Are you looking to purchase a home for your own use? Or are you hoping to rent or flip what you buy for a serious profit?
Believe it or not, finding a realtor who knows the market is vital to your being happy with your real estate investment. This is especially true if you’re looking at property out of state.
Here’s what you need to know about finding a realtor who can help you make a great decision.
1. Experience With Investors
Most realtors can show a property. However, you’ll want to find someone who has at least some experience with those looking to purchase property for investment purposes.
Ask your agent if they have any experience working with investors and if they own any investment properties themselves. If you ask them about their specialty, you might get some idea of what they do best.
Some agents can spot a great fix and flip, and others may specialize in apartment rentals. If they’ve worked with investments before, ask them for more details. You can get an idea of their expertise when it comes to the kind of deal you want to close.
2. Great Negotiating Skills
Investors are interested primarily in their property as a source of income. You’ll want someone who isn’t shy about pushing to get the best deal possible.
When interviewing agents, don’t be afraid to ask them about times when they drew a firm line and were able to get a great deal for their clients. Remember that personality isn’t always the best indicator. Sometimes more reserved realtors are the ones who will be able to get you the best price.
3. In-Depth Knowledge of the Market
A fine return on your investment means that you will need a property that will increase its value over the years. The right agent for you will know a lot about how long certain properties have been on the market, as well as the mean sales prices in certain neighborhoods. They’ll also be able to advise you well on rental properties.
In some up-and-coming neighborhoods, new housing developments may be on their way. Or there may be ordinance changes in the near future.
This kind of information can really impact your decision about where to invest. You should be confident that your agent can supply you with pertinent information when necessary. The right agents stay up-to-date with blogs, apps, and news sites, so they always know what’s trending.
You can get an idea of your agent’s knowledge by asking questions about the future of certain neighborhoods. They may not be able to supply you with all the details, but they should be able to give you a solid idea.
4. Honest Risk Assessment
Any real estate investment involves a certain degree of risk. The right agent for you will use real data and analysis to give you a good idea of what yours will be.
The right agent should be able to give you a good idea of the market and what you could ask for in rent. They should also be able to talk to you about honest expectations if you were to sell the property.
Avoid agents who are only looking to paint a rosy picture or flatter you. You need someone who will provide down-to-earth advice.
5. Recommendations and Reviews
Ask other real estate agents who they would recommend in a particular area. Don’t be afraid to ask questions.
Were they happy with the properties the agent recommended? Were there any problems with negotiations or closings? What qualities did they like about the agent?
You can also check out reviews online to get a better idea of the experience former clients have had. A lot of similar positive comments can help assure you that you’re making a smart decision.
If, for example, lots of clients are saying that the agent found them a beautiful rental property that brought in income for years, you know you’re on the right track. If, however, several folks comment about their lack of responsiveness, you may want to continue your search.
6. Communication Style
Make sure that your agent’s communication style matches yours. Maybe you prefer to email and expect relatively fast responses. Or maybe you’re a text person.
Today’s real estate market is red hot, so you won’t want to miss out on anything due to slow movement on your realtor’s part. Make sure they communicate with you in a reliable way.
7. Good Inventory
The best agents with experience will have a history of attracting quality inventory. This is a sign that they are trusted by clients and other agents alike. Make sure you’re talking regularly with the top brokers around to find the best deals in a particular region.
8. A Great Feeling
While feelings shouldn’t be your first consideration when it comes to choosing a realtor, you won’t want to discount them either.
The right agent for you will be someone who listens carefully and helps you to make good decisions based upon your needs and wants. They should be honest and respectful of your feelings.
Oftentimes, a good “gut feeling” can give you the confirmation you need that you’re choosing a superior agent.
Finding a Realtor For Your Investment Property
Locating a realtor who can help you find the gems in a particular neighborhood may not be an easy task. However, once you’ve done your homework, you can be confident that you’re making a wise decision with your money.
Don’t stop getting smart about real estate investing now. For more information on borrowing and renting, contact us today.