What Is A Real Estate Consultant?
A real estate consultant is someone who gives specialized investment and financial advice to clients looking to buy, sell or invest in property. They work closely with people throughout the process of buying and selling properties.
Unlike a traditional real estate agent, a real estate consultant is entirely optional. Though both roles usually require a real estate or broker’s license, a real estate consultant is there to advise clients and provide research and analysis exploring the viability or various properties or sites. Since they aren’t involved in the sale of a property, a consultant cannot replace an agent or broker during an actual transaction.
The benefits of using a consultant are in their additional services they might offer, including market analysis/modeling, lease management, and asset management. Therefore, real estate consultants work with a variety of clients, including construction companies, business owners or third-party investors like banks or credit unions, and even financial lenders.
In contrast to regular agents, real estate consultants in the US will often set an hourly rate for their services when working with clients.
The Role of a Real Estate Consultant
The primary responsibilities of a real estate consultant are to help their clients through the buying or selling process in order to help them meet their individual goals. During the first meeting with a client, the real estate consultant will likely speak with them about what their objectives are. Once the goals are established, the consultant can begin to conduct the proper research to help the client achieve those goals in a timely and cost-effective way. Ultimately, their job is to be an unbiased expert opinion on whether a real estate investment or transaction is a solid financial decision.
For example, if a property owner wanted to put in a 30-unit apartment building on a lot they own, then the real estate development consultant would conduct some research and compile any relevant reports on their findings along with their professional insights. This research might include site-based visits, meetings with local real estate professionals, city planners, or meetings with community leaders or officials.
Or, say there is a prospective home-buyer.. A real estate agent would simply help the client buy a home because they want it. A real estate consultant would ask the buyer about their specific goals and motivations in order to help them choose a property that fits their needs. Once a specific property is chosen, the consultant would help the client analyze whether it is a strong financial decision to buy the house with heavy consideration towards financial stability and risk aversion.
A real estate consultant can often disclose information to the buyer that the agent won’t. For example, they can discuss with their clients the owner’s motivations for selling or leasing, poor transaction data, or anything else that the agent might not want to disclose. The consultant’s role is to provide as many details as possible that the client needs to make their decision, so that fewer problems occur later down the road.
Required Skills for a Real Estate Consultant
Modern real estate consultants must have strong analytical abilities, so they can effectively evaluate properties and investments for their clients. Strong attention to detail is also necessary to manage all aspects of the consulting agreement.
In addition, a real estate consultant will likely be working with multiple agents or clients. Because of the different people that a consultant works with, having an access control service can allow a consultant to enter into spaces seamlessly. If you are working with a client or buyer for a short period, using an access control service like Kisi can be an easy way to share or revoke access to a property without having to collect keys, fobs, or change pin codes. The consultant can be assured that their properties, and their client’s investments, are completely secure. An access control system that can enable different members of the consultant team to enter with their phone or card helps a real estate consultant manage the small details easier.
Using an access control system for their real estate properties also helps to keep the property safe and secure. It helps to ensure that only people who have been granted access can enter into the property.
How To Become A Real Estate Consultant
Real estate consultants are required to have a high school diploma or equivalent. However, many people who work in this field will opt to obtain their real estate license, which will require you to take real estate classes and pass a state licensing exam. Some real estate consultants will also pursue a certificate through the International Association of Real Estate Consultants. Through this association, consultants can earn the Consumer-Certified Real Estate Consultant (C-CREC) designation, which teaches them how to market their services to clients.
Having a real estate consultant can be a useful addition to the services of a real estate agent. They can give their clients invaluable insight into the true value of a property, as well as the stability of the local real estate market. When a client uses just a real estate agent, they might be missing out on the complete picture of the development that a real estate consultant could provide.