Applying SFR Lessons to Income Property

Today a listing agent on a hot fourplex said her Seller accepted my Buyer’s offer, which was $25k less than two other offers, because the Seller liked me at the open house. How did my likability become worth $25,000? It’s not my worn-out jeans.

As a seller, your greatest fear is someone tying up your property through escrow, canceling, and wasting not only your time, but the momentum your property builds when it goes to market. Therefore, any good buyer’s agent builds a reputation of doing what he says he’ll do, and following through on deals. Thankfully, that reputation not only precedes me most of the time, but when it doesn’t I know what’s important to the Seller and make sure she knows that.

What I learned from selling a $2.5M single family house is that income property agents often take for granted that the person on the other side of the transaction is just that–a person. Most landlords who have properties with 2-10 units often spend a great deal of personal effort caring for their properties and getting to know their tenants. That’s why it’s important not only to understand how income property numbers and laws work, but also how to treat the person on the other side of the transaction like a homeowner.

[Note: I originally intended to be more detailed in this post, but I realized that I’m not retiring yet, and so describing too much of how to transact as an agent doesn’t make much competitive sense.]

Comments are closed.