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Real Estate Investors: should they use a buyers agent?
Some buyer agents work with investors, and some don't
--This is why the staff at our headquarters keep information on which buyers agents work with investors and which don't. Helping buyers to evaluate an investment property is much different than helping buyers to evaluate a primary residence.
Buyer Brokers can help you decide: Flip, hold, or keep for cash flow?
--Flipping is dangerous in a down-trending market. Works well in an up-trending market or when properties are purchased at substantially below current market value (Some reccommend at least 50% below current market value for a down-trending market)
--Holding for more than a year makes sense for capital gains taxes.
--Holding for many years may work if you have a positive cash flow and anticipate the property will appreciate.
--With declining rents now happening in some areas, be sure your business plan includes what to do should the cash flow go flat or negative.
--Creative fianancing directly with owners or other direct lenders is sometimes used when traditional banks or mortagage companies are tight on money.

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