Many things play a part in your journey to investment property ownership, starting with finding the right real estate agent or broker. There are literally hundreds to choose from so where do you begin?
Real estate investing has a different set of standards than home buying or selling; it requires a particular set of skills that not every real estate agent or broker possesses. Here's how to choose the right person to work with:
Get Referrals.
Start by asking around and, if you can, get referrals from other property investors. Were they happy with the experience? Would they work with this agent/broker again?
If you don’t know anyone in the business, look for agent names on For Sale signs or in online or newspaper listings. Be sure to screen these people carefully if they haven’t been personally referred to you. Another option is to attend a local meeting of the National Real Estate Investment Association (REIA) as a guest.
Look for Experience.
Make sure whoever you choose to work with knows the business and has lots of experience, especially if you're new to real estate investing.
The best broker candidate may be someone who does real estate investing for themselves. Since they’ve gone through it personally, they’re more likely to understand your motivations and be easier to work with.
Check Personalities.
Putting a commercial real estate deal together can be stressful and include several rounds of negotiations. Having a trustworthy, hard-working, knowledgeable partner can make all the difference in how your deal gets put together. So take your time and pick someone you enjoy being around and feel comfortable with. What works for one investor doesn't necessarily work well for another. Select someone whose personality meshes nicely with yours so that you’ll have a good working relationship.
Evaluate Responsiveness.
If the person you're thinking about doing business with answers your texts and calls quickly, that's a positive sign they'll be as responsive when an actual deal is on the table. If they're not responsive, take caution: you could lose out on a great investment because you weren't able to respond in time, or worse, you could make a decision without your broker's input that could cost you a great deal of money and heartache.
Want to learn more about investment property ownership or financing an investment property? Download our free Investment Property Ownership eBook today.
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