In today's show, Larry and Kandas discussed questions one needs to ask when looking for a good agent. They also talked about different activities they are doing that’s related to generosity.
It’s time to BRAG, Be Rich and Generous. BRAG radio is hosted by bestselling real estate investing author Larry Goins and co-host Kandas. For the next hour they will show you proven and effective ways you can be successful in real estate. From the WBT studios the flagship station of the Brag Radio Network, here are your hosts, the rock stars of real estate, Larry and Kandas.
Larry: Hello, hello, hello what’s happening? How are you doing?
Kandas: I’m good how are you?
Larry: I’m doing excellent.
Kandas: Chad, you good?
Kandas: Not sleep deprived today?
Chad: No I’m wide awake in America.
Kandas: Wide awake in America.
Larry: That is awesome. Good. So BRAG Radio we’re all about being rich and generous we teach you how to invest in real estate.
Kandas: It’s what we know.
Larry: And then how to go out and be generous and help others. What are some things we’re doing right now on the generous side Kandas because we talk about real estate all the time. And we got some stuff that’s really going to help you get started in real estate today on today’s show. And be sure to follow us facebook.com/larryhgoins.
Kandas: Your Facebook.
Larry: Yeah our handle as you call it.
Kandas: Yeah I do call it that.
Larry: Facebook handle, you got them mirrors on good buddy come on. So what are some things we’re-
Kandas: You do that every time you talk about it. You did that last week too.
Larry: I know. So what are some things we’re doing right now to be generous?
Kandas: Right now one of my big things that you were picking on me a couple weeks ago about mentioning is that we have a blood drive coming up in June. It’s June 26th.
Larry: Yeah I said let’s go and tell them about the Christmas party right.
Kandas: Well here’s the thing, like it’s May now so I don’t feel like it’s too soon to be talking about it, I didn’t feel then like it was too soon to be talking about it, and I don’t feel now like it’s too soon to be talking about it. Because I really want to make an impact with the blood drive that’s going to be at office. Now if you guys are close to our area, we would love for you to give us a call and let us know if you’d be able to stop by.
Now if you go by the office on the 26th, we will have the blood mobile from America Red Cross out there. I believe that Noah and Makayla and Morgan are all going to be there and will be helping us with kind of moving people from area to give blood, to get their snacks, to wait to give blood that type of thing. So I’m glad that we’re going to have them involved. So that’s one thing I’m working on right now.
Another thing is some mission trips we have in one of the masterminds that we’re in there’s a guy that’s putting together a mission to Mexico we have a student that’s putting together a mission trip to Puerto Rico. So I’m working on those different things with them trying to coordinate and see if there’s anything that we can work into the calendar that we already have for this year with events to go to for us and our families.
Larry: That’s exactly right, that’s really good Kandas.
Kandas: I know.
Larry: Thank you for doing all that. I know it’s a chore, I know it’s a lot but it’s really for good causes.
Kandas: Well when we’re doing it, when we’re in the middle of it, it’s all worth it. It is some prep work and I mean you got to rearrange some stuff and everything like that. But ultimately when we’re there and we’re actually in the midst of everything happening it’s awesome.
Larry: That’s so true. So on this show we try to keep it light, we try to keep it kind of an overview on stuff because it’s so hard to get into the nitty-gritty details about stuff right.
Kandas: If you listen to use more than just these last three and a half minutes you know that this show is very light.
Larry: That’s so true.
Kandas: It is a real estate show and we do get into real estate most of the time.
Larry: That’s true.
Kandas: At some point.
Larry: And in my opinion we have a really good topic that we’ve really prepared for, and talking about- because I actually had this question about how do I pick a realtor, how do I know if I got the right realtor, right. And there’s good realtors just like in any business right just like in any industry in any business, there’s good bad and there’s ugly right.
Kandas: That’s right.
Larry: And I don’t mean literally ugly okay if you’re an agent-
Kandas: He could.
Larry: Well that’s like Garret in our office, he’s 24, he’s CPA, he’s single girls.
Kandas: He is single and he’s on the prowl too.
Larry: Well he said the other day, he made an offer on this house and he said, “I think I’m going to drive down there and look at this house.” I said, “Yeah well why do you feel like you need to go?” he said, “Well the realtor is really cute.”
