Work – Should You Work With A Realtor
- July 9, 2020
- Posted by: Jim Pellerin
- Categories: Control, Educate
Should You Work with a Realtor?
One of the questions I get asked a lot from people getting started in real estate investing is whether they should use a realtor or not.
Obviously, the main reason they ask this question is because they are concerned about the costs. They’re worried about having to pay that 5% when they’re selling their property.
First of all, let’s talk about the fee that a realtor charges.
A realtor usually charges a 5% – 6% commission, but they only charge the seller. The buyer doesn’t pay that commissioner. Now some people will argue “well yeah buyers do pay part of the commission because it’s rolled into the price”.
If you are looking at having a long-term career with real estate investing, you want to make sure you have a good realtor working with you.
You want to be able to call up this guy, this person, and ask them if they can give you some information on a property you just saw. You want to be able to talk to them about an area and get some comps for that area. You want to be able to work with this person. In part, he/she is your partner. She’s your partner in your investment business. It’s not just somebody you call when they list a property and it goes up for sale. And then you will need this person to do a transaction. He/she is there for you all the time.
When you are looking at properties and if there is a realtor that has a property listed, you don’t want to go and start talking to that listing agent. You want to use your own agent, the agent that you now have, that you are working with. You can work with multiple agents. Because for certain transactions, it might be that you need a commercial agent for your commercial investments.
You want to find a good real estate agent that is involved in real estate investing and will save you time and money.
They will be on the lookout for properties for you. They will be able to give you a better valuation of the property. They will be able to represent you. They will be able to give you access to the MLS listing for a property.
When I say the MLS listing, I am talking about the details behind a listing. Like when the property last sold? I know there are a lot of public places that you can go and research all this, but I don’t do that. I just send my realtor an email saying “Hey, I need more information on 123 Parkside Lane” or something like that. And then I get a lot of information.
So, when getting started in real estate investing, and even throughout your whole real estate investing career, make sure you get a good realtor and that you work with them and that they become partners in your real estate investing adventure.
If you like what you hear and you want to learn more about real estate investing and how you can scale your business really fast, go to JimPellerin.com/invest