WOW that was a long title.
For all of you who have spoken to me about how we get a lot of business we don’t keep it a secret that we owe 80% of our business to Realtors and the relationships we have with them.
Being a recovering agent has given me a lot of insight into how that world operates which has helped me tremendously. In addition, the skills that made me successful as a Commercial Agent has helped me out in the buying business & even raise money for our Real Estate syndications.
In case you don’t know it yet everyone and their Mother is a Real Estate investor and calling a Realtor to let them know you are another one doesn’t make their day. Contrary to popular belief, At least not the good Realtors, the ones with GOOD deals.
Many times investors are under the impression they are doing Realtors a favor by calling them and telling them how great you are and about all the money you have to buy properties. Because you once bought a property, or your rich uncle said that if you found a good/right deal (which they can’t tell you exactly what their definition of a good deal is) they would give you the cash to buy it.
Sorry to dash the dreams of getting rich quick like the course you paid thousands for said you would, it just doesn’t work like that.
Bottom line “ if a realtor has a great deal they don’t need you because there are people fighting for good deals. The Realtors who need you are the ones who can’t find the deals.
So how do you compete with all the other investors out their looking for deals? You need to make sure you understand a few important things that are important to a Realtor (or good wholesaler I guess).
- MOST IMPORTANT “ if you read nothing else understand this. Close the deal whether a residential or commercial agent they want to know that if that agent finds you a great deal and they bring it to you, YOU WILL CLOSE! Remember they don’t get paid unless you close the deal so don’t waste their time.
- Make quick decisions. If an agent lands a good deal many times they only have one shot. If they call you and it looks like it fits your criteria get out there right away. If once you are out there it doesn’t work for you make sure to let them know why it didn’t work. If you don’t give them feedback on deals they send you they won’t send you them anymore.
- Don’t be a douche – Even though a realtor will call you EVEN if you are a jack ass I guarantee they will call the person who isn’t a jack ass before you if all else is equal. It’s not the number #1 requirement not to be a Richard but it is a small community and if a Realtor can find someone else who isn’t one they will get the calls.
With all that being said it doesn’t mean an Agent shouldn’t have a mutual respect for you, it just means that many times for you to earn their respect you need to understand where they are coming from.
So once you have established some credibility the next thing that is important is to build that relationship and use your sales and marketing skills to keep those agents remembering you when good deals happen.
This leads me to our Realtors appreciation event at our most recently completed flip in San Diego’s 92113 neighborhood (click here to see the property website). We will be holding it open BEFORE it hits the mls and have called almost every Realtor who has either listed, sold, or has a property pending in the neighborhood and given them the heads up (and asked them if they have any other good deals) and sent out an email blast to every agent in San Diego to invite them.
We will be doing 2 things. 1 giving agents who have buyers in the area a shot to get their buyers in before it hits the MLS and we are also taking 30 minutes out of the 2 hours to talk about 3 ways they can find deals for investors in this market.
Other great ways to get Realtors to remember you are to
- Be consistent in your follow up
- Send them an email and or letter after the first time you talk to them spelling out your criteria and what’s in it for them.
- When they close deals call and congratulate them.
- Go to broker/agent caravans and present your properties you have for sell. Make sure to let them know you are a buyer.
Here is the flier we sent out for the event this weekend.
And since I can’t figure out how to make this document appear correctly in this blog post and it’s 10 at night and I want to go to sleep click here to go to the flier and see what was sent out.