2. Research & Development
The Research &
Development Department
is the largest department
here at Dr. Hutch
International.
Every member of the
research team must give
100% in their efforts to
locate and research deals
for our clients.
Dedication is the key to
the ultimate performance
by each person in this
department.
3. Research Specialist
Training
In this presentation you will learn
how to locate and research real
estate investment opportunities
across the nation and around the
world.
Notice that I said real estate
investment opportunities, not just
property. There is a big difference
between investment deals and just
property.
5. R&D Flow Chart
Director
Executive Assistant R&D Coordinator
Luxury Specialist Commercial Specialist International Specialist
Sr. Residential Specialist Sr. Residential Specialist Foreclosures Specialist Projects Coordinator
Research Specialist Research Specialist
6. Finding Investment
Opportunities
Dr. Hutch International uses the
worldwide web to locate many
investment properties. Each
Research Specialist will be assigned
to a set of websites to check daily.
We also receive investment leads
from sellers, other investors (also
known as Bird Dogs), real estate
agents, and consultants.
7. Finding Investment
Opportunities
These are key words that we look for in ads:
2. Distressed Property/or Seller
3. Pre-foreclosure/Foreclosure
4. Rental property/Turn Key Investment Property
5. Take over payments
6. Owner will carry
7. Seller Finance
8. Fixer/Rehabs
9. No money down
10. FSBO (for sale by owner)
11. Selling entire portfolio
12. Under market value/reduced price
13. Investment Property for sale
14. Section 8 tenant in place
15. Recently rehabbed
16. Seller motivated
8. Finding Investment
Opportunities
Many times as a Research Specialist it is hard to determine if a
property is under market simply by looking at the classified ad
for the property.
There are only four reasons why investors should buy real
estate and they are:
1. Cash Flow
2. Appreciation
3. Tax Shelter
4. Amortization
If you see a classified ad, these are the only four things you
need to look for.
For most residential properties comparables are used in
determining the value – you can get comparables from title
companies that show other similar properties sold in the area.
9. Finding Investment
Opportunities
After locating an ad that could be
an real estate opportunity,print the
ad and begin filling out the Property
Evaluation Worksheet.
10. Formulas
The following formulas are used by
investors to assess the value of a piece
of property in order to show if a
property is overpriced, at, or under
market value. (training on these will be
scheduled).
2. Rule 72 (calculates appreciation)
3. Cap Rate (used mostly with multiple
units)
4. GRM (Gross rent multiplier)
5. ROI (Return on Investment)
6. NOI (Net Operating Income
11. Investment Property
Please click on the following link to
view our Property Evaluation
Worksheet
PROPERTY EVALUATION WORKSHEET.d
This form is essential to the duties of
each of the Research Specialists.
This form must be typed before
handing it over to the R&D
Coordinator.
12. Property Evaluation
Worksheet
The following are the steps to completing this sheet. Some of the necessary information can be
obtained from the classified ad. Plug that into the worksheet before calling the seller/agent.
When calling the seller identify yourself in this manner:
“Hello my name is John Doe and I am a Research Specialist with Tricomm Worldwide
Signature. We are