Kandas: Yeah I asked him I said, “Before you drive all the way to that house is her hand in the picture? Can you see a ring? Are you wasting your time and my mileage money going out to look at it?”
Larry: I know right.
Kandas: Yeah, he’s funny.
Larry: That’s funny. But yeah I thought we would talk about on this show about ways to know and questions to ask to make sure to make sure that you find a good agent. Now before we get into this, I do want to share a little bit about-
Kandas: You’re going to preface it?
Larry: I’m going to preface it? I guess. Anyway what I do want to say is I got something to say about that.
Kandas: Of course you do.
Larry: But what I do want to mention is you’re not going to get all your deals through agents okay.
Kandas: No, definitely not.
Larry: I mean right now it’s a sellers’ market right.
Kandas: At the moment.
Larry: And I mean listen we talk about we buy HUD houses and we do buy HUD houses, we also buy houses off the MLS. But we also buy houses from birddogs, from bandit signs, from craigslist ads, from direct mail, from pay-per-click advertising, from Facebook ads, and from apprentices right.
Kandas: Now guys keep in mind too though that we do have a lot of different marketing tactics but we have scaled. We’re at the level to need deals from multiple sources like this because we got a lot of mouths to feed. So if you guys are just getting started though, focus on one tactic. And get really good at it and then add them as you need to add them to be able to scale, to have diversity and things of that nature.
Don’t think that you’ve got to go out and do all these different things at one time.
Larry: That’s so true.
Kandas: I know.
Larry: That is true.
Kandas: I listen.
Larry: Listen, start from where you are right now. I mean and last week we actually talked about what could you do based on time, no time, money, no money, credit no credit, what’s the best way to get started and what can you do?
Kandas: Yeah you guys go back and listen to that show, it’s on bragradio.com.
Larry: There you go. So the first thing and I started to call this Five Key Questions to Ask an Agent Before Making and Offer right.
Kandas: Yes but the time prohibits us from actually putting a number on anything because of the rabbit holes you decide to go down.
Larry: Well not only that, I’m not really concerned about only getting five, or not getting to five. What I am concerned about is there’s way more than five.
Kandas: Oh I know there’s five. But this is best.
Larry: Yeah. Okay so the best.
Kandas: The best.
Larry: And I don’t even want to call this, before making an offer because, really you need to ask questions about the property.
Larry: So what I want to call this is about key questions to ask an agent before working with them okay.
Kandas: Okay that works.
Larry: So I think the very first question you need to ask an agent is how long have you been in the business, right? If they say, “I just got my license last week,” next. No I’m just kidding. You don’t even really need to say that, and here’s the reason why okay.
When you have a person that just got in the business, they’re brand new, they’re green, the great thing about it is, you can groom them to work with you and get them to do what you want them to do. And I don’t mean that in a bad way okay.
Kandas: No but-
Larry: I don’t mean that like you’re going to waste their time because you’re not, they’re on commission only right.
Kandas: That’s right but you don’t have to overcome any of-and I use this word a lot- the jaded kind of mentality of realtors that don’t like working with investors.
Larry: And there’s a lot of them out there.
Kandas: It’s a real thing.
Larry: And it’s justified because there’s a lot of late night infomercial watchers and seminar junkies.
Kandas: Very true.
Larry: That will waste an agent’s time. That’s why we teach our investors, listen to even tell the agents it’s in our scripts, “Look the last thing in the world I want to do is waste your time. I mean that’s in our scripts because the agents, a lot of them are jaded already from the seminars coming through town.
Kandas: That’s right.
Larry: But you want to work with agents that you can work with and you got to build that rapport with them right. You got to build that rapport and listen a lot of people think if they’re brand new, no you don’t want to deal them. If they’re brand new they don’t know what they’re doing. But I think just the opposite actually right.
I think just the opposite because then they don’t have any previous experience, you can train them and work with them and get them up to speed and have them working with you. I mean we even have agents in our office that work exclusively for us, right.
Kandas: Right, we do.
Larry: We’re their biggest client, we’re their only client.
Kandas: That’s right.
Larry: We’re their only client right. and when we come back from the break I’ve got several more that I want to share with you in the next segment, but give Kandas a call and get a free copy of my latest book; Getting Started in Real Estate Day Trading and HUD Homes Half Off, right Kandas.
