Investing in real estate isn’t as easy as it sounds. After all, you don’t necessarily win a property with just the highest bid. In addition, the team you work with has a major impact on your investments. Building relationships with investor-friendly real estate agents is key to securing successful properties. Keep reading to learn about working with investor-friendly real estate agents and how they can help you get the best deals on properties.
Types of Real Estate Representatives
Throughout the real estate industry, you’ll likely hear several names for representatives. That said, there are a few key differences between each type. For instance, each has different credentials and ways they can help you invest in real estate. Here are the differences between each type of real estate representative.
- Real Estate Broker– Brokers can either be individuals or firms in the real estate business. Additionally, brokers ensure all transactions are lawful, all paperwork is correct, and all funds are documented and reported correctly.
- Real Estate Agent– A real estate agent is a specialist who carries a real estate license and assists people with buying or selling a home. Real estate agents that aren’t brokers must work under a brokerage, where a broker will oversee the transactions.
- Realtor– A realtor essentially does the same thing as a real estate agent, but with one key difference. Realtors belong to the National Association of Realtors and achieve a higher level of industry education, making them experts in the field.
What Makes a Real Estate Agent Investor-Friendly?
Now that we’ve gone over the different types of real estate professionals, how can you find one that’s investor-friendly? If you’re looking to buy or sell a home, finding an agent is relatively easy. However, there are a few different circumstances while purchasing an investment property.
An investor-friendly real estate agent can help you navigate the process and search for a property with your goals in mind. After all, the last thing you want to do is waste time and money on your investment.
An investor-friendly agent will have the knowledge necessary to help you with every aspect of your investment, including tax considerations, mortgage options, and ROI calculations. Next, let’s go over some of the qualities to look for in investor-friendly real estate agents.
Top Qualities to Look for In Investor-Friendly Real Estate Agents
Just because you’ve found an agent qualified to help doesn’t mean they are the right person for the job. To evaluate your real estate professional further, try to find one with the following qualities.
- Confidence- Scoring a deal takes persistence and proactiveness. Your agent should be confident and do what it takes to make a deal happen.
- Professionalism- It’s best to find someone professional and experienced in real estate. Don’t be afraid to keep searching until you find the right agent for you.
- Speed and Efficiency- Great deals aren’t going to last forever. Find an agent that’s on top of everything and willing to handle communications and processes quickly.
- Honesty and Awareness- Ask your agent about their previous experience, and don’t be afraid to ask what went right and wrong. An honest real estate agent will admit their strengths and weaknesses.
- Commitment- A part-time agent is not ideal if you’re a dedicated investor. Instead, look for a professional agent who specializes in real estate and is up to date on all the requirements.
Importance of Using an Agent to Get the Best Deals
Searching for an investment property and searching for a property to live in are two different processes. Just because you’ve purchased a home for yourself doesn’t mean you know how to buy a rental property successfully. Instead, using an agent can make a huge difference.
Using an agent to find the best real estate deals is best because they can access resources you may not. For instance, they have extensive knowledge of local markets, real estate law, ROI calculations, and more. However, it’s equally important to become familiar with investment processes and deals that align with your goals.
Tips for Finding and Creating Relationships with Real Estate Agents
Finding investor-friendly real estate agents can be difficult if you don’t know how to search. The best place to start is by asking for recommendations and doing some online research for agents in your area. That said, there are several factors to look for while searching for an agent to meet your goals. So, before contacting an agent for help, here are a few questions.
- What Is Their Experience?
- How Well Do They Know the Market?
- Do They Understand ROI Calculations?
- Have They Invested In Real Estate?
- Do They Have Valuable Connections?
What Is Their Experience?
Before working with any real estate agent, take a look at their previous experience. After all, your time, effort, and money are on the line when you invest in a property. If your agent claims to have tons of experience, ask for testimonials or case studies of properties they’ve handled in the past. Seeing their expertise can give you a better idea of their knowledge and allow you to decide whether or not they’re a good match for your investing goals.
How Well Do They Know the Market?
If you’re looking to buy an investment property, look for an agent that knows the local market well. After all, the local market is when it comes to rental properties since it can tell you rental income projections, occupancy rates, future growth, and competition. As such, find an agent that can give you information on the local market, average rental rates, and resale capabilities.
Do They Understand ROI Calculations?
The ultimate goal of investing in rental properties is to achieve a high return on investment (ROI). So, finding an agent that can understand your goals and aid you with finding the best properties is key. That said, while speaking with agents, make sure you clearly state your financial goals so they can assist you properly.
Have They Invested In Real Estate?
First-hand experience in real estate investing is best. Finding an agent with investing experience can result in smoother processing and fewer mistakes. Not to mention, you’d probably feel better knowing that they’ve gone through the same processes themselves. However, remember that a real estate agent that’s an active investor is your competition–so choose who you work with wisely.
Do They Have Valuable Connections?
When it comes to real estate, it matters who you know. The more professionals you have on your side to guide you, the better. Frequently, an agent that’s “in the know” will have more insight on properties coming to the market compared to traditional avenues. As such, the best realtor you can find will have abundant knowledge and the right resources to help you succeed. For instance, once you purchase a rental investment, you may want to look for rental property management in Baltimore.
Build Your Business With the Help of Property Management
Once you find a suitable investment property, the hard work begins. After all, you must find tenants to rent it, write up lease agreements, maintain the property, and much more. All of these tasks add up for just one person.
Luckily, you don’t have to complete all the work yourself. When you hire a trustworthy property management team, you can relax after the hard work you’ve already put in.
Bay Property Management Group offers comprehensive rental management services to busy landlords, whether it’s your first rental property or your 100th. Contact BMG today if you need management services in Baltimore, Philadelphia, Northern Virginia, or Washington DC.
