Is Your Real Estate Agent Investor Friendly?

No real estate investor succeeds on their own. They always require a strong team. Together they build their reputation and network to provide sellers and buyers with the best investment opportunities available on the market. One of the most vital members of this team is arguably the real estate agent, who is tasked with finding incredible deals and working diligently to close those deals.

Investors seek out “investor-friendly” agents that will help grow their bottom line. Finding the right agent significantly impacts your business and can literally make or break your investment deals. The right agent can help save you time and money. Knowing what makes a real estate agent investor-friendly is the first step. Use the five recommended methods below to determine whether or not you’ve found an agent who will be responsive to your business needs.

Understanding Investment Transactions

Each property transaction is unique, but the process is the same. For example, a property bought for rental purposes is different than buying a house that you intend to live in. An agent is most effective when they have a working knowledge of basic math and formulas behind each listing. Although firsthand investment experience isn’t a deal-breaker, working knowledge of the process is critical. It ensures that they are not wasting time looking at properties that do not meet your specific criteria or wasting time focusing on the wrong markets.

Submitting Every Offer

Investors are likely to submit offers on every property that they believe will yield the most potential earnings. In many instances, these offers are below asking price, but they are always numbers that the investor has deemed suitable for them. Your agent should be comfortable submitting every offer. You should also be confident in your real estate agent’s ability to negotiate on your behalf. Though they may express their own opinions on a deal, an investor-friendly agent won’t try to talk you out of your offer. However low your offer may be, committed agents will not shy away from communicating your price to the seller.

No Time to Waste

Every minute counts when it comes to real estate investing. Your ability to secure a good deal depends on your ability to act fast and make a move before the competition does. Investor friendly agents understand this and are able to work quickly. As soon as they come from listing appointments or are alerted to new listings, they notify the investor without delay. This allows the investor to do their due diligence and crunch numbers so that they can place offers on new properties as soon as possible. Good agents are able to communicate in a timely and effective manner, seeing to it that the seller has all of the information they’ve requested in no time. When it comes time to make the offer, no matter the amount, they treat that transaction as if it is their highest priority.

Access to REO & Bank Owned Properties

REO and bank-owned properties are taken over by the lender after failed attempts to sell, including foreclosures. A friendly agent with a solid reputation, who has built a repertoire with banks may gain you access to these untraditional sources and properties. Experienced agents articulate your needs and are capable of structuring offers accordingly.

Established Referral Network

Investor friendly agents usually have a large network of professionals that they conduct business with. These networks may include real estate attorneys, mortgage brokers, and sometimes even contractors. This network of professionals can potentially increase the number of deals you have access to, as well as afford you the opportunity to grow your own network. Agents are not required to have an extensive network like the one described above; however, it is definitely a plus.

Having the right real estate agent on your team can make a world of difference for your business. Take the time to fully vet every prospective agent that you consider working with. Ask yourself, do they have a solid understanding of your goals as an investor? Does that agent get back to you in a timely manner?  Does your agent have access to unique resources?  And remember, don’t hire an agent you aren’t happy to work with. If you’re not comfortable with them or feel that they aren’t committed, keep searching until you find the right person.