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Real estate investor vs realtor – The differences

If you are thinking about selling your house or buying one, whether this is your first time going through it or maybe you have done it before. You should know that there is more than one way to go through these processes. Your best option could be working with a real estate investor or it might be working with a realtor. There are pros and cons to working with both investors and realtors when it comes to buying or selling real estate. Here are some potential advantages and disadvantages to consider:

Pros of working with investors:

  • Investors may be able to offer cash for a property, which can be attractive to sellers who need to close quickly.
  • You may be willing to sell your property As-Is. Investors will buy real estate that needs significant repairs or renovations, which can be attractive to sellers who are unable or unwilling to make these repairs themselves.
  • Investors may be able to offer flexible payment terms, such as a lease-purchase option or owner financing.

Cons of working with investors:

  • Investors may not be willing to pay as much as a traditional buyer, since they are looking to make a profit on the property.
  • Investors may be less interested in the condition of the property and more focused on the potential for profit, which may not align with the seller’s priorities.

Pros of working with realtors:

  • Realtors are licensed professionals who are trained in the real estate market and can provide valuable advice and guidance to the seller and/or buyer
  • Realtors have access to the Multiple Listing Service (MLS), which is a database of properties for sale that is only available to licensed real estate agents. This can help buyers find a wider range of properties to choose from.
  • Realtors can handle the negotiation process and help buyers and sellers come to an agreement that is fair for both parties.

Cons of working with realtors:

  • Realtors typically charge a commission, which is a percentage of the sale price of the property. This can be a significant cost for sellers, especially if the property is not worth much.
  • Realtors may not be as flexible as investors when it comes to payment terms, since they are bound by certain rules and regulations.

Ultimately, the decision to work with an investor or a realtor will depend on your specific needs and circumstances. It may be helpful to speak with both types of professionals to get a better understanding of what they can offer and determine which option is best for you.

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