I really believe that real estate investors can simply become the perfect source of income within your realtors career for several reasons. Let me share with you the important benefits of working with real estate investors:
Get Multiple Transactions From Investors
Let’s start out with the most obvious ones, real estate investors pick up a lot of properties per year. Some investors buy 1-2 properties per year, other full-time investors like ourselves buy 10-15 deals per month. That is over 120-180+ deals a year and you might be able to contribute to a chunk of those transactions. Getting just a couple of investor clients in your database and you will easily earn more commissions than all of your other clients combined.
Tons of Real Estate Investors
We are aware of our competitors and a few people who are just dipping their toes in the industry. In the past there have been studies that say that there are actually over 28 million real estate investors in the united states, and 7 Million of them who claim to be “active real estate investors” and intend to be “actively buying property within the next Twelve months.” That is a lot of investors but that doesn’t steer us away since we have been doing this in the down and up markets.
Investors Buy and Sell Several Homes
When working with a home buyer or a seller typically, the cycle can be years before another transaction. It could even be decades. Typically, a homeowner will be looking to either buy or sell but not always both and again not for a long time. Investors, on the flip side, are typically buying and selling all the time, so your ability as an agent to generate more income by double ending or re-listing properties could very well help you skyrocket your commissions.
Create Systems With Investors
An investor typically has substantially less “emotional attachment” with the home, thus making the whole process much more “mechanical.” While that may not sound like a fun thing – it actually is great for your business because of your ability to create systems to handle much of your business.
For instance, when handling a first-time home buyer, emotional things such as a cute color, a dog house, or a swing set could make or break a buyer’s interest. However, when handling investors, you can study what attracts that investor (specifics which include neighborhood, cap rate, price, income potential) as well as set up automatic emails for the agent.
Another system you can set up is the offering process. With most investors – you won’t need to plan the perfect time to sit down together to write up an offer, carefully explaining each word within the massive amount of forms. Instead, you’ll be able to email over the same form, allow your investor client to sign it on their iPad, and submit the offer right away.
Investors Understand the Process
Experienced investors are familiar with the game. They won’t be upset at the closing table after they recognize that you are earning commission off the deal, they won’t panic over some rot through the bathroom floor, and they’ll hopefully do their own personal homework on finding financing for his or her deals.
Best Referral Source
Investors are likely to be heavily active in the community and, because of this, have a very wide network of people that could possibly be searching for a good agent. Smart Investors also love to enhance those connections by sending recommendations, so if you feel you are a excellent real estate agent, expect your investor clients to brag about you and tell a bunch of their friends regarding your services.
Free Investing Advice
Most likely, you don’t wish to continue working up until the day you die, so developing your own personal investment portfolio might be a goal for yourself in the foreseeable future. By working with investors, it is undoubtedly an opportunity to gain knowledge from real life investors, and get paid to do so. You will get an insider look into exactly how they negotiate, exactly how they analyze property, what sort of financing they use, and much more. Many people pay thousands of dollars for programs to educate themselves on the things you will receive an insiders look at everyday.
Learning how an investor thinks, strategies, and plans is definitely crucial should you want to pursue a career working with investors, and so this guide can assist you with doing exactly that. I’d personally love to see more agents conditioned to effectively deal with the real estate investing world, and even perhaps become involved in investing themselves. This article will certainly cover all that- and much more.
Sequoia West Properties
“We are the “Non-Jerk Investors”
We buy houses…
✔”As Is” in any condition
Maintaining Good Relationships is our #1 Priority!
We’d enjoy a time to meet up with you and discuss the way we can work best together.
You will find there’s A great deal of value we provide for agents that will help Improve Your BUSINESS!
P.S. Contact Us for Access to our OFF MARKET inventory! Currently we have almost 30 Off Market Homes All Over San Diego County! We can sign buyer non-circumvent or specific buyer representation agreements so you, agents, can feel secure!