Don't take real estate advice from your______________?
Doesn't it seem like everyone will you give you advice when it comes to real estate? Whether it's your parents, grandparents, friends or neighbor, everybody has a piece of “wisdom” they’d like to share. We’ve all been guilty of taking advice from the wrong source. Usually, the truth is they think they are helping! But, when it comes to investments, it's important to get help from the right sources.
In order to analyze the advice given to you and guarantee its validity, make sure you consider the following:
Are they experts in their field?
Do they heed their own advice?
What are their results?
Have you found supporting research and facts?
First, we must ask if the advice is coming from an expert in that field. In the realm of real estate, we must ask if the advice is coming from someone who knows the industry.
Are they a successful investor in this area?
Are you talking to an agent who sells part time or full time?
Are they fully invested into their industry and gives it their full potential?
Do they take their education seriously and work to develop their knowledge base continuously?
If not, you may want to reconsider choosing them to represent you, or taking their advice at all. You need someone who understands the different markets, can analyze your deal and can utilize their expertise to help coach you through the entire process.
Second, you need to know if they are heeding their own advice. If you have a friend or agent trying to coach you into making a purchase or selling your home, but they aren't practicing what they are preaching, that’s something to take into account. Now, real estate isn't one size fits all. You may have vastly different investment and life goals. In the case of working with an agent, there are times when the advice given is not what the agent invests in personally (if this is the case then refer to steps one and three). See to it that the advice given falls into the their expertise and that they have the results to back it. If not, then be weary and find someone who has the results and knowledge.
Third, is you need to see the results. If you are looking to make a real estate investment -- say, multi-family or house flipping -- and your source is giving you advice, you need to know their background. If they don't own multi-family themselves, then see what their past sales have been like. Have they worked with other investment properties before? Do they know the “ins and outs” of them? Have their past results shown a pattern of positive experiences? If this is found to be true, then stick with it and learn from their experience. If not, then look to those who have the experience.
Fourth, you need to find supporting facts and research. Have you taken your friend’s “advice” without looking further? Have you seen third party data suggesting the same facts? Looking into the advice by going to a trusted resource is always a highly recommended strategy.
Consider these four steps when looking for an real estate professional. It will ensure you have a great agent to work with, who will protect your investment. Too many times, I see that people will hire or take advice from a friend, relative or past associate without vetting them. Whether you are looking for real estate in Alaska, across the U.S., or even internationally, give us a call or email. We can connect you with an experienced agent who will help educate and protect your investment.