OfflineI have read a lot on here about how real estate agents can be a crucial part of your business. I am still a little confused and I was hoping someone could explain it to me.
If my goal as a birdogger and wholesaler is to find a distressed property with the hopes that I can put a low offer and "flip" the contract to another investor, how does a realtor on my side or "team" make this a good thing for me? Would it be necessary to have a realtor involved on my end? If the seller has a listing agent/broker/agent and has to pay he/she when the deal closes, why would it be to my benefit to have an agent representing me? Or how could I motivate a realtor to go out and put in low offers on distressed properties with me when they could capture the entire comission on their own? is it because I have possible investors in on the deal?
So lets say I find a house at $200,000. The owner owes $150,000 on it and is facing foreclosure. I work out a deal with him/her and put it under contract for $155,000. This satisifies the seller and then I resell it to an investor for $160,000 making $5,000 profit for myself. How would I benefit from having a realtor on my side or helping me find deals? I guess i'm not seeing it. I know i asked this question before, I just didn't get enough clarification. Thanks everyone for your help and patience.
I was having that same problem wondering but I think if you find another investor then you don't need the realitor all the time just if you can't find another investor or buyer at the moment then the realitor is a back up. I maybe completely wrong but that is just how I see it. Other investors and realitors are your team members and it doesn't matter who you pass it off to as long as you do and make money to move on to the next deal.
Hi Daniel,
You will need a realtor at some point but not neccessary for every deal. Birddogging is a perfect example of when you would not need to use a realtor.
When it comes to wholesaling though, maybe a realtor would be a great asset to send details of many properties to you that meet all your criteria, size, price, beds/baths, days on market, school district, etc., etc., they can get this info for you many times faster than you could by yourself.
Angela