Investors: An Agent’s Help Can Improve Your Return

Realtors Can Help

Realtors Can Help

A skilled, knowledgeable, experienced real estate agent is one of the best assets a real estate investor can have.

Whether you’re diving into the real estate investment pool for the first time, or you’re an experienced investor, a trained real estate agent can perform many functions more efficiently and effectively than you yourself can. And by the way, you don’t have to be wealthy to invest in real estate; nearly half of investors in 2009 earned $75,000 or less.

The value of an agent goes far beyond showing properties. “Realtors are up with current trends,” says Ken Millar, Designated Broker with Peak Realty Advisors. More than one-third of his business involves investors, with whom he’s worked for many years.

“Annually, our agents attend several hours of classes to receive continuing education in an effort to stay up to date,” he says. “We’re out in the market every day, we know the best areas to purchase investment properties, and we know where the best areas might be in the future.  It’s the knowledge we bring to the table that makes a real difference. Investors can’t stay on top of these trends like agents can.”

Why now is a good time to invest.

A well-schooled agent can serve as a valuable counselor for investors.

“We can make sure you pay the right price – and sell for the right price when the time comes – show you what’s happening in the rental market, help you decide whether to buy and hold or re-sell quickly, and provide other critical advice,” Millar says.

Agents can provide valuable assistance in the area of negotiation too.

“Investors don’t want to spend three or four days negotiating offers,” Millar says. “We can do this for you in a much quicker time frame. We’re going to fight for you.”

Millar cautions that you should be certain you’re working with an agent experienced in helping investors.

“That kind of agent will have a team in place to get things done fast,” he says.  “For instance, I have contractors ready to go on a moment’s notice to get homes fixed up and resold in a matter of a few months.  This can reduce your holding costs considerably.”

Questions You Should Ask Agents.  Interested in investing, and want to find the best agent to represent you? Ask these questions:

  • How many investors have you worked with?
  • What’s the average time on market for investment properties? (especially rehabs)
  • Do you know the market’s cap rates?
  • Can you estimate ROI for a given investment?
  • How knowledgeable are you with tax advantaged programs like Self-Directed IRAs and 1031 Exchanges?
  • Do you know where the good buyers are?
  • Do you know the areas where I can rehab and quickly sell an investment property?
  • Do you know the areas where homes get rented quickly?

Many investor-oriented agents have investment teams in place, comprising an attorney, accountant or tax advisor, loan officer, appraiser, inspector, title officer and insurance professional.  The team makes the buying and selling process quick and efficient.

The opinions expressed by the owners and agents of Peak Realty Advisors, LLC are published for educational and informational purposes only, and are not intended as specific investment advice or as a substitute for professional legal or tax advice. Please consult an appropriate legal or tax professional for your specific investment needs or concerns.

Peak Realty Advisors, its owners, any of its agents and affiliates disclaims any liability arising from your use of services or advice mentioned herein, including but not limited to any misunderstanding or misinterpretation of information provided here.