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Property Investing Secrets 7
Property Investing Secrets: How Buying Real Estate Is Like Planning a Trip to the Greek Islands One you start property investing, one important tip is to press the flesh with the real estate agents in the areas where you plan to buy. Because property investing is a bit like buying a holiday package, you must separate yourself from the rest of the investors by giving the real estate agents the information they are looking for in your first face to face meeting. Most people will say to an agent, "I want to buy a property, what do you have?" Immediately they will lose any credibility they've established with an agent. You see, imagine walking into a travel agency and saying you want to go on a holiday, and asking "What destinations do you have available?" That's a dumb question, because the travel agent has hundreds of available holiday destinations. If you think of property investing like shopping for a holiday, you must give the agent some criteria. If you say to the travel agent, "I want to go on a holiday to the Greek Islands and I want to go on these specific dates, and here is how much I want to spend?" in turn they will put together a package for you. They know because they have received specific instructions from you. It is the same with buying any type of property. When you're property investing, if you say my price range is this, these are the kind of returns I want and give any additional criteria you have as long as you don't make it too hard for the real estate agent. (I must have a pink house that backs up to a reserve.) If you're reasonably specific but general enough that there are available properties for sale the agent will be more willing to work with you because you're not wasting their time. Don't do this: some property investors will walk into an area where the bottom price for a suburb is $400,000 and say I'm looking to purchase starting at $350,000. The agent will come right back with, "You're not going to buy here for $350,000, the entry level into our area is $400,000." The agent knows you haven't done you're homework. If you make it too hard for them the agent will discount you and perhaps chose not to work with you. If you think of property investing like planning trip and give the real estate agent enough specific information to set yourself apart from the other buyers, you both will be well on your way to establishing a fruitful relationship. Rick Otton is the director of We Buy Houses Pty Ltd. He has been property investing full time for 14 years. Rick has completed over 351 property transactions in Australia and the United States. Rick specialises in creating positive cash flow through a variety of strategies he perfected in the United States and adapted to Australian conditions. He sells home study courses on vendor finance, one year mentoring program as well as a yearly 3 day boot camp on the Gold Coast. Go to http://www.rickotton.com for more property investing information ring 1800 003 588 in Australia.
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