Investors who work with a real estate broker have found that a good relationship is probably the most critical link to rewarding investments. An experienced broker will serve as the investor's primary source of leads and insight into the real estate market.
Make sure the lines of communication with your broker are open and go both ways. Your broker should have a clear understanding of your objectives and needs. Be upfront and honest about your financial situation. A good broker will always keep your situation in strict confidence. If you mislead your broker about your investment ability, you will lose his trust, and he will probably not be as willing to work with you.
When your broker tells you about a property, you need to be ready to inspect the property at a moment's notice. Timing is often critical in real estate. Failure to investigate a buying opportunity when it presents itself can result in lost property for you and lead your broker into thinking that you are not a serious buyer.
After you have inspected the property convey your opinions both positive and negative to the broker. After a while, your broker will develop a sixth sense as to the type of property you are interested in.
You should be able to rely on the broker to advise you when making an offer. A good broker will tell you if he thinks you are overpaying for a property. Likewise, an initial offer that is too low can give your broker and the seller a poor opinion of you. It may lead them to decide that you are not a serious buyer. If you submit a low ball offer, the seller may not even bother to reply with a counteroffer.. You should always have a second offer in mind if the first one is rejected. You should try to keep the negotiations from bogging down or breaking off entirely. When your offer is accepted, you need to be ready to move on to contract immediately.
A good broker will keep you up-to-date on market conditions, and advise you when it comes time to sell.. He or she can also put you in touch with other investors who may be interested in partnering with you on other investments.
