With real estate information easily obtained online and real estate offices on every corner of the street, when you specialize in this niche, investors will seek you out for your expertise and advice.
Here’s the thing about working with real estate investors — you will usually get ongoing referrals and repeat business, instead of the vanilla, residential real estate transactions where your clients may move every 7 years or so.
So what do you need to know?
- A complete understanding of all aspects of real estate investing.
- Real estate investing has its own “language” – Return on investment. Rate of return. Depreciation. Income to payment ratios.
- Real estate investments are treated differently by the IRS. While you may not be a CPA, learn how the IRS treats investment real estate. How depreciation works. Capital gains taxes. How taxes are paid when a property is sold.
- Join a real estate investment club. Do a Google search and see if there are any in your area. They usually meet to exchange tips and provide education resources to their members.
- Talk with lenders. Find out what types of mortgages are available to investors. The down payment required. Estimated closing costs. The minimum credit score. What it takes to get qualified.
- Finally, walk the talk — invest in real estate yourself.