Kandas: I was getting ready to say just you implied that it was just one book but it is two; Real Estate Day Trading book that goes into how to buy and sell a house the same day using the internet and HUD Homes Half Off which goes through our process for buying HUD houses.
You can give me a call 877-LARRY-GO or text the word BRAG to 803-879-6063 to get the digital kit sent out to your email. Or like I said 877-LARRY-GO to give me a call to schedule an office tour to pick up the physical kit. We’ll be right back.
[10:04] [Break] [10:19]
Kandas: Welcome back to BRAG Radio this is Kandas, investing in real estate to be rich and generous. Hey you guys that are calling me on 877-LARRY-GO, thank you very much for calling and I will get back to you but I do not take calls during the breaks, I can’t. Sometimes you guys get longwinded and you know who you are that do that and I got to be sure to be able to come back on air.
So I’ll give you a call back or I’ll have a Zenobia help me out with giving the calls back. But definitely call into 877-LARRY-GO if you haven’t already and request an investor kit. So we were talking about or this show we’ve been talking about the best questions for realtors. Now Larry you said in the first segment that it’s really good. New investors aren’t a bad thing because they’re kind of not-
Larry: New realtors.
Kandas: I mean yeah, new realtors aren’t a bad thing because they’re not jaded. They’re willing to kind of work and looking at any property they’re pretty hungry.
Larry: Right they’re hungry and they want to work, they’re excited and they’re enthusiastic. That’s the cool thing about it’s just like real estate investing and I got to share this. This is so important and it works the same with agents too okay. So I tell people, “Hey when you first get started in real estate, what do you have a lot of?”
Larry: Enthusiasm right.
Kandas: Okay same thing.
Larry: No it’s not. Enthusiasm.
Kandas: Well you looked like you were having a seizure while you were doing I don’t what know what was happening over there.
Larry: So when you first get into real estate investing, you have a lot of enthusiasm right. But what’s missing right?
Kandas: The knowledge.
Larry: The knowledge, right. but after about 90 days of going through courses and reading books and getting coaching and mentoring, now what do you have a lot of?
Kandas: The knowledge.
Larry: But what’s gone?
Kandas: All your enthusiasm.
Larry: That’s right.
Kandas: It’s very boring to have to learn.
Larry: Well it is and that’s why-
Kandas: Ask my kids. That’s what they say about school all the time.
Larry: There you go. But listen, that’s the reason that we like in our mentoring programs, we have systems and processes and procedures in place to keep people motivated and enthusiastic and excited where they’re networking with each other. They’re giving each other high fives or they’re encouraging each other on Facebook groups.
Kandas: That’d be a good topic to talk about, best ways to stay motivated.
Larry: Yeah that would maybe we’ll do that. If I’m not mistaken we wrote that down when we were talking about the show I guess.
Kandas: Oh yeah motivated focused and accomplishing.
Larry: You’re welcome.
Kandas: Look at that.
Larry: So anyway on this episode we’re talking about questions you need to ask a realtor. The first question we talked about was how long have you been in business? And I like working with new agents, right but agents are just like investors. After a while they can lose the enthusiasm okay. You want somebody that’s passionate about real estate.
Another question you want to ask is, do you work with investors, right? Do you work with investors? If they say no the very next question out of your mouth should say, “Would you like to?” right, would you like to.
Kandas: Yeah don’t ask why not and give them a chance to complain and get into a bad mood at all. Don’t do that.
Larry: Right. So you’re exactly right. And a lot of realtors they don’t even want to work with investors just because of dealing with investors that are wasting their time. In fact before you even say that you might want to say, “Now the last thing in the world I want to do is waste your time. And when you’re working with me, you’re going to find out that I do what I say I’m going to do and I’ll close deals okay.”
Kandas: And you got to mean it.
Larry: That’s right you’ve got to mean it.
Kandas: You’ve got to back it up.
Larry: So make sure you get the education and information and knowledge so you can actually implement right.
Larry: Because a lot of people, they get a lot of education but they have no application. Our goal is to help you apply exactly what it is that you want to do right.
Kandas: It’s the only way that’s going to help both of us.
Larry: That’s exactly right. So, how long have you been in business? Is a great one. Do you work with investors? Here’s another one; do you invest yourself?
Kandas: Oh that’s interesting.
Larry: You like that?
Kandas: Now why would you ask that one?
