Real Estate Agent · Pawtucket, RI · Member since 2017 · 3 posts · 0 votes
Hello All,
I've been racking my brain on how I can provide value to an investor as a RE agent while learning negotiation skills and simultaneously build my knowledge base of wholesaling investing. I'm interested in doing business in Massachussetts and Rhode Island.
My thoughts are:
▪️Find a local wholesaler or flipper (investor) that would like to partner up (a feat in itself but I have some contacts)
▪️I would scrub the MLS, locate properties that have gone off market and have equity. Gather owner and property information
▪️Investor would come up with an offer price
▪️[we?] would make contact with owner or visit property with the aim of speaking with the owner
▪️I would sit in on negotiation
▪️Assuming a deal is worked out I would receive a cut of the deal (not sure what would be fair earnings in this scenario.)
Is this realistic? Would this be of actual value to an investor? I know many agents do not like to work with investors because of the amount of work vs. pay-off.
I am looking for a mutually beneficial way that I can learn while providing value in my current role as a real estate agent. Thoughts, suggestions?
Thanks in advance!
Rental Property Investor · Providence, RI · Member since 2015 · 1k+ posts · 594 votes
8y
I have been operating in this market for some time. Very rarely do I purchase an on market or recently on market deal. Having said that, a hungry bird dog whether an agent or not is always useful. I do have a proposal if you are interested that I believe you will find beneficial. If you would like to discuss further, PM me.
Rental Property Investor · Providence, RI · Member since 2015 · 1k+ posts · 594 votes
8y
I have been operating in this market for some time. Very rarely do I purchase an on market or recently on market deal. Having said that, a hungry bird dog whether an agent or not is always useful. I do have a proposal if you are interested that I believe you will find beneficial. If you would like to discuss further, PM me.
My lady, listen ....forget all a that. Hit me up and we'll talk. Get you yourself trained. You already have access to the MLS so, you have infinite access to cash buyers, ( Someone just needs to teach you how to use it) ( And teach you all the basics in general, *Finding motivated sellers, *Talking to motivated sellers, *The Contracts Used for Investing, * Finding Cash Buyers that actually buy lol, and then * Learning how to talk and negotiate with those buyers.) Its all about awareness. You don't need to go through all that trouble you just need to find a Real Straightforward Investor that'll take you under there wing. You have access to a beautiful resource. The beloved MLS, That's value in itself. You have a Light Saber but don't know how to use it. lol , Reach out. And start getting in on the action. Whether thats wholesale, fix and flip, or buy and hold. Btw the internet teaches everything you know. Just a little .02 cents lol
Buy and Hold Investor · Cranston, RI · Member since 2013 · 1k+ posts · 1k+ votes
8y
@Vanessa Garcia your idea about chasing expired listings is a good one. It is possible to get deals that way, but I find very often the owners are still anchored mentally around their previous listing price.
That's why it's much easier to convert an expired listing into a new listing (for yourself) than to get them to come down so much it makes it a workable deal for an investor (usually they would have to come down at least 60-100K minimum for the #s to work for an investor instead of an owner-occupant).
Still, I think it's worth a shot, and you'll definitely learn a few things that way.
You should consider discussing it with your broker however, as s/he may have thoughts on what you're doing, especially the "cut of the deal" part. I'm not an attorney but I suspect that by connecting buyer and seller in that scenario and getting a "cut", you are acting as an agent and need to get paid and include your broker accordingly.
Another way you could get started is by going to a local real estate group meeting such as RIREIG in Rhode Island or Black Diamond REI in Massachusetts and meeting some early to mid stage investors.
The ones you're looking for are the ones who can actually close on a deal (with their own cash or financing they've already lined up), and especially ones who are getting started on their first or second buy-and-hold purchase so they don't need an amazing deal and don't mind getting it off of MLS (often this will be owner occupied but not always).
Another variant of this would be newer investors (again, who are actually ready and able to purchase) who need someone to "do comps" for them on prospective purchases.
Some newer investors haven't gotten around to becoming agents themselves, or decide not to, but they still need to do comps to determine ARV. You could work something out where you'll do so many comps for them, and in return, anything they fix up and put back on the market will get listed through you.
Real Estate Agent · Pawtucket, RI · Member since 2017 · 3 posts · 0 votes
8y
Wow, guys, this is great. Thank you for the responses. I've been listening non-stop to all of the BiggerPockets podcasts, taking the webinars, doing research online and have gone to a few REIA meetings in RI and MA. Overall just trying to absorb as much as possible but I have always been a better hands-on learner.@Brandon Ingegneri
@Christopher Charles I agree, I know the MLS is valuable but right now I feel like I have a bunch of puzzle pieces and I don't know how to put them together. lol I see that you're from Florida: What part? My Broker is working on soon getting his FL RE license. Do you do business there as well?
@Anthony Thompson Thank you for your insights, you made several points I hadn't considered. I will definitely consult my general counsel and broker to make sure what I decide is kosher. I'm definitely not looking to find myself in legal trouble or slapped with a big fat fine from the board, lol
I have gone to a few investor meetings but not nearly enough I think. Again, thank you so much for the ideas and input. I've seen you around the site and you are always very helpful and thoughtful in your responses. To be honest, I thought posting as a newbie would be a lot like shouting in a desert, glad to see I was wrong!