7 Questions To Ask An Investor-Friendly Agent

Here are the best 7 Questions To Interview An Investor-Friendly Real Estate Agent

You may love your agent. You may have worked with her for years and are comfortable with her

business style, and feel she is the best real estate agent for you. But is she investor-friendly?

I get many calls from prospective new landlords and first-time investors asking me if I'm

investor-friendly because they aren't sure if the agent who sold them their primary home works on investment properties.

You can ask a few questions, and there are one or two things you can look for to help you determine if an agent is investor-friendly.

1. Do they own investment property in the area?

Many good agents will have a rental property in the area they work or know investors who are buying in that area. If they've is invested locally, they are more likely to be on top of what's going on, plain and simple.

A residential agent may know the comps, but an agent who's an investor knows the vacancy, average rental time on the market, and average credit scores. They have to if they've rented out their property recently.

2. Do they have any advice on using specific lease clauses for the area?

An investor-friendly agent should have a few suggestions on both standard leases and specific clauses that may help you as a new landlord.

Maybe they've had a problem with a tenant and have dealt with it in court, or they know the rent control issues that are unique to the area and that certain information needs to be added to the lease to remain compliant. They'll also advise on permitting, rental inspections, or occupancy certificates if the local ordinances require them.

3.What are the average rents for the type of property you're considering?

This question is fundamental because it can save you a lot of time and money. If you do some research and find the average rent for the type of property you're interested in, then you can compare this number also with the pricing your agent mentions. 

Zillow doesn't always tell the whole story, and often more digging is needed to discover actual rental prices rather than the asking price. Don not 100% rely on Zillow.

4. Do they self-manage their property or use a property manager?

Investor-friendly agents tend to self-manage their properties because they know what's going on in that property and don't need or want a property manager. 

They're also more likely to be hands-on - They may be able to tell you which contractors to work with and which to avoid. If they've had a bad interaction with a local contractor, you can be sure they'll tell you, and you'll get the benefit of steering away from that company.

5. What is the process for evictions?

This is another question that can save you money and time. If you're buying into a situation

where evictions are long and ongoing, you have to be prepared to deal with this, and it's

important to know what the process will be, so you don't get blindsided.

An investor-friendly agent will let you know how long an eviction takes in your area, if there are any guidelines from the court system (such as delivering a three-day notice), or if you need any letters from a lawyer before filing the documents. They'll probably be able to recommend an excellent landlord-tenant attorney as well.

6. Are they going to buy another property in the area?

It's great to have an agent who does buy properties in the area. If so, they're someone who can refer you deals in the future, and you can probably do the same when they are available.

If an agent is excited about their next investment and wants to talk about it, then it's a pretty good indicator that they're not just there to sell you something quickly and move on. If they're not, understanding why is helpful. If they're saving or have other plans, you might learn of new opportunities nearby.

7. What's the most important question real estate investors never ask you that you think they should?

When residential buyers and sellers are looking for an agent, it's often much of the same. An investor-friendly agent typically spends a lot of time researching and learning about real estate investing outside their agent practice.

This question is one of my favorites because it gives the agent a chance to tell you something interesting they've learned recently or showcase their knowledge of something they're passionate about.

Suppose they're excited to answer it and passionately describe something they've just read about or are currently investigating. In that case, it's safe to say you've found yourself an investor-friendly agent to work with on your next rental purchase.

On that note, what do YOU think is the most important question a real estate investor doesn't ask?

Whether you're an agent, established investor, or just getting started in the RE investment world, I'd love to hear your opinion in the comment section below and see what we can add to this list. 

Let me know in the comments or send me a connection request