Larry: Well there’s a couple of reasons is the first reason I’m making it up as I go- I’m just kidding. But there’s a couple reasons that you want to ask that question.
Kandas: I guarantee that you’re flying off the cuff with the answers to some of these just because that’s how you operate. But you talked to a bunch of realtors so it’s not like you need to have anything written down to be able to answer questions like this
Larry: I don’t need to have it written down.
Larry: But here’s the thing, the reason you want to know if an investor invests right, number one is do they understand investors.
Kandas: That’s a good point yeah.
Larry: Do they understand investors? Okay that’s the number one reason you want to ask them do you invest is do they understand investors right. And if they don’t invest they don’t understand offering 50% of list price of a property.
Kandas: Yeah they think it’s crazy.
Larry: Yeah because most of your agents that are dealing in high price properties, the properties where a person is living in a home they just want to sell their home. And then somebody is buying the home to move into it, they’re used to getting a 98% of list offer or 102% of list offer. I mean we’re used to making offers at 50, 40 even 30% of list price and they just don’t get it right.
They don’t get it, they’re used to dealing with the banks and dealing with inspections and appraisals. See we don’t deal with any of that, right.
Kandas: That’s right.
Larry: Right, now the second reason you want to ask them if they invest right and it’s just the opposite of if they understand investing and understand making a low offer. The second reason you want to ask them if they invest is if they do, then are they going to be your competition?
Kandas: Oh yeah that’s a good point.
Larry: Right are they going to be your competition?
Kandas: Are they looking for the same things that you’re looking for and working the same model? That makes sense.
Larry: In other words, I’ve seen this happen before where I’ll call an agent about a property or have an agent working on a property for and they decide well hey maybe I can buy this. Or maybe they have another client willing to pay more money for this property. Another good question to ask this agent if they invest to say, what kind of investing do you do?
Do you do fix and flip? Are you a landlord? Right, are you getting it under contract and finding another buyer? Exactly what type of investing are you doing? Because if they’re doing fix and flip, that’s going to be a higher priced property right.
Kandas: That’s right.
Larry: Two, three, $400,000 property.
Kandas: Typically yeah.
Larry: But if I’m a landlord of I’m wholesaling properties, I’m buying properties, 15, 20, 30, 40, $50,000 right.
Kandas: That’s our model.
Larry: Yeah. Now sometimes it’s a little more I mean we have one right now we just sold for 80. I think we picked it up in the 60s and wholesaled it right. And we did one a couple of months ago where we wholesaled it for like 165 or something and picked it up for like 140. But for the most part, our whole model is we’re going to pick it up for 30 sell it for 45, pick it up for 40 sell it for 50.
Kandas: Trying to stay under the 50,000 mark.
Larry: Yeah because you’re dealing with a lot of cash buyers.
Larry: Right you’re dealing with a lot of cash buyers. And as a wholesaler you really would like to get out of it as quick as possible and having a way for financing just increases your hold time.
Kandas: That is right.
Larry: Another good question that you want to ask an agent is, how many deals are you closing a month? Right how many deals are you closing, not necessarily their own investment deals, but how many transactions are they closing on a monthly basis, right. And listen if they say 10 don’t say, “Oh my gosh they’re too busy for me,” if they say 20, “Oh my gosh you can’t handle working with me.
Don’t think that, I want you to think just the opposite. This is very important, think just the opposite because I’ve always said, “If you want to find an agent that’ll get you results, you find somebody that’s busy. If you call up an agent and you get an agent on the phone they’re like, “Nah hello. Well how are you doing?” If they’re talking slow, if they act like they don’t have a care in the world.
If they act like they’re sitting on the beach with a drink in their hand with an umbrella in it and they got all the time in the world, that’s not your agent. You want an agent that’s very fast, “Yeah how can I help, what’s going on? Okay look alright, what? Okay yeah you want to make an offer? Alright good.” Those are the people that get stuff done right. They probably have a team working with them right.
They probably have a closing agent. They probably have an admin assistant. They might even have other people on a whole team right. And that’s the next question is, are you solo or are you a part of a team? Right but you want to ask that question and see do they have some support behind them. But find somebody that actually has a lot going on. If they talk fast, don’t worry they get a lot done okay does that make sense?
Kandas: It does.
Kandas: It might be a little off putting for people in our region.
Larry: Some people.
