Become a Property Locator -
Property Locators Earn Big Commissions Helping Investors Find
Properties
Why Become a Property Locator?
The first question you probably want the answer to is, “What
exactly is a property locator?” A property locator is an
individual who works at the ground level to find properties for
investors to purchase. For example, let’s say that Joe Blow is
an investor that buys six to ten properties per month but his
success has caused a problem. He doesn’t have much time to
sniff out deals anymore.
So Joe, in turn, brings in a property locator to find deals
while he’s closing them. It’s a win win situation because Joe
can focus his attention on closing deals while his property
locator can focus their attention on finding deals.
How Does a Property Locator Get
Paid?
This is a commission based opportunity that
happens typically on one of three levels. The first two levels
are flat fee commissions. On the first level, the property
locator gets paid a flat fee anywhere from $100.00 to $500.00.
On this level, all they do is locate potential properties that
fit the parameters set by the investor and once the investor
closes the deal, the property locator gets paid. It is
important to note that the property locator IS NOT involved in
the negotiation process of the deal; all they are at this stage
is a referrer.
On the second level of flat fee commissions, the property
locator is paid a lot more because of their increased
responsibilities. On average, they can earn anywhere from
$500.00 to $4000.00 per deal. However, not only are they the
referrer, they also prepare the deal for the investor. Those
responsibilities could include but not be limited to:
performing a comparative analysis, estimating fix-up/repair
costs, negotiating the final sales price and getting a signed
contract from the seller.
The third level of pay is percentage based commission in
which the property locator essentially does everything but fund
the deal. When he presents the packaged deal to a real estate
investor, it’s pretty much a slam dunk. Meaning, all the
investor has to do is fund the deal, prep the property and put
it on the market for sale.
The property locator gets paid a percentage of the sales price
after the investor sells the property. This level of pay is
only for an experienced property locator who is versed in the
art of negotiations, has a firm grip on determining property
values and knows how to perform fix-up/repair cost
analysis.
What kind of money can a property locator
make?
It really depends on the person. It’s not
uncommon for go-getters to rake in six figures or more locating
properties for real estate investors. The beauty of being a
property locator is that there are always private investors
seeking aggressive men and women to sniff out deals for them.
In addition, being a property locator, work from home and work
you own hours.
What kind of people become property
locators?
Anyone who is driven, self-motivated and
can work with very little to no supervision. Primarily, people
who become property locators are usually individuals who are
looking to get into real estate investing full-fledged but they
might not have the cash resources to do so right at the
moment.
Author, Joel Marks of REODr.com
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