Real estate investors present a unique and lucrative opportunity for agents looking to scale their business. Unlike traditional buyers, investors often purchase multiple properties per year, creating long-term, repeat business opportunities. This guide explores why working with investors can be a game-changer for your real estate career.
Benefits of Working with Real Estate Investors
1. Investors Provide Repeat Business
A typical retail client buys or sells a home once every 7 to 10 years, meaning agents must continuously prospect for new clients.
Investors buy multiple properties per year, sometimes even dozens, allowing for ongoing transactions.
Building relationships with active investors ensures a steady flow of business, reducing the need for constant lead generation.
2. Investors Are Easier to Locate
Unlike retail buyers, who do not publicly announce their intent to buy, investors can be identified through:
Real estate investment clubs
Online investor forums and groups
Public transaction records
Privy’s Investor Activity search, which allows you to create lists of active fix and flippers and landlords.
By understanding an investor’s buy box (criteria for purchasing properties), you can present deals that fit their investment goals, even before speaking with them.
3. Investors Focus on Numbers, Not Emotion
Retail clients often make decisions based on personal preferences and emotions, leading to longer sales cycles and indecision.
Investors base their decisions on data—if the numbers make sense, they move forward.
By providing accurate data and reducing friction in the deal process, you position yourself as a trusted and indispensable resource.
4. Investors Create Multiple Commission Opportunities
Fix and flip investors offer two commission opportunities per transaction:
Representing them on the purchase of the investment property.
Representing them again when they sell the renovated property.
5. Become an Expert and Expand Your Investment Opportunities
Learning real estate investment strategies makes you a stronger, more knowledgeable agent.
Educate retail buyers on the benefits of investing in real estate, helping them generate long-term wealth through rental properties or fix and flips.
Understanding the process enables you to invest in real estate yourself, securing properties for your portfolio and financial growth.
Why This Matters for Your Career
The benefits of working with real estate investors far outweigh the learning curve. While it may require gaining new skills and understanding investment strategies, the payoff includes:
A steady stream of repeat business
Easier client acquisition through targeted investor outreach
Higher commission potential from multiple transaction sides
The opportunity to build your own investment portfolio