Want to be a real estate investor? Here’s the team you need in place

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The right team is essential to anything you’re trying to do, especially real estate investing. Warren Buffett says, “Price is what you pay, value is what you get,” so don’t be cheap when it comes to your team. That will cost you in the long run. 

If you’re looking to build your wealth using real estate, spend the time and money necessary to assemble a killer team comprised of these eight people.

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1. Real estate agent

When it comes to finding a good real estate agent, you can start with a referral, find one in the Sunday paper or search online for “best realtors in my area.” 

When you call, ask for the manager of the company and tell them that you want the best realtor. You want someone with a lot of experience who has investment property themselves. 

Meet that person and make sure they’re someone you feel good about spending considerable time with. Make sure the company has a website (most do).

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2. Lawyer

Search online for local firms and ask them to propose someone who works with real estate investors, buyers and sellers. Some firms require their lawyers to do a certain amount of pro bono (free) work, so see if anyone will help you pro bono. 

There are also good online legal sites that have great templates if you need to put together simple documents, such as leases. Don’t panic if don’t have a lawyer. 

You can’t always control what happens on your property, but if you do your homework and screen your tenants properly, it will decrease your chances of needing a lawyer.

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3. Insurance agent

One mistake investors make is not shopping rates to save on their insurance. 

Another mistake is not insuring all of their properties. Hear me when I say that you need to insure all of your properties. You’re playing with fire if you don’t. 

When you’re looking to buy a property, call every insurance company that pops up on Google and get rates and details. Compare and choose as you see fit. 

Compare rates every year to make sure you’re paying as little as possible.

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4. Property manager

You want a management company to manage your property so that you can spend time investing and doing other business, rather than acting as a landlord. 

The landlord’s job is no fun and a waste of an investor’s time. 

If you are spending time replacing light bulbs, you have lost sight of the big picture!

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5. Accountant/CPA

A good accountant is worth their weight in gold. Because real estate is such a big investment, the tax savings (or penalties) are also much bigger. 

Your accountant should have experience working with real estate investors and be a Certified Public Accountant. Visit your accountant before you purchase any property as well as throughout the year to keep current on tax information.

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6. Mentor

A mentor has been critical for me during my wealth journey. Find someone who has been there, done that and cares about you. You should find someone who is available to answer your questions, give you a pep talk and tell you the honest truth. 

Education doesn’t stop when we graduate from school. We have to find our own teachers. Those teachers might be friends or family members, but usually these people care about us too much to push us outside of our comfort zone or to be brutally honest with us.

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7. Bookkeeper

If you are an organized person who loves numbers, you might be able to keep track of your own books. However, I suggest you hire someone to do this and save your valuable time for money-making matters (which bookkeeping is not). 

There are plenty of freelance bookkeepers out there who work by the hour, and there are established firms that work by contract. Check out the ones in your area.

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8. Contractors

Reliable, trustworthy contractors will be your best friends when you own property. 

The best way to find plumbers or electricians is to ask friends or find referrals at your local hardware store.

Sometimes, these stores even have boards where contractors post ads. You can also search online or sign up for referral services, such as Angie’s List or Home Advisor.

For more advice on real estate investing, read the author’s book, Guns, Drugs & Wealth. This excerpt was syndicated by MediaFeed.org.

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