Larry: Some people but that’s okay. So there’s a lot more of these, we’re going to go over some more in a few minutes but call Kandas and get a copy of my books Getting Started in Real Estate Day Trading and HUD Homes Half Off, right.
Kandas: That’s right. There are some other links in there too in the investors’ kit, like Larry said you’ll get copies of those books. But there’s also some links to some other deeper training material and education as well. You could also text the word BRAG to 803-897-6063 and get that same digital investors’ kit sent out to your email.
[20:06] [Break] [20:31]
Kandas: Welcome back to BRAG Radio this is Kandas.
Larry: And Larry.
Kandas: Investing in real estate to be rich and generous.
Larry: That’s what we’re all about. We want to teach you how to invest in real estate and then go out there and be generous and help others. We talked in the first segment about some of the things we’re doing to help others. We have a blood drive going on, we got some other stuff going on, right.
Kandas: Yeah you guys can go back to bragradio.com and listen to the whole show.
Larry: Awesome and previous episodes.
Kandas: That’s right every episode. We’re on number 111 now, episode 111.
Larry: Yeah 111 can you believe that? It’s been a couple of years on the air.
Kandas: So there’s a lot of shows for you to go back and listen to, 111 of them.
Larry: And they haven’t kicked us off yet. Actually at BRAG Radio you can also, we post the transcription, we post the video.
Kandas: That’s right.
Larry: So we record each one of them when I remember to bring the camera on the Go-Pro right.
Larry: As well as we have the show notes and resources. So if we give out links or resources or whatever like that, that you’ll have those as well. And be sure and follow us on social media, facebook.com/larryhgoins. And be sure and follow us there and we do repost all of the shows every single week as well right Kandas.
Kandas: That’s right, every single week they get posted up there. And you guys are always able to email me at firstname.lastname@example.org with any questions or comments or anything like that about the show. Or if you don’t understand some of the terminology that we go through. Like Larry said-was it at the beginning of this week or one of the past, it’s been recently.
That on the show we can only get into so much detail. But we go into a lot more detail in our trainings, we go into a lot more detail in our three day events. So this is kind of just an introduction to us and then we can help you on a deeper level once we know a little bit more about what’s going on with you personally.
Larry: That’s so true. So we’re talking on this show about questions you should ask an agent before you work with them right.
Kandas: That’s right.
Larry: Now and in the first couple of segments we did talk about how long have you been in business, it’s not a bad thing if they’re brand new right because that way you can train them right. Right so and do you work with investors? If you work with investors then they already understand.
Kandas: That’s the positive.
Larry: The negative might be if you also invest yourself then they might be your competition.
Kandas: They could be.
Larry: Depending on what type of deals that they look for.
Kandas: That’s why you got to ask the question.
Larry: That’s exactly right. And how many deals do you close a month? We talked about it in the last segment about that is if they’re closing a lot of deals and they’re very busy, don’t look at that as a negative right.
Larry: That’s a positive thing because they’re busy and they can get things done.
Kandas: That’s a doer yeah.
Larry: Yeah that’s a doer. I always say if you want to get something done find somebody that’s busy they’ll get it done for you, right. They always know how to fit something else in a get it done. So another good question that you can ask is, do you work with buyers or sellers? Now I’ve actually called up listing agents before okay. And the listing agent I’ve called about a property, will say, “Oh I’m sorry I only work with sellers I don’t work with buyers, right.”
And it’s kind of funny that they would do that especially given the fact that I’m calling the listing agent. Now the way the real estate industry works with realtors is they have to get paid a commission right. Now the seller typically pays the commissions right. Seller pays the commission and let’s say it’s 6% which is kind of-
Larry: Kind of common. So 6% commission, 3% will go to the listing agent and 3% will go to the selling agent or buyers’ agent right. So if the listing agent writes the contract to sell the property and they already had it listed, they get all 6% or twice as much right.
Larry: So it’s always confused me when an agent says, “I only work with sellers right, I don’t work with buyers.” So I kind of scratch my head and go, “Now let me see if I understand this correctly. Let’s see now you’re the listing agent right?” “Yeah I’m the listing agent.” “So what you’re telling me is instead of writing up an offer and presenting it to your seller, you want me to go find another agent which I don’t have at the time.”
