Updated: Jan 9
When it comes to buying and selling real estate, it may surprise you to learn that it’s not always the highest bidder who wins the prize. The reason: real estate brokers have a significant influence on who sellers choose to sell their property to.
That’s why it’s crucial to build a relationship with brokers. Without a relationship, you’ll be one of the last to know about potential deals. If you haven’t built any relationships with brokers, then you are at a major disadvantage.
Another major advantage to building strong relationship with brokers is that by building solid relationships with them, you are more likely to have access to off market deals, which can provide you with a significant advantage.
Why It’s Crucial to Build Solid Relationships with Brokers
Brokers are the ones who present offers to sellers, vet buyers and make recommendations on which buyer the seller should go with. They are the gate keepers. Hence, building string relationships with brokers is crucial. If the broker doesn’t know you or your company and cannot vouch for you, then your chances of getting the deal are slim.
Another reason to maintain string relationships with brokers is the accessibility you will have to off-market deals. It is well known that off-market deals tend to be the best deals in many cases, because you will not find yourself in a “bidding war” against other buyers. When sellers decide to sell off-market, they contact their broker and ask them to show the property to a select group of investors. Building trust and a maintain a good standing with brokers will place you in that short list.
Trust is the foundation of every business relationship, and real estate is no exception. On the home buying side, the National Association of Realtors found that honesty and trust were the top factors for buyers when choosing which agent to work with; It’s the same with respect to commercial real estate.
Tactics to Use in Building Broker Relationships
There are several tactics that you can employ as a syndicator to build relationships with real estate brokers. As you might imagine, you don’t want to build close relationships with every broker in your area. You must be selective and target the brokers that offer the type of deals you would like to syndicate. Here are the main 3 tactics to build solid relationships with brokers.
Tactic #1: Get Face Time with Them
First, get to know the broker by getting face time with them. Visit properties they list in person and walk properties with them. Take advantage of the property tour to talk to them a