Early this evening, I got a call from a young man looking to begin investing in real estate, but unsure of where to start. After a few questions, it was apparent that he really was at the very beginning of his journey, and was reaching out for some guidance. What resulted was the most rewarding conversation I've had with a prospective first-time buyer in a l-o-o-n-g time. I won't make a penny from this phone call, but that isn't the point.
Turns out, this young man is 19 years old, going to school in an area of the country hit extremely hard by the implosion of the real estate market, raw & inexperienced in purchasing real estate - but careful with his money & eager to learn. He has heard about predatory lending and "0 Down, EZ Qualify" scams.
His goal is to purchase a duplex, triplex or fourplex, live in one unit and rent the others to help him pay for the investment. Good idea. He spoke about his lack of knowledge as a challenge to be solved by consulting with professionals who would take the time to explain the process along the way & guide him to a smart decision "because I don't want to be a foreclosure victim, I want to start building my nest egg now, since prices are so low." Great idea.
We spoke about the pros & cons of investment property: what can happen when a tenant moves out unexpectedly - or doesn't pay the rent on time. Landlord responsibilities, maintenance issues, taxes, insurance and fair housing laws, cash flow & reserves, the reality vs the hype of short sales, factors involved in choosing an area to start looking, vacancy rates and much, much more.
As the conversation went on, I suggested he take advantage of some seminars and classes put on by the Association of Mortgage Brokers and the REALTOR® Association in order to have a clearer basis of understanding concerning the process and procedures in buying real property. Since I was by my computer, I looked up the contact information for these associations in his area and gave him the websites. Oh, did I mention that he lives nearly 1,000 miles away from Tucson? This young first-time homebuyer has never seen Southern Arizona, except for in movies & photos. He won't be buying in Tucson, either.
At the beginning of this phone call, my inquisitive young caller asked if I could spare 10 minutes of my time - we talked for just over 45 minutes.
In the first few minutes of the call, I already knew that this buyer was not interested in my market - but he was reaching out to me to help get him pointed in the right direction. Whether it was something I had written on my blog, posted on Facebook, Twitter, YouTube or somewhere else that caused him to ask me - or some random quirk of keywords on Google...it doesn't matter. He is the public, took the time to call me, and had realistic, rational goals in mind.
After hanging up with him, I felt a certain fulfillment - a feeling of living up to the vows I took to become a REALTOR®. It isn't all about the money or the deal. There is a service commitment implied in that oath. Sometimes all it takes is a conversation and some frank discussion. This was the best phone call I've had in a long time.
Thank you, Abraham, you made my day.
I wish you success and happiness in all of your goals...and yes, I WILL buy you lunch near the University of Arizona if you ever visit Tucson so that we can dine in the presence of "all those HOT Arizona girls!" (Now it is in writing - verbals don't count as a contract)
Being a REALTOR® has its moments, and this is one of them.