And you want me to have them contact you and ask you all the questions and then you tell them and then they tell me. And then they write up an offer and send it to you so you can send it to your seller, so if we put a deal together you can give them half the money. Is that what I’m hearing? Is that what I’m understanding?”
Kandas: And that is the exact process of what has to happen.
Larry: That’s true. But you’ve got the listing agent on the phone. Why not just tell me about the property and let’s write it up right?
Kandas: And then you get all 6%.
Larry: There you go, aha.
Kandas: But you have had people tell you, yes that’s what I’m telling you to do.
Larry: Yeah. Now here’s your next line okay guys when this happens.
Kandas: When they say that yeah.
Larry: I want you to do this, this is going to blow them away alright. So when they say, “Yeah you’re right, that is correct I don’t work with sellers you’re going to have to go find an agent.
Kandas: With buyers that you got to go find them.
Larry: Yeah you got to go find a buyer’s agent. So here’s the very next thing you should say, “Oh okay who’s the best agent in your office?” and then just shut up. Because they can’t say it’s them, they already told you they don’t work with you.
Kandas: The silence is powerful in that situation. It is so funny to hear how they come back with that or come back at that.
Larry: That’s true. “Well now the best agent is me.” “Well apparently not you’re turning down business right.”
Kandas: Come on now you know it’s not you.
Larry: Who is it? Come on.
Kandas: Come on.
Larry: You got a name I know you do.
Kandas: You know it’s not you. You can’t tell me that now.
Larry: So what I want to do is in this-is this the last segment or third segment, what is this?
Kandas: This is third.
Larry: This is the third segment, so what I want to do is go over some more of these questions as well that you want to ask an agent okay. And the next question you want to ask is what type of properties do you typically work with? Right, now if an agent says, you may have the listing agent on the phone or you may have somebody else on the phone right.
That maybe they’ve sent you a property which by the way a couple of things I want to say, if an agent ever sends you a listing and it’s not their listing right, you need to go through that agent. Now you agents are going to love me for this okay. Agents love me anyway.
Kandas: They do we work with some really good ones.
Larry: But if you talk to your agent and you say, “Hey put me on your email notification list to get all properties X price to X price to X square footage blah, blah.” When they send you a listing don’t pick up the phone and call the listing agent. Call the person or at least put the offer through.
Now you could call the listing agent and get the details. But in the phone call I want you to say, “Hey I just want to let you know, I’ve got a buyer’s agent, they’re the ones that sent me this deal. And out of respect for them I’m going to have them submit the offer.
Larry: And number one that agent will respect you right.
Kandas: Well it’s really just the professional courtesy. I mean you don’t want to cut somebody out that brought you the information.
Larry: Dance with the one that brought you right.
Kandas: Yeah there you go. That’s the easy way to say it.
Larry: Dance with the one that brought you. You like that huh.
Kandas: I do like it.
Larry: So yeah find out what kind of properties they deal with, if they’re dealing with very expensive properties, three, four, $500,000, they may not be the best agent to actually work with you on these low price properties if that’s what’s you’re buying. Now if you’re buying luxury homes to fix and flip or you’re buying above medium priced homes to fix and flip right, then that’s okay. But you want to work with an agent that works in a model that you are in.
Kandas: Right that you’re in exactly.
Larry: That’s so true.
Kandas: They’re going to know the area a lot more and be able to give you demographic data, statistics, things like that for the area.
Larry: Exactly. And there’s a lot of places you can get the demographics and statistics as well.
Kandas: You could get them there yeah I mean from other sources but when you’re on the phone with the realtor you might as well go ahead and ask.
Larry: Right. Now when we come back I’ve got a couple more specific questions that I want you to know to be able to ask an agent. But in the meantime call Kandas and get a free copy of my book or come by the office if you’re close. And it’s a free copy of the book, I mean you can go the bookstores and grab it.
Kandas: Both books.
Larry: Yeah both books; Getting Started in Real Estate Day Trading and HUD Homes Half Off you buy in the bookstores but call and you’ll get one for free.
Kandas: 877-LARRY-GO or text the word, BRAG to 803-897-6063. Like Larry said both copies of the books and then we’ve also got some training links and things like that included in the investor’s kit that can be sent out to your email. The digital version can go right to you. You could also schedule an office tour and come in for the physical kit. We’ll be right back.
[30:21] [Break] [30:44]
Kandas: And we’re back, and we should be done playing air guitar now.
