Like any major business transaction, a house flipping venture or any other real estate investment will require input from different professionals before it closes. The real estate investment realtor you choose to handle your transactions can make or mar the entire process. These people coordinate the entire process and unavoidably, their personality and individual preferences could mar a smooth transaction and affect your bottom line. Because they will have to wear many different hats during the course of the project, you’ll want someone that is skilled, astute and knowledgeable among other things.
Here are a few of the most important attributes you should look for when considering a real estate investment realtor for your next deal.
Local Market Knowledge
Your realtor must understand the intricacies and peculiarities of the local market. What applies to a real estate deal in one county may not apply in another. Having this kind of knowledge and applying it at the right time can save an investment from disaster.
This kind of knowledge comes from day-to-day interaction with other players in the market and experiences on the field: it’s not something they can learn from the classroom or textbook. It takes time to develop the kind of street-smart knowledge for the local market and neighborhoods you’ll be looking for in your realtor.
This is a critical requirement because anything less means you could find yourself, and your money in a very unpleasant position. For instance, the kind of deal you can pitch in one neighborhood or property market with success may be unacceptable or inappropriate in another area. So, your real estate investment realtor should have detailed knowledge of the trends, demographics etc. so as to creatively tailor the pitch of your final product in line with your financial situation and goals. By doing that, they will deliver value for money and secure your profits.
Networking Skills And Reputation
There’s a reason people say “no man is an Island.” This applies in business too. Real estate deals gulp money, big money. Has your chosen realtor developed contacts over their years of business? Do they have a pool of contacts to lean on? How can they leverage these contacts to your advantage?
But, it’s one thing to network and another thing for people to want to associate with him/her. What are other professionals in the local network saying about this person? You would be surprised how many buyers will quickly turn down your sales offer because they don’t “like” your realtor or they have some solid negative information about their work ethics. This is always the case especially in small towns with close-knit residents.
This is an important deciding factor for checking the performance of your realtor. You’ll want an expert who not only knows the market but also knows how to get money into your pocket. If not, what’s the aim of the whole venture?
How efficient is he/she at making, and closing deals? Do they drag their feet or do they make quick decisions that lead to success? How confident and proactive is this person when negotiating a sale? Some are better than others, no doubt, but any experienced realtor should have reached a point where they can present you with evidence of an impressive sales track record.
The ability to sell in the real estate sector depends on many variables, and your realtor must be adept in these things. They should know what sells in the area, the general taste of the populace, popular renovation or remodeling styles, location of important public infrastructure and how that relates to your property, future government plans for the area, and so on. Only then will your investment have the chance to sell and sell quickly. Selling is never 100 percent predictable, but if a realtor can’t prove to you that they know their onions in this regard, then you have a deal breaker. You are better off looking elsewhere.
Thoroughness And Accuracy
For your house flipping venture to work, your realtor must be someone that is thorough and quick to notice even little details of the property in question.
If you’ve been involved in real estate for a while, you would already know that details that are overlooked at the beginning of a project can become a major issue later on. Every detail counts now in modern real estate. For instance, you’ve paid for a property that you want to flip. You intend to replace much of the plumbing fittings and sanitary wares or even add an extra deluxe bathroom/toilet to improve the sales value of your flip. But what’s the state of the piping? Or even the sewer that will be collecting all the discharge? Is the décor the kind people in that area like to buy or will you have to spend up to six figures changing tiles and laminate floors? It’s exciting to execute your first house flip but an experienced investment realtor will be on the lookout for these pitfalls, and more, and should be able to advise you on time when they foresee a problem.
Getting the right combination of all these attributes may determine the success of your project, and that’s no exaggeration. Especially for house flipping where the goal is to go in, fix it up and get out quickly at a profit. You are going to need skilled professionals on your team, and your investment realtor is one of them.