Success in real estate requires working with a team. Building a real estate dream team is paramount to obtaining and maintaining your success. There’s so much to do, and it’s never wise to take it all on alone. The recommendation from long-term real estate investors is for new investors to build a team and forge a bond with smart individuals. There is a lot to be done and many to work with.
At the start of your journey as a real estate investor, you need three key people as team members. As time passes, there might be additions to the team but at first, a real estate agent, contractor, and accountant are important to you. Each of these individuals play a crucial role in making a success of the business. To get a good and comprehensive insight into the role of each of them, let’s discuss each at a time.
A Real Estate Agent
The invaluable help that real estate agents will provide at the early stages of your investment in real estate is most beneficial. Real estate agents have good networks and access to property listings. A real estate agent can spot good deals that will be profitable and won’t be difficult to pull off.
Due to the good network of such a realtor, it can be sometimes easy for such one to find a property not yet listed. Once the property is not listed, there is a chance of purchasing it at a price a bit below the competitive market value. When opportunities like this are spotted and utilized, more profit can be generated.
Marketing a property is also another specialty of realtors. Realtors can negotiate deals and prepare contracts. Being in the business gets them acquainted with the intricacies of the real estate market and you will evidently benefit from their experience.
So, never underestimate the influence and assistance of a real estate agent. Even real estate investors who have been in business for years use the services of realtors now and then. So at your early stage, get one as part of the team.
A contractor is next on the list. A contractor is specifically needed if you invest in real estate wholesaling. Real estate wholesaling is especially recommended if you are just venturing into real estate. A contractor helps to fix the distressed property and bring it up to standard before it is put up for sale.
A major benefit of having a contractor in your team is that a property assessment can be done easily and you can evaluate quickly if such a property will be worth the effort or not. Also, being part of the team, the timeline for each project can be communicated smoothly.
So, do your findings, and search for reputable and inexpensive contractor that you can add to your team.
From the first small transaction to the point where it gets intricate and numerous, an accountant is needed for proper financial record keeping. Beyond record-keeping are taxes and revenue maximization. An accountant added to the team should be a certified one and also experienced in tax-efficient strategies.
These are three key people you need to add to your team as you get started in real estate investment. Of course, other roles can also prove helpful.
- Real Estate Attorney
- Insurance Agent
- A Lender
- Cleaning Company
Tips to Keep In Mind When Choosing a Team
Your dream team can bring you a failure if you are not careful, so ensure they meet up with some criteria. Don’t shy away from interviewing each of your team members. This is business and it must be treated as such. There is no room for trusting blindingly or making decisions without doing a thorough check. If it’s an individual, ask questions and ask for references. If possible, let them be recommended by someone you trust.
If you are adding a contractor to the team, request for licenses of such a business, check for reviews from users who have employed their service in past, and use that as a basis for evaluating their quality. Reviews can help you decide if the contractor or cleaning company can deliver quality service.
Start Building Your Real Estate Dream Team
After choosing a good team, the interaction between each member must be addressed. Let each team member know your goal. Learn to oversee and not micromanage the jobs they perform.
To further improve the effectiveness of your business, keep the communication line open such that issues can be addressed on time and problems solved swiftly. Communication is also crucial to the growth of the team as a whole. So encourage your team to also communicate regularly to achieve success.
Overall, as you plan your dream team, add these key people to your team. And do not just choose just anybody, always go the extra mile to pick the right team members. The right team will steer you towards success.