Larry: Right on. Alright.
Kandas: No more air triangles, no more air guitars time to work boys, time to work.
Larry: That’s exactly right. Now we’re talking on this show.
Kandas: This is BRAG Radio y the way.
Larry: Right be rich and generous we teach you how to make money in real estate then go out and be most generous and help others. And there’s a lot of ways that you can do that. And we have a lot of things going on as well. We’re talking on this show about questions to ask an agent before hiring them okay. And we’ve talked about how long have you been in business? It’s okay if you’re brand new.
Kandas: We’ve been through a lot of them.
Larry: Yeah do you work with investors? Do you invest yourself? How many deals do you close a month? Do you have a team? Do you work with buyers? Do you work with sellers? What type of properties do you work with? There’s a lot of them. But one of the things that I wanted to talk about, I wanted to mention is I’ve talked about a lot of questions to ask an agent. But I’ve also talked about it from the perspective of buying a property from them. Does that make sense?
Larry: From them being a buyer’s agent versus listing a property with them.
Kandas: Or a seller’s agent, right.
Larry: Exactly. So I know there are some fix and flip investors out there that you’re buying a property you’re going to fix it up and then you’re going to flip it. And you may need an agent to list that property for you okay.
Larry: So I mean you ask all those same questions, right, as well that we talked about in the last few segments. But I think one of the biggest ones you could ask if you’re actually going to list a property is, what is your marketing plan for my house?
Kandas: Oh that’s a good one.
Larry: Right, what is your marketing plan for my house? I mean everybody said, “Well we’re going to put it on realtor.com, we’re going to put it on Zillow.com.” Listen it automatically goes on Zillow okay. Zillow picks up the data feed okay, it automatically on Zillow.
Kandas: So don’t buy that one.
Larry: Yeah I want to know, are you going to hold open houses, are you going to run an ads? Am I going to be in the Home and Land magazine, Home Guide Magazine, am I going to be in the newspaper, my property? All this different stuff, are you going to direct mail your sellers, do you have a list of buyers in this price range? Is this the price range of a property that you actually sell in a lot, right?
Larry: So I want to know their marketing, I want to know, what are they going to do, right? Are they going run ads on realtor.com are they going to run ads on Zillow?
Kandas: Now do you think that this is going to be a realtor who has worked in the industry for a long time? I don’t see a new agent having all these different avenues or ways to market a property set up.
Larry: And that’s true, that’s why.
Kandas: Now they could be part of a team but independently I don’t see a newer agent to the industry having all of these things in place for a seller.
Larry: Right. And that’s true. If you’re a brand new agent and we talked about I believe it was in the first segment that.
Kandas: It was in one of them.
Larry: That even if you’re a new agent that’s not a bad thing.
Kandas: No, definitely not.
Larry: I like working with brand new agents. In fact what I would rather do, is find a motivated individual and I started to say young motivated aggressive. But I don’t care, young or old we’ve had people that have worked with us that have been in their 60s and 70s right. I don’t really care about the age. What I care about is the person, the motivation, the attitude.
And I’ve worked with people before and I’ve said, “Man you would be a great- I want you to be my agent.” “Well I’m not licensed.” “That’s okay I’ll pay you to go get licensed.”
Larry: Go get licensed it doesn’t make any difference. Right so you hire the person, not the paper, right.
Kandas: That’s typically our motto.
Larry: Yeah I mean seriously.
Kandas: We look at the paper though.
Larry: Yeah if they got a resume, yeah we’re going to check it out right.
Larry: We’ll call references.
Kandas: That’s right.
Larry: But anyway yeah I’ve even had people go get licensed, we got people in our office right now that are in the process of getting licensed right.
Kandas: Yeah two of them.
Larry: Yeah so they’re in the process of getting process, they were the right people. We’re just getting them licensed because they’re the right people I mean that’s who we want to work with. So another thing, a question that you should ask especially if you are going to list your property with an agent is tell me a few things that separate you from your competition. Right, how do you like that question?
Kandas: Okay, that’s powerful.
Larry: That’s powerful. Right, see a good agent, they’re not going to hesitate to answer this question right. And they’ll be ready to fire off, “Well I do this, I do this, I do this and I’ve sold X number of houses.” A good agent is a great salesperson okay.
Kandas: That’s right.
