As a real estate investor, one of the important pieces of the puzzle is purchasing or selling real estate. Some investors find real estate agents that are “investor friendly” who understand the needs of the investor. While other investors simply use the listing agent (the agent that listed the property for sale).
In this post I want to list the top 5 benefits of being my own real estate agent and explain a little about those as benefits.
#1 Looking for a property
As a real estate agent I have access to the MLS which gives me the ability to look at properties for sale as soon as they hit the market. This is helpful because I can set up automatic searches that show me properties that fit our general criteria. Online search platforms are great, but can have a lag when a property goes on the market. Meaning that the property still shows as available on the website but it has recently gone on contract and is no longer available at the current time.
When people are looking for a house they have one small hurdle that will always exist. Schedules. Most listing agents ask for a 24 hour notice before showings. One other schedule issue is between the agent and the client. Clients usually work and agents have other clients that they are working with (not to mention that both parties have personal lives like school events for children, dentist appointments, planned events with friends, etc…) Getting the client/agent schedules to mesh can sometimes be tricky. As an agent and an investor that is one hurdle I don’t have to overcome. There have been times we have been out, saw a property that piqued our interest and we were able get right in to see the property. I just call the listing agent, receive a code, and enter the property. It’s that simple.
Once we find a property that we want to purchase, I can submit an offer right away. It’s a matter of having a conversation with my partner (my gorgeous wife) to nail down how much we want to offer on a property and then submit the necessary paperwork. The time between when we view a property and when we submit an offer can be as quick as an hour or so.
#4 Oversight and Assistance
I am licensed in Indiana and work through the FC Tucker Emge Realtors office. This means that there is a team of people that assist with everything. I have groups of professionals that I tap in to automatically that spans from IT to Marketing to Legal. They have people working to make sure that paperwork is filled out right and on time. They also make sure that everything in the entire process is done correctly and ensure that the closing process goes as smoothly as possible. It’s also a safeguard from doing anything that may fall into a gray area.
One last benefit is the commission from a sale. If someone is going to get a commission on a sale, it makes sense to get in on that action too. Just as a generic example if we buy a house that sells for $100,000 and both the selling agent and the buyers agent receive a 3% commission I will grab a $3000 commission. Once the brokerage fees are paid I could walk away with an extra $1500 on the deal. One sale isn’t going to make or break the bank, but it just makes the process that much sweeter! Another great aspect to renovating your own properties, is potentially being the agent for both buyer and seller, providing double commission. Just make sure that you disclose that you are the owner and seller of the property listed.
Hope this brings some knowledge and thought when you are considering becoming your own agent! If you are interested in listing or purchasing property through me, please reach out to me at email@example.com!
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