Most things in life are complicated, especially if they are relatively unknown to us. Well, the same goes for this one. In the beginning, when you are not sure where to go or who to turn to, you may be a bit frustrated.
But don’t worry. The situation is not as gloomy as it may appear to be at first glance. Now, if you are planning to invest in real estate probably, then you probably already know that it’s of huge relevance to have a powerful real estate investing team by your side.
Without it, you are not going to be able to get the job done the right way. Most experienced investors will tell you that a top-notch team is essential if you want to be successful in this industry. So, who needs to be there? Let’s find out!
Who Has To Be Part Of Your Real Estate Investing Team?
Real Estate Agent
This person is probably one of the most crucial members of your investing team. Any high-quality real estate agent is here to help you find the best deals for yourself, comprehend everything regarding the real estate marketplace, bid on your behalf, and transact.
Namely, these agents can act on behalf of both the seller and buyer. Usually, they receive a commission, which is approximately six percent by the person who is selling his or her property. So what does it mean then?
It means that if you are searching for a real estate agent to help you purchase a property, you are not going to pay anything. Bear in mind that not every real estate agent is good. Furthermore, you should hire somebody who is investor savvy or has enough experience with other real estate investors.
Property Manager
Self-management of rental properties isn’t exactly the best idea in the world. It’s not because you are incapable and we all know that you are the one who cares most about your future property, but it still doesn’t mean that you should do it.
Therefore, you should definitely consider hiring a property manager. If you live in Dallas, Texas, or anywhere near this city, then maybe these professionals can help you out during the real estate investing process. Why is it so important to have a property manager by your side?
Let’s perceive things this way. You are not aware of how self-management expenses can be high. For instance, you are going to spend at least a couple of hours every month in order to manage every single one of your properties.
And we are not including the time you are going to waste driving around. Then imagine experiencing situations like emergency repairs or evictions. Both of these scenarios can be extremely time-consuming.
Do you think that you can do all of this by yourself? If the answer is yes, then hands down you are extremely resourceful and intelligent. On the other hand, if the answer is no, then you shouldn’t be having any doubts about hiring a property manager.
Who Is Also Necessary?
Lending Specialist/Mortgage Broker
Also, another important part of your team surely needs to be a mortgage broker. Frequently, before you even start searching for properties with a real estate agent, they will advise you to contact a mortgage broker, or possibly a bank.
Why does this matter? It’s because they want you to know how much money you can spend, as well as the amount of money you are going to use as a down payment. The whole point of this is to go through the numbers with you and that’s it.
That’s precisely why a mortgage broker is one of the key elements when it comes to your real estate investing team. That person is supposed to be someone who is experienced, skilled, and is very familiar when it comes to investments because he or she has to be able to educate you on various ways you can finance a certain investment property.
A Solicitor And Contractor
During this process, it would be recommendable to have different types of attorneys. For instance, you need a person who is going to help you put together all funds, or maybe you will need an advocate who will help you with evictions or contracts.
You never know when you are going to need a certain “type”. Now, when it comes to due diligence, it’s worth mentioning that this is a big part of your purchasing stage, for instance, when you have the property under some contract.
In that case, it would be of huge importance to have a contractor next to you, or at least somebody who is familiar with the building. What does due diligence mean? It means to gather data from the current owner, hence, it wouldn’t hurt to have somebody on the team who will help you gather these items.
As you can see, there are so many people that have to be there with you on this journey, but on a more positive note, at least you are not going to be alone. With their help and help with this article, you will do great!