Blogger’s Note – The son of a good friend of mine is looking to get started in real estate investing. He would like to become a landlord and find properties that offer positive cashflow to replace his current income. His goal is to ultimately become a full time real estate investor. I have been giving him some advice as he tries to liftoff his real estate investing and I thought it would be interesting to share some of his newbie questions and my answers on this blog as I’m sure there are others out there who have the same questions. I hope to publish more questions and answers in the future. Look at the bottom of this post for more questions and answers in this Newbie Question and Answer series.
Question: What should a newbie investor look for in a Realtor when starting out?
Answer: The heart of a teacher.
To someone just starting out in real estate investing, the services of a Realtor can be very helpful. A Realtor can act as a guide as they take the newbie through what can often be a very complicated real estate investing world. When I was just starting out, I used a Realtor and found their advice and services invaluable.
But not all Realtors are built the same. Realtors come in all shapes and sizes and just picking a Realtor at random will not do. Instead, as a newbie, you need to find a Realtor that can and will help you achieve your investing goals. And I think the most important quality for a Realtor to have at that stage is the heart of a teacher.
Newbies need teachers and guides. They need people that want to help them and show them the way towards success.
But how do you find a Realtor who has the heart of a teacher?
It is no easy task. There will be many Realtors out there who will tell you that they can help you, but not all can. As I said, not all Realtors are built from the same cloth. Some will be focused on retail buyers and others will be focused on specific areas. These Realtors may be of little service to you. In fact, they may actually hamper you.
Instead newbies need a Realtor that will take some time to get to know them and gauge their level of knowledge. This person should be asking the newbie all sorts of questions. Not just about their price range but about why they want to be a real estate investor. They should be helping you think about your long term goals and offing to be part of the plan to get there. You want to work with a Realtor who not only knows and understands the pros and the cons of real estate investing, but will also share that knowledge with you.
With those thoughts in mind, newbies should seek out a Realtor who has been in the business for a while. Seek out someone with a good track record. Look for someone who has or currently owns similar types of investments. Run away from anyone who is too focused on their commission or is more interested in getting you signing something than talking to you. Of course Realtors should be paid for their efforts and advice as they often will exert loads of effort. But those things will naturally come later, not first.
If you use a Realtor, how did you find that person? What qualities would you look for in a Realtor if you were just starting out again? Please share with your comments.
Other posts in this Newbie Question and Answer Series
Is Your Real Estate Market A Good Place To Start?
