It may be tempting to think that, as an investor, you can find and buy Westbury rental properties all alone. In the end, the listing agent for the property can show you around and handle all of the required paperwork, right? While this is technically right, there is one serious problem with this way of thinking: the listing agent represents the seller’s interests, not yours. And when a listing agent has a dual agency (representing both the seller and the buyer), major conflicts of interest may develop. Finally, using a listing agent to buy investment properties benefits just one person: the listing agent. To guarantee that you have proper representation in any real estate transaction, you need to have a buyer’s agent of your own. In the following sections, we’ll go over why you should hire your own real estate agent and how to avoid some of the hazards of trying to do it by yourself.
Why Not Use the Listing Agent?
There are a variety of reasons why using a listing agent to buy rental properties is not a wise decision. One of the most serious is the potential for conflicts of interest. When a real estate agent lists a property, their main responsibility is trying to get the best possible deal for the seller. This makes it more difficult for the agent to help you get a better deal on the house since the likelihood is that it will not be a priority for them. Legally, the listing agent cannot advise the buyer on anything related to the sale. They may be reluctant to disclose any information that might compromise making the sale, which is also a significant disadvantage for you. Additionally, if there are multiple offers on the property, the situation can quickly become very complicated and put your chances of a sale at risk.
And then there are those rental property investors who think it’s great to use listing agents to buy properties because it will save money. But the reality is that it doesn’t cost the buyer anything to hire their real estate agent. Normally, the seller pays the real estate agent’s commissions, not the buyer. With no money at stake, the person who risks losing the most by not having their representation is you.
Why You Need a Great Buyer’s Agent
As a rental property investor, a great real estate agent must be a key component of your investing team. This is due to a number of significant factors.
Initially, as your agent, they will represent your interests (and only your interests) throughout the sales process. No matter how competent you are at making deals or negotiating prices, doing everything alone is both time-consuming and risky. The last thing you need is to make a terrible mistake due to inexperience or running out of time. Real estate transactions can be complicated. It would be advantageous if you had someone who has the knowledge and expertise to guide the process from start to end expertly.
Another critical reason why you need a buyer’s agent is for their industry connections and insider knowledge. An agent with a background in rental properties frequently has a professional network in place that can aid you in getting those bargain properties you prefer. Furthermore, if your agent is familiar and has a strong reputation, other agents may be much more willing to work with you to help you find and buy properties in prime locations.
Ultimately, if you own properties sight unseen, you need someone local you can trust to be your “boots on the ground,” so to speak. As your agent, they can deliver complete knowledge about the local market and assist you in determining which areas to buy in and which to avoid, among other things. You will not obtain this info elsewhere.
A great buyer’s agent is a real asset to any real estate investor. The same thing applies to quality Westbury property management companies. If you are seeking for alternatives to add to your investment portfolio and grow your rental property business, these are two experts you simply can’t do without. At Real Property Management Landmark, our team works with rental property investors like you to help make your rental property investing as profitable as it can be. Contact us online today for more information about our great services, or at 516-522-2859!
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