Larry: Now a lot of people think in fact we were talking about this in the office last week. A guy in the office was talking about the real estate class, “I’m not really learning a lot from the instructor, I’m going through the motions I’m going to have to study some on my own.” Well I basically spoke up and I said, “Listen the stuff you learn in class to pass the test has absolutely nothing to do with the day to day business.”
Kandas: That’s right.
Larry: Right it’s all rules and rags and licensing and making sure you stay in compliance and all. Which all that stuff is good stuff right.
Kandas: You got to know it and you got to abide by it.
Larry: Right. That’s absolutely true, but it’s not going to help you close a deal.
Kandas: Has nothing to do with selling.
Larry: Has absolutely nothing to do with buying a house for someone or selling a house for someone.
Kandas: So guess what we have him doing now.
Kandas: Going through sales training.
Larry: There you go, every morning our guys go through sales training every morning. They spend about 30 minutes to an hour going through sales training.
Kandas: Us knocking down those obstacles.
Larry: That’s exactly right. and this is a whole another show but people do want to feel like they’re getting good at something like they’re mastering something, right.
Kandas: That’s right.
Larry: Autonomy Mastery and Purpose.
Kandas: Back to a few things that separate them though from the competition yeah.
Larry: Yeah what separates them from their competition? What are they going to do different than the competition? Why should I pick you over the other 811 agents?
Kandas: That are trying to sell my house yeah.
Larry: Right, that would love to have this listing right.
Larry: And also tell me some ways- how about this- tell me some ways that I can increase my bottom line and sell my house faster. What are some things I can do? Like for example a good agent is going to tell you, “Okay you need to offer buyer incentives. I’m going to pay the buyers closing cost, I’m going to offer to buy down the rate.
I might even carry a small second mortgage, right. All those are things that a good agent would tell you to do to help your house sell faster. The only think that most of them know how to do is a price reduction right. That’s not going to help you. Personally I’d rather keep the price up and offer to buy down the buyers’ rate which would lower their payment.
Which will qualify them for a bigger house, right and to offer to pay their closing costs, right. Even offer to carry a small second. Let’s say you got a buyer that can only afford or can only qualify for 80% loan and they only have 10% to put down right. They have 10% to put down and they’re 10% short. What if you carry the 10% second, they put 10% down and they got 80% loan right.
Now you sold your house to somebody that could only qualify for 80% and only had 10% to put down right. So the last question that I want to talk about that you should talk to a realtor about or ask an agent is, how do you like to communicate best? How do you like to communicate? I like to communicate with them by email and by text right.
So if they say, “Oh you have to call my office and talk to my secretary and they’ll get a message to me and I’ll call you back,” I don’t like that at all right.
Kandas: Right, of course not.
Larry: I want to be able to talk to him right away.
Kandas: He’s a diva.
Larry: No, seriously.
Kandas: I’m just kidding.
Larry: Let me tell you something.
Kandas: I don’t think that’s diva-ish at all for you to want to be able to talk to the person in charge of what’s going on.
Larry: Listen. A few years ago we had an agent that was the absolute top agent in the Callow William’s office that they were in and there was over 100 agents in the Callow Williams office. They were number one for volume and guess what we were their only client.
Kandas: It was all ours exactly.
Larry: We were their only client.
Larry: Right their only client. So guys get a copy of the book Getting Started in Real Estate Day Trading, follow us on Facebook, facebook.com/larryhgoins for updates on shows and all that good stuff. And Kandas is going to tell you how to get it.
Kandas: I’ll tell you how to get the books with the investors’ kit you call 877-LARRY-GO, 877-LARRY-GO to get the latest books HUD Homes Half Off and Real Estate Day Trading. Or you could text the word BRAG to 803-897-6063 we’ll get the digital investors’ kit out to your email. We can schedule an office tour for you to pick up the physical kit if that’s what you would prefer.
But when you give me a call let’s talk about some other stuff too. Registering for one of our three-day events that’s coming up, finding out more information about those, any of our mentoring options or additional trainings anything like that, 877-LARRY-GO, or send me an email to email@example.com.
Thank you Kandas. Make sure to tune in every Saturday for BRAG Radio leading the world to be rich and generous. Larry and Kandas will show how to invest in real estate and the many ways real estate creates the ideal investment. It’s BRAG Radio be rich and generous on News Talk 1110993WBT.