How To Find And Evaluate Real Estate Deals Through A Realtor

As you can see, the key word in this article is "a right realtor." You want to work with a realtor who understands your goals and are willing to help you achieve them. Working with the right realtor can get you more deals in a short period of time and both you and the realtor can earn money. By working with the wrong realtor, you are only wasting your time and theirs.

So, how do you know which realtor is the right realtor for you?

First, pick an area you would like to invest.
Second, drive by and pay attention to the realtor's signs.
Third, pick the top 3 companies with the most signs and/or pick the top 3 listing agents with the most signs.
Fourth, call them and interview them.

In the interview, you want to state your goals and what you would like a realtor to do for you to help you achieve those goals. The right realtor is someone who will accepts the work.

For example, if my goal is to find single family homes in need of repairs so that I can profit from them, my interview would goes like this:

Hi, my name is Phuong Tam Pham and I am a real estate investor in the east part of Pittsburgh. I am looking for ugly houses in need of repairs that I can buy, resell, and make a profit. I am looking for a realtor who will be able to help me get prospected buyers.
In order for me to stay in business and you to earn commissions, I need to buy at discount prices and make a profit. Do you have a problem making below asking price offers? (If yes, move on to the next realtor. If no, continue).

That's great! Here is what I need you to do. I need an automatic e-mail alert for new MLS listings in the east Pittsburgh. For the most part, you don't have to leave your office. I will go and look that the houses myself. If everything is right and I feel that it is a deal, I will ask that you show me the inside and complete the transaction. This way, you only have to drive me to the houses that I am most likely going to buy.

Okay, so that is a very short and general example. As you can see, in my example, I said that I will go look at houses myself. However, if you are new and have no idea how to evaluate the properties and its surroundings, then I would suggest going with a realtor to see several houses first.

Here are other important factors in a right realtor. Ask them:

• Do you invest in real estate? You want a realtor who is familiar and have experience with real estate investing because they will understand what you are looking for.


• Are you a buyer agent? You want to work with someone who will represent you and your best interest (a buyer agent). A seller agent is someone who will represent the seller and therefore might not get you the best deal. A dual agent is someone who represent both side - I would stay away from them.


• Which area(s) do you specialize in? You want the agent to specialize in the area of your interest because they know the market well.


• How many properties did you sell last year? This is to give you an idea of how busy they are.


• Do you work with investors? It's always good to ask this questions because some realtors only prefer to work with homebuyers.

Don't be discouraged if you can't find a realtor at first. It takes several interviews before finding the right one. It also may take several phone calls for you to feel comfortable talking to a realtor.

So, you have found a realtor that you can work with. You have asked for an automatic e-mail alert of the MLS listing in the area of your interest. What do you do now?

Well, first of all, an MLS listing stands for Multi-Listing Services. This is all the houses that are on the market through a real estate firm. All realtors have access to the MLS listing and can show you the listings under another agent's name.

Okay, now let's move on to what a MLS listing tells us. Here are the basic information you would find:

• Listing price - this is the seller's asking price


• Square footage - the size of the house. This can tell you the cost per square foot.


• How many bedrooms, bathrooms there are


• Year built - tells you the age of the house


• Remark sections - this is where the seller disclose some information about their houses to you. This is one of the most crucial areas to look at. You can tell if the seller is motivated and/or what had been going on with the house, for example, vacant and in need of repairs.

Once again, as I have mentioned in my other articles, it is best to work with motivated owners. In the remark sections, look for key words that tell an owner is motivated such as:

Motivated seller
Must sell
Foreclosure
Bank owned
Illness forces sale
Divorce

Before you can evaluate the property, you have to make sure that you know the area well. If you haven't pick out your investment area yet, read my article How To Find Your Real Estate Investment Area.

Once you have found an area and a potential property, you need to be able to evaluate the condition of that property in that particular area. Read my article How To Use Comps To Learn Your Real Estate Martket