions and not re-trade and always provide feedback.
Rental Property Investor · St. Paul, MN · Member since 2016 · 3k+ posts · 3k+ votes
6y
As an investor that has spoken to a lot of RE brokers about this, it's all about communication, not being a pain in the butt and doing what you say.
Be prepared as an investor. Understand exactly what you are looking for and understand how to identify it. Be able to close transactions and not re-trade and always provide feedback.
Cincinnati, OH · Member since 2020 · 4k+ posts · 3k+ votes
6y
As both an agent and an investor myself, I can say Todd has it right. It also works in life in general, don't be a pain. If you can tell that a property doesn't work for you, don't waste your time and your agent's just to "see".
And also know that throwing lowball offers is one thing, but, again, save everyone's time by making sure to only do that on deals that have been sitting a long time (in my market, I give it 30+ days).
Moral: be respectful of agent's time, and honest with them right away, and you will be good.
Rental Property Investor · Cleveland, OH · Member since 2016 · 653 posts · 769 votes
6y
I get bombarded by newbies looking for help with buying rentals and the pet peeve of mine is that they usually just don't do their homework. Like, at all. They're looking for someone to tell them about neighborhoods, give all kinds of referrals to PM's, contractors, lawyers, etc., when they haven't even taken the time to get to know the market.
Asking questions that can easily be googled is another thing that will turn off agents from working with you.
The serious investors who I actually work with come in and know their neighborhoods, have a bank letter ready, know the general financials, and have an idea of what kind of rehab they are capable of taking on. They've also done some research on options for PMs, contractors, etc. to see what is out there. They don't have to have all the answers, but as an agent, I'm then able to help them refine their search, not do it all for them.
Real Estate Broker · Phoenix, AZ · Member since 2015 · 10 posts · 5 votes
6y
I think that it all depends on the situation. I have investors that are very detail oriented and organized that are starting out and can over analyze deals so much that they will never pull the trigger on a deal. I also have had new investors that don't know too much about any aspect of real estate investing, but have been able to get more deals done because they don't get analysis paralysis.
I think it comes down to the agent setting the expectations in the beginning to let the investor know how best to communicate and get the information they are looking for. The only way for a new investor to learn what they don't know is to ask questions and do some research on their own. I would never expect a new real estate investor to do all of their research on their own, as they don't have access to all of the data that an agent or broker does.
An agent looking to grow their pipeline of investors, should understand that it takes time and cultivating the clients that reach out to you is a very large part of getting referrals and having a repeat customer. As an investor just be conscientious of how much time you are demanding of the agent. I send my clients a very detailed spreadsheet that helps them to analyze properties on their own and if the numbers seem to look good, then they reach out to me for additional research and guidance.
As an real estate agent what types of investors do you like to work with? What are some questions that really annoys an agent coming from a newbie. And what are some good information to share to make it easier on finding deals.
What sort of arrangements works well if a investor needs help running comps every now and then, as well as needs help writing low ball offers before eventually closing on a deal. Is paying some monthly fee good enough for access to MLS data without being on a conflicting situation where it feels like investors are wasting your time?
For the bigger deals you need to know what you're doing and be ready and able to close.
Rental Property Investor · Member since 2018 · 45 posts · 13 votes
6y
@Todd Dexheimer My experience has always been the feeling that the agent might not have my best interest in mind and what I know is not enough.
I think it is definitely not fair to assume agents should understand your investment criteria and work to find you what makes you money, But the access to MLS and running comps is on their hands. I think those two things would help me make better decisions and research but agents don't cooperate and I feel like I am wasting their time.
Rental Property Investor · Member since 2018 · 45 posts · 13 votes
6y
@Ryan Evans I agree on knowing things before going to an agent, but I guess Zillow and RedFin makes it too easy to click on contact agent and have very little information about the neighborhood apart from assigned school. When trying to invest out of the area we are familiar with it definitely helps for someone to walk us through streets to run away from, I guess PMs or Contractors don’t want/need to do it, so it falls to agents or thats were turnkeys work hard as well.
Rental Property Investor · Member since 2018 · 45 posts · 13 votes
6y
@Christopher Sanchez sounds like you are my type of agent, I would appreciate if an agent would send me a analysis excel! Why not forward neighborhoods with color coded priorities and as much helpful info as a package so that before wasting a lot of time going back and forth over the phone, the investor will spend time learning what you have out together and call as a informed buyer.
Cincinnati, OH · Member since 2020 · 4k+ posts · 3k+ votes
6y
@Bishwash Aryal yes. The agents you typically want to work with, those that know their stuff and often know of “coming soon” listings, are busy people just like you.
It all comes down to mutual respect and bringing value (not always financial) to each other.
Investor · Saint Petersburg, FL · Member since 2016 · 22 posts · 4 votes
6y
@Christopher Sanchez would you be willing to share with me the spreadsheet you provide your clients to analyze properties? I have a very basic one I found but it sounds like yours might be better.
Flipper/Rehabber · Denver, CO · Member since 2009 · 1k+ posts · 726 votes
6y
As an agent, I really only work with house hackers and landlords. These are the "easiest" deals to find, as buying for wholesalers or fix and flippers at those discounts off MLS in my market is a full time job in itself.
Real Estate Broker · Phoenix, AZ · Member since 2015 · 10 posts · 5 votes
6y
Hello @Jeff Lee. I understand your frustration completely. Your issues you are experiencing with your current property manager is the number one reason investors and landlords leave their current manager. Most of the time the problem is that the property manager that is working the properties doesn’t have any skin in the game. They usually are an employee of the property management company and only know how to process maintenance requests and handle the customer service side of the business. I would highly encourage you to find a property management company that specializes in investment real estate and not just property management services.
My investors and landlords are the lifeblood of my business so we not only handle the property management side of the business but we pride ourselves on getting the highest returns for our investors as they also purchase all of their investment real estate through us as well. It should really be a team effort and your property management company should be a valuable resource for you. The property manager should have extensive experience in the investment real estate industry and know the market better than just a regular agent. They should have a deferred maintenance program set up to keep your property in great condition, they should be doing yearly property inspections to make sure your tenants are keeping up on the place, and they should be getting you rent increases each year to keep your ROI increasing with the market.
Self managing can be extremely difficult if you don’t know the industry and depending on how many properties you have in your portfolio. There are a lot of great tools at your disposal that help to make it a bit easier nowadays.
Sorry for the long winded response but this is my passion and I know how stressful it can be using the wrong property management team.
As an agent, I really only work with house hackers and landlords. These are the "easiest" deals to find, as buying for wholesalers or fix and flippers at those discounts off MLS in my market is a full time job in itself.
Are landlords paying retail price? I know big co. like Open House Realty Co. buy up houses to rent here in ATL. They don't pay full retail but it's only around 85-90% ARV. Is that what landlords are doing that you mention? Not sure how they're cash flowing except in C-D class neighborhoods.
As an agent, I really only work with house hackers and landlords. These are the "easiest" deals to find, as buying for wholesalers or fix and flippers at those discounts off MLS in my market is a full time job in itself.
Are landlords paying retail price? I know big co. like Open House Realty Co. buy up houses to rent here in ATL. They don't pay full retail but it's only around 85-90% ARV. Is that what landlords are doing that you mention? Not sure how they're cash flowing except in C-D class neighborhoods.
Investor · Johns Creek, GA · Member since 2017 · 463 posts · 488 votes
6y
I am an investor, not an agent. I've worked with agents before and I would say you need to choose an "investor friendly" agent. The most important thing is to close the deal