Special offer
Praful Thakkar, Metro Boston Homes For Sale (LAER Realty Partners)

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Rainmaker
1,057,554
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

Okay, there are two schools of thought on this. It's good that they do their own math because if they can't, they shouldn't really be investing. You are there to provide market information. It's up to them to determine whether or not the deal will make sense for them and at what price.
However, it is good for you to understand how they get from point A to point B and there's really nothing better than CCIM CI 101 Financial Analysis, if you have the 1600 bucks to plop down. Game changer.
If you want to spend about half that much for extensive tools and resources, you can join The Institute and your local chapter for access.
And if you want to just go to the website route... BiggerPockets and Norada Real Estate are wonderful resources.

Sep 29, 2017 04:37 PM
Rainmaker
2,402,654
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co Notary Services retired RE Broker

The investors I work with know a lot more than I do Praful Thakkar and if they  feel I can contribute in any way they will tell me what they want from me.

Sep 29, 2017 06:10 PM
Rainmaker
5,583,328
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

well, the basic math that amounts to gross income minus expenses leaving you with the amount that will satisfy the mortgage debt.... they should consult with their accountant for any calculations beyond that....only their accountant would have access to their financial picture....

Sep 29, 2017 04:49 PM
Ambassador
6,424,873
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

I share what I know after investing in many types of real estate.

Sep 29, 2017 07:25 PM
Rainmaker
544,014
Dave Halpern
Dave Halpern Real Estate Agent, Inc., Louisville, KY (502) 664-7827 - Louisville, KY
Louisville Short Sale Expert

Beginner investors are very high maintenance with low return on time invested.

Sep 29, 2017 07:13 PM
Ambassador
2,684,769
Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

 They should be comfortable with an HP12C financial calculator (or similar).   They should understand how IRC Section 1031 tax deferred exchanges work.  They should know how much state and local occupancy taxes/rental taxes are.   They need to know zoning and/or land use laws (can this property be a rental?)  They should be aware of any prohibitions on rentals by homeowner associations, condo associations, or local governments.

     Anything beyond those basic concepts, you should introduce them to your CPA and/or Tax Attorney.

Sep 29, 2017 06:35 PM
Rainer
65,378
Steve Bracero
Heisler and Mattson - Shrewsbury, MA
First Time Homebuyer and Investor Specialist

bigger pockets is an excellent source! 

Sep 29, 2017 06:25 PM
Ambassador
3,350,589
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

Generally they are other professionals, CPA's, attorneys, etc.

 

Sep 29, 2017 05:19 PM
Rainmaker
5,773,261
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Praful,

It is important that you understand the numbers.  Many investors will and should talk to their accountants, and your knowledge adds to your trustwothiness.  And Candice A. Donofrio gave you the best advice,  A

Sep 29, 2017 08:17 PM
Rainmaker
2,785,456
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Actually attitude for their success is something they consider valuable. Second to that is you place them first then yourself. Lastly, you don't make a killing unless they do. Post script: always be contactable. Peddle these!

Sep 29, 2017 05:13 PM
Rainmaker
7,870,977
Roy Kelley
Retired - Gaithersburg, MD

My experience as an investor. 

Sep 29, 2017 04:21 PM
Rainmaker
1,712,876
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

I learned a lot from CRS 204 and CCIM.

Sep 30, 2017 05:11 AM
Rainmaker
5,116,528
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

My investor buyers do their own research and work. I just "share" properties with them.

Sep 29, 2017 11:14 PM
Rainmaker
3,986,308
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

Everything and anything

Sep 29, 2017 08:09 PM
Rainmaker
3,988,013
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

I share my negotiation skills which are invaluable. I do not share any links other than my website and my MLS.

Sep 29, 2017 07:54 PM
Rainmaker
2,222,281
Anthony Acosta - ALLATLANTAcondos.com
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

Sep 29, 2017 07:38 PM
Ambassador
5,258,256
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Most of mine work with financial planner and/or CPA and together they run the numbers. I will share the area rental rates and cost spreadsheets to review with their team. Many of mine not local but, they know what they want and simply have me find them specific properties in specific areas - they take care of the data.

Sep 29, 2017 07:15 PM
Rainer
509,449
Susie Kay
Ultra Real Estate Dallas Fort Worth - Plano, TX
North Dallas Specialist

First time investors are the hardest to work with.  They may have or may have not  been going to an investor meeting club etc and sometimes were getting the wrong info.  For a example, I got a call from an investor and the first thing that he said is that he's a builder.  When I asked how many homes he has built his reply was none.  As we talked further he started to admit that he's an investor, never invests before, would like to fix and flip, been going to investment club and getting input from others here and there.  When in business together I think it's best to know where everyone is at and be honest.  Afterall we are working together as a team.  

