I do like Johnâ€™s straight answer to your question as far as a prequalification goes, but there is a flip side to this that all consumers / investors should ask: are you the agent qualified and dedicated enough to service me and fulfill my needs? (80% of agents are not qualified to work with investors) Investors will consume much of your time, 20-30 hours per transaction, or if they do 20 transactions per year thatâ€™s about 25% of your work week.
First rule of working with investors, success breeds success aka everyone makes money! Seasoned investors are extremely skeptical of real estate agents; they are much savvier then the general public, they are usually crass and generally think they know what they want. The frankly they donâ€™t trust agents because they believe itâ€™s the agents job to â€œsellâ€ they donâ€™t want to be sold but they want to be made aware of opportunities and they want the agents input only to a certain extent in regard to the negotiation of the deal. If the transaction goes well then they begin to build trust with the agent, it usually takes 2 to 3 successful flips before trust and a good relationship begins to gel. Donâ€™t even try working with an investor if you are a part time agent, investors are very demanding and they desire you to work as hard as they work; meaning 12 hour days when needed, many are smarter than most agents they know the codes, inspectors, title companies, other agents, city officials and lending companies, they are networked. When working with an investor personality plays a big part so itâ€™s important to find a good fit because no one wants to fake it for years and years this is a long term deal. Other upsides to investors are they provide steady income; the downside to investors is you get to submit a ton of paperwork of which half or more goes in the trash on 30-70k properties. (aka low commissions) The upside to submitting a ton of paperwork is now you are the office expert at hometelos and many others, plus now you are practicing real estate and not writing 2 deals a year. (You get good fast when you write 40-50 contracts per year) As an agent the experience you gain will serve you well with your other clients and will give you a HUGE edge over other agents.