There are so many people purchasing homes out there, that it’s hard to tell who is who. From investors to flippers to the regular old family buyer, everyone has a different goal, and works a little bit differently. So, if you’re wondering what exactly a real estate investor is, and what they do, we’re here to tell you. As reputable real estate investors ourselves, we know there are a lot of questions out there about exactly who we are, and what it is we do. Here’s a crash course on the life of a real estate investor:
What is a Real Estate Investor’s Goal?
A real estate investor is a person or company who invests money into real estate properties, in the hopes that they’ll be able to improve the equity of the property, and sell it for more money that they purchased it for down the road. Oftentimes, real estate investors purchase homes, make improvements to them that align with the area market, and then look to sell those homes back to the community.
Real estate investors function to help the community in two ways: 1) by helping homeowners get out of a troublesome housing situation, and 2) by bringing up the equity of overall neighborhoods by fixing up older homes in disrepair, making the community as a whole more attractive.
How to Spot a Good Real Estate Investor:
Just like any profession, there are all kinds of honest real estate investors who conduct themselves with integrity and morality, but there are also a few bad ones, who are looking to make a quick buck at the expense of the homeowner. If you’re looking at real estate investors, it’s important to know how to tell the difference between a good real estate investor, and one that’s maybe not the most honest. Here are a few key signs of a quality real estate investor:
They value communication
A quality real estate investor won’t “forget” to return your calls. They’ll make you a priority by calling you back as soon as possible, and offering you as much information about your home as they can. A quality real estate investor won’t leave you wondering if they’re going to make an offer or not, and they’ll remain in regular contact until your deal is totally finalized.
They’ve been around for a while
There are a ton of people out there calling themselves real estate investors who have actually only been in the business for a few months, and are looking to make a quick buck. Oftentimes, these are the sort of people who will massively undersell you, or even worse, scam you out of your money. If you’re looking for a quality real estate investor, look for someone who has been around for a while, and has some evidence of their past work. Real estate investment isn’t easy, and if someone has made it in the industry for a few years, and has positive references, they’re probably a solid option for you.
They come to see you personally
One of the biggest red flags of a real estate investment scam is an investor who doesn’t come to see the home or the owner. Real estate investment is a very personal business, you’re interacting with people and the homes they’ve lived in for years, so a good real estate investor takes a personal interest in each project they’re looking to take on. Quality real estate investors will set up a walkthrough of your home, so they can meet you, talk about your situation in person, and make an offer that’s fair based on what they see and what you tell them.
They make fair offers
While real estate investors, by definition, want to eventually sell a home for more than they purchased it for, that doesn’t mean they should be massively underpaying for the properties they purchase initially. A good real estate investor will have extensive knowledge of your neighborhood and the current housing market, and will make an offer based on that knowledge. They won’t try to undercut you, or offer you far less than what your home is worth.
Is a real estate investor right for your home?
A real estate investor might be right for your home if you’re tired of having it sit on the market, need to make a quick sale, or simply can’t afford to make necessary repairs yourself. Quality real estate investors will do their best to make the selling process as easy as possible, often making offers in cash, closing in short periods of time, and working quickly to ensure you get the money for your property when you need it. If you’ve got a troublesome home you just can’t deal with anymore, a real estate investor is a great option.
If you’re looking for a trusted real estate investor in the West Michigan area, be sure to give Renewed Homes a call. We’ve been in the business since 2015, and have helped a number of homeowners across West Michigan out of troublesome housing situations. We make offers in cash, we don’t do inspections, we purchase as-is, and we do our best to close quickly, in under two weeks when possible. If you think we might be able to help you, give our office a call at (616) 208-3534 or contact us online today for a free cash offer.