First Time Real Estate Investor: How An Agent Can Help You

by Jeff Minter

Are you new to real estate investing? Getting started in real estate investing can be very overwhelming and we completely understand. You may be afraid to pull the trigger on projects because you're unsure of values and don't want to make a poor investment.

A real estate agent is a very important member of your team and one you should not overlook. Whether you are a buy and hold investor, a flipper or hard money lender, the value of the home is the most critical detail and needs to be accurate in order for the investment to actually be a success.

Not only can agents pull sold comparable sales, they can also show you the competition, which is very important, along with the market dynamics - absorption rate, accumulation and months of inventory. These factors may affect the potential income of your property.

For flippers, we can inform you of the hot areas and what buyers are looking for in a current buying environment. Do you know the nuances of the neighborhoods that you're investing in? Is one side of the street, more desirable than the other. Are the buyers out in full force or is it slowing down?

Believe it or not, inspection items can be a deal breaker if they are not remedied ahead of time. And we can walk you through the safety and health items that will be scrutinized during an inspection.

Remember, it's cosmetic updates that first get people in the door, but it's ultimately big ticket items like the roof or foundation that keep buyers in the contract. If there are too many deficiencies, the buyer will lose faith in the home. You may have heard the saying "lipstick on a pig" - you don't want people saying that about your project.

There are so many factors that a knowledgeable agent will bring to the table that you may not have even considered. Even if you're mainly dealing with off market properties, an agent can give you reliable information that will help you evaluate the value of the property.

What you don't know can be very expensive in real estate. Even if you are a wholesaler yourself, an agent can be a great resource for you.

If you're ready to get your investment career started, or if you have any questions about your situation, give us a call. We're always happy to talk.