Rei Resource Blog
GAIN AN ADVANTAGE IN YOUR
REI INVESTMENT BUSINESS
GAIN AN ADVANTAGE IN YOUR
REI INVESTMENT BUSINESS
If you invest in real estate or hope to, you have to find properties that make sense. Everyone see's the local signs and newspapers, but what more can you do?
If you really want the best deals in investment properties, you have to increase your odds by finding more deals. Who is more likely to get a cheap apartment building, an investor that looks through the MLS listings and calls it a day, or the one that uses ten resources? Here are the ten:
1. Talk. Let people know you are looking and sometimes the properties will come to you. There are a lot of owners out there who want to sell, but haven't yet listed their property.
2. Use the internet. Go to a search engine and enter the type of real estate you are looking for, along with the city you want to invest in. You never know what you might find.
3. Drive around looking for "For Sale By Owner" signs. Owners often don't want to pay to keep the ad in the paper every week, so you won't see all properties there.
4. Find abandoned properties. That's a pretty clear sign that the owner doesn't want to deal with the property. He might sell cheap.
5. Find old "For Rent" ads. Call if they are a few weeks old. Landlords are often ready to sell, especially if the haven't yet rented the units out.
6. Talk to bankers. You might get a foreclosed-on investment property cheaper if you buy it before they list it with a real estate agent.
7. Offer someone a finder's fee. There are people that always seem to hear about the good deals. Have such people coming to you.
8. Eviction notices. If your local papers publish eviction notices, or if you can get the information at the courthouse, it can be useful. A landlord who just went through the procees of evicting tenants is a likely seller.
9. Old FSBO ads. If you call on two-month-old "For sale By Owner" ads, and they haven't sold, they may be ready to deal. Owners often give up the effort, but still would love to sell. Help them out!
10. Use a lead generation software or service. A good lead generation software will give you vacant house leads and house deals right from your desktop or mobile device. There are so many available, but we have our own preferences. You can visit MyHouseDeals.com for potential of market deals or a software like BirdDogBot.com for unique leads like vacant house leads for starters.
Benjamin. is experienced as a property Wholesaler, Fix & Flip and Turnkey Rental Property Investments throughout the United States.
Whatever the reason for selling, you’ll want to get the most out of the transaction. Some simple tips can help you market and sell your home in the least amount of time, for the maximum value.
1) First, do your homework. Find out the local market conditions for your neighborhood. Depending on your area, there may be better/worse times to sell. Once you’ve decided to sell, there are three different levels of service that you may want to consider:
• Sell the home yourself (FSBO) / Real Estate Investors
• List your with a Discount / Flat fee broker
• Utilize a full service real estate agent/brokerage
If you are inclined to sell the home yourself, note that you will bear the responsibility for marketing your property, along with full legal disclosures, inspections, appraisals and the like. You should be very comfortable with real estate related documents, and comfortable with the legal implications resulting from the transaction. If you choose an investor to purchase your home you don't have to worry about the formal inspections, appraisals or marketing your home which eliminates additional cost of repairs, etc. Investors tend to buy the home "As Is" and pay all associated cost including the closing cost. You would just have to be ready to sell the home at a discounted price, which tends to be a win win for both parties if you don't have the liberty of time on your side to sell in a traditional matter.
You can also choose to use a discount or flat fee broker, who will assist you to sell your property. Depending on the broker you select, you may be able to get some assistance with marketing, open houses, disclosures, title/escrow, etc. Make sure that you understand exactly what services you are willing to pay. Make sure you understand what services are covered under each pricing plan. Find out if your listing will be posted on the website, what signage will be available to you; find out if you are posting the home to the respective MLS (multiple listings service) in your area. Each broker is different, so make sure to get references from former clients.
If you want to market your property to the largest pool of possible buyers, list your property with a full-service real estate broker/firm. Now, before you search online or check that postcard you received in the mail, make sure to take the time to interview more than one agent/agency.
Find out if they are a REALTOR® -- a member of the NATIONAL ASSOCIATION OF REALTORS, a trade organization of nearly 1 million members nationwide. Members of NAR subscribe to a stringent code of ethics to guarantee the highest level of service and integrity. You may also want to know if they have any special REALTOR® designations, such as GRI and CRS, which require that real estate professionals take additional specialized real estate training. In addition to qualifications, you should check references of the agent. Make sure to speak with former clients to see if the agent is responsive and is available to keep you up-to-date with progress. You need to have direct contact with your agent, so you will need to be as comfortable as possible. The agent that handles your listing should:
• Detailed marketing plan for your house, including online and offline marketing
• Prepare a Comparative Market Analysis (CMA) of properties in your area that have sold, as well as properties currently listed
• Help you determine the best selling price for your house
• Advice on suggested home improvements
During the time that your house is on the market, potential buyers will make appointments to view your home, along with the planned open-houses that you or your agent may schedule. Try to evaluate the house as if you are seeing it for the first time. Buyers need to envision themselves living in the home, so take care to present the property in its best light. Put yourself in the position of a potential buyer and view the property starting at the front, itemizing the most cost-effective enhancements to make.
2) Clean up as much as possible. You may want to paint walls (neutral colors are best) or spruce up wallpaper. Replace old flooring and worn carpets. Check and repair damaged or unsightly caulking in the tubs and showers. If possible, hire a cleaning service. Display your best linens, towels, and shower curtains. Make up beds, and put fresh flower arrangements on the table. Make sure that there are no offensive odors in the house. Odor is the first thing buyers notice, and often a permanent turnoff.
3) Make your house their new home. Put away or pack small appliances and other items that might be sitting on countertops or tables throughout the house. You want buyers to visualize the space in each room, so it is best to remove as many smaller items as possible. Remove personal items, pictures and items to present clear shelves, book cases and walls. Move excess furniture to make rooms more spacious. Replace heavy curtains with sheer ones that let in more light. Clean and organize the closets. If you must, store boxes in an out of the way location. You may also want to rent a temporary storage unit, to allow you to de-clutter every part of the house.
4) Don’t forget the outside! The right landscaping can enhance the curb appeal of a home. Eliminate weeds, patch bare spots, fertilize and water. Take a good look at the shrubbery. Bushes that have grown to cover windows should be pruned to let sun and light into the home. Fill in bare spots with small shrubs and colorful, fast growing annuals, such as impatiens and petunias. A few well-placed flower pots by the front door can be very inviting. Today's buyers want low maintenance. Your goal should be a beautifully maintained yard that looks easy to care for.
5) Allow your agent/representative to show your home. Buyers don’t want to offend current owners, so they may be more hesitant to consider your home if you are present for open-house events. Be flexible about showings. It’s often disruptive to have a house ready to show on the spur of the moment, but the more often someone can see your home, the sooner you’ll find a seller
Benjamin. is experienced as a property Wholesaler, Fix & Flip and Turnkey Rental Property Sells throughout the United States.
The ideal agent is not always the one with the most sales under his or her belt, or the most years on the job. The ideal agent is one who listens to your needs, and is easy to get along with, and most importantly has the tools and skills to address your unique situation.
Every home buyer is different just as each individual is. Some have credit issues. Some are relocating and buying from out of state. Some need help selling their current home in addition to buying a new one. Just as buyers have different needs, real estate agents have different skills and specialties.
Here's how to find the agent who's right for you:
1. Ask a colleague, friends and family for agent referrals.
Nobody knows you as well as your friends and family do. So they're often in a better position to recommend an agent who is well-suited for your needs. Your colleague can also be of an assistance, especially if they just purchase a home recently. Most of the time you can trust a referral from friends or family more than one that comes from a complete stranger.
2. Talk to multiple agents.
National statistic showed that 84% of home buyers choose the first real estate agent they contact. This means one of two things. Either most people are choosing wisely the first time, or they're just rushing into things without shopping around. Probably a little of both. As an investor we work with agents that understand the investing language of today and most importantly answer there phones.
On another note. You don't have to exhaust yourself interviewing agent after agent, but at least talk with two or three to see who you're most comfortable with (which leads to the next point).
3. Consider your comfort factor.
Professional expertise is an important criterion when choosing a real estate agent. But interpersonal skills are equally important. After all, you'll be working with this person anywhere from on average 3 to 12 months, so it helps to get along with them. We all have unique personalities, and that's the way it should be. Although when working with someone professionally, if helps if their personality "meshes" well with your own.
4. Ask how they find there listings.
When deciding on a real estate agent, ask how they search for homes. Some agents have their own preferred listings that they favor. But you want what's best for you, not what's best for your agent. You're paying them, right? So make sure the agent is willing to search high and low to find the best home for you. That includes using the Multiple Listing Service (MLS) as well as their own personal network. Experienced agents at times have inside intel when someone is planning on putting there house on the market.
5. Read paperwork carefully.
This advice is heavily used for a reason. It's critical that you examine all documents and contracts during the home buying process, and that includes your agent purchase agreement. At some point during the relationship, your agent will probably ask you to sign an agent agreement. Basically, it just means that if the agent shows you a particular property, your purchase of the property should be credited to that agent. We professionally recommend that you have a real estate attorney look over the contract before signing if you don't understand the conditions of the contract. In most cases it's simple, just be sure to read it carefully and ask questions.
Annalyn. is a Marketing Director and Investment Support Specialist at Norita Investments a Commerical Real Estate Investment Company.