Realtor, Real Estate Agent, Broker, and Real Estate Investor… how do they help you?
When a buyer and/or seller are considering a real estate transaction, something to know would be the roles of a Realtor, Real Estate Agent, or Broker.
The short answer is: they can all make a real estate transaction (provided they abide the rules and regulations in their state and municipality). Their differences are in the degree of education and certifications to sell real estate. The in-depth answer lies in their definitions. A realtor is a member of the National Association of Realtors. The real estate agent also has real estate education, but not a member of the National Association of Realtors. A broker is senior in real estate because of a higher type of licensing. A broker can have real estate agents working under their broker’s license. This is all great for the buyer and seller since these 3 types of real estate professionals can assist to buy and/or sell a property.
To take things one step further, real estate investors such as Reel Property Solutions, LLC works with a realtor/real estate agent/broker to execute transactions. A real estate investor is not required to have a real estate license. Therefore, if a real estate investor has a property to sell, then a real estate expert, such as an agent or perhaps a real estate attorney would be required to process the transaction. To answer your thought: “How does that help me when I’m buying or selling my home?”, an investor has more leverage and tools over a retail buyer. One reason is the real estate investor most likely is seeking to purchase a distressed property that typically cannot be sold through the MLS (Multiple Listing Services). The mortgage company most likely will not lend on a property that does not have a working component, such as a nonfunctional bathroom which cannot be passed by a licensed inspector. When selling a distressed property, a real estate investor is an asset to the seller. A real estate investor most likely will purchase with cash, therefore, not requiring the inspections of a mortgage company. Also, a real estate investor may not require an inspection due to the renovations that will happen. When the newly renovated property is ready for sale, the real estate investor may call upon a realtor, real estate agent or broker to list through the MLS. Even if the property isn’t in physical distress, but a different type of challenge, such as homeowner financial distress, a real estate investor can evaluate the property to determine if making a purchase is appropriate. Again, the investor may not require the same inspections as a traditional mortgage company due to renovations to come. After the completed project is finished, just as with a property in physical distress, this is where the realtor/real estate agent/broker plays a huge piece with the real estate investor in the next part of the process: selling. When a retail buyer comes along, they see the property has been newly renovated, passes all inspections, and the hard work of everyone is shining through!
To find out how Reel Property Solutions, LLC can help you with buying or selling your home, contact us: 507-218-8788 or info@reelpropertysolutionsllc.com. We can also help you become acquainted with a real estate professional.