Sep 30, 2017 10:48 AM
Ambassador
2,190,182
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Prop. Mgr, Wenatchee, WA

In addition to what Candice A. Donofrio said, I like the Mr.Landlord site.    

Sep 30, 2017 08:02 AM
Rainmaker
1,625,253
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • GRI • HAFA • PSC Calabasas CA

Majority of my investors know exactly what they want, I share only potential deals. 

Sep 30, 2017 08:01 AM
Rainmaker
1,466,257
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Praful Thakkar Looks like Candice A. Donofrio already beat me to it. You should take the CCIM course. Don't forget to read and understand Article 11 of the NAR COE.

Sep 30, 2017 06:22 AM
Rainmaker
599,734
Nathan Gesner
American West Realty and Management - Cody, WY
Broker / Property Manager

I always recommend they visit the web site for BiggerPockets. It's a great resource for real estate investors with forums and blogs, investment calculators, podcasts, and much more. If anyone is looking at investing in real estate, that's the best single source of information I'm aware of.

Sep 30, 2017 06:12 AM
Rainmaker
4,800,132
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

Try to get insight into the community and the possible future growth plans.

Sep 30, 2017 05:52 AM
Rainmaker
921,504
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

A repair calculator and value calculator.

Resources I don't control are of little value to me.

Sep 30, 2017 05:48 AM
Rainmaker
3,416,038
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

I deal most often with seasoned investors, there is always a steady flow of those who dream to enter the market to buy, fix and sell. Many though with little knowledge, no savings and a dream. 

Sep 30, 2017 05:44 AM
Rainmaker
1,554,939
Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
CEO of Vision Drive Realty - Coastal San Diego

All they require; that is my world so I have many.

Sep 29, 2017 11:03 PM
Rainmaker
637,484
Hella M. Rothwell, Broker/Realtor®
Carmel by the Sea, CA
Rothwell Realty Inc. CA#01968433 Carmel-by-the-Sea

There is no "one size fits all" in investing as I was just reading in a real estate course I took in order to renew my brokers license. Some want return of their cash investment, some want strictly cash flow, others want location. I've been working with a lot of investors recently, some are selling because they just don't want the responsibility of it anymore; others want to buy because they want rental income. BUT THEY ALL HAVE TO DO THEIR OWN MATH. I don't stand behind any financial statements that are made available to me. 

Oct 01, 2017 03:03 PM
Rainmaker
1,506,923
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

If they're brand new, Bigger Pockets is a forum designed for investors and educating them.  Most of it is "Bro Science" but some of it is industry tried and tested stuff.

Oct 01, 2017 02:43 PM
Rainmaker
902,428
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

Help seek out opportunities; help with rental market info; do analysis based on capital value approach, etc. 

Oct 01, 2017 06:31 AM
Rainmaker
1,525,616
Sybil Campbell
Fernandina Beach, FL
Referral Agent Amelia Island Florida

As you have probably heard, we are to be the source of the source.  Since the MLS is the most up to date info, that is the probably the most important info to share with them. It should be done in a very timely fashion too, IMHO!

Sep 30, 2017 08:33 PM
Rainmaker
991,752
Jennifer Mackay
Counts Real Estate Group, Inc. - Panama City, FL
Your Bay County Florida Realtor 850.774.6582

Depends on the type of investor - are they commercial or residential, flipper or landlord.

Need more information

Sep 30, 2017 05:26 PM
Rainmaker
1,728,767
Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

An investment financial analysis showing how the target property measures up to those in the neighborhood regarding Cap Rates, etc.

Sep 30, 2017 03:17 PM
Rainmaker
846,475
Marco Giancola
Beachfront Realty - Miami Beach, FL
Realtor (305)608-1922, Miami Beach Florida

All I have in my bag!

Sep 30, 2017 10:50 AM
Rainmaker
1,242,204
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

Each person's model is different.  Most like to strike rich quickly with other people's $.  There are way many investment savy people here.

Assuming you give them the Loopnet site link you think they are coming back to you for commercial properties representation?

Sep 30, 2017 09:36 AM
Rainmaker
4,434,177
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Good to ask them to talk to a cpa.

Sep 30, 2017 07:20 AM
Rainmaker
5,245,501
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

You need to understand the numbers so you can overview their analysis and guide them. They make the decision. You must make sure they are using the right information. 

Sep 30, 2017 05:57 AM
Rainmaker
3,071,589
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Coldwell Banker Realty

Barbara Todaro nailed this one!

Sep 30, 2017 03:57 AM