What do San Diego Realtors look for in a real estate investor?
Some real estate investors might think this sounds like an odd question. Shouldn’t Realtors be begging for their business? Yes, and no. Some will certainly be falling over themselves to gain any whiff of business, no matter where it comes from. Of course, these are often those real estate agents that don’t have much going on at the moment. However, good realtors are typically busy. They are also hounded every day by mortgage brokers, attorneys, title pros, appraisers, marketers, buyers that shouldn’t be shopping for a home just yet, and plenty of other real estate investors. They get solicitors pitching everything under the sun on their doors steps, phone calls that break their voicemail, hundreds of emails, letters and postcards, and more.
Contrary to some misconceptions, relationships between real estate agents and investors can be extremely beneficial and profitable. It’s not always the case of course, and just as among investors, it may only be the top 7% that are really doing deals. However, good CA Realtors can bring business, help save money, and can be instrumental in collaborating to take it to the next level. So what do these good Realtors want in an investor? How can you stand out as a potential partner and client to work with, and how can you make it make sense?
Negotiate
The top complaint of real estate investors is usually that real estate agents are too expensive to work with. They don’t want to pay 10%, 6%, or even 2.5% of the deal for help. Some may be doing themselves a disservice. Many don’t even bother to try and negotiate. What if you could have a Realtor doing 90% of what you are doing now, for just 1%? It’s worth asking.
Of course, most San Diego County Realtors aren’t just going to slash their income for everyone. Walking in with big promises of doing millions in business, without a single deal under your belt isn’t likely to help you stand out. If you’ve got the deals, show off your track record. Or at least offer a sliding scale depending on volume. Perhaps the best way to get their attention is to even bring value to the table first with a referral or two.
Find a Realtor You’d Like to Have a Beer With
According to a recent interview for Tim Ferriss, PayPal founder Peter Theil said their initial hiring strategy relied on finding people he’d like to have a beer with. Of course, tea or lunch, or a weekend BBQ all work too. The point is not just those that are good at what they do, but that you can actually stomach to be around and build a long term relationship with.
Be Someone They’d Want to Refer Deals to, or Represent
It’s not much different than dating. Sometimes it’s easier and wiser just to attract them by being someone they’d want to get into a relationship with. Are you good at what you do? Reliable?
Answer the Phone and Email
If there is one thing Realtors are demanding, it is instant contact. They seem to expect everyone else to answer immediately, no matter what time of day it is, every day. This might seem a little ironic for anyone who has tried contacting a Realtor or responding to one of their ads recently, but it’s a fact. Some say they their success relies on being available 24/7. Others, of course, are striving to minimize their working hours, and get down to the fabled 4 hour work week. If you aren’t going to be on all the time (which can be hazardous for your health), at least be upfront about when you’ll be available and not.
Be Qualified, and Ready to Make Real Offers
If California real estate investors have been turned off of working with Realtors in the past, the same certainly goes the other way. When 9 out of 10 people come in to your office fresh off of a Carlton Sheets program with no idea of how real estate really works today it can get a little old. The last thing they want to hear is that you expect them to throw out low ball offers for 50 cents on the dollar all day. Not that this doesn’t work, but they’d far rather have a client with cash and proof of funds, or a pre-approval letter from a good mortgage lender and be willing to make more easily accepted offers. Perhaps you are even willing to pick up some of the work they normally do. If all you need them to do is forward your offers then there may be room for negotiation.
Make them Look Like Rock Stars
What is it that Realtors really want? They want to look like rock stars. They want to be banking like them, be on every bench and billboard in town, and be able to stun the rest of the agents in the office with how many deals they are doing. So how are you going to help them look better, make them more money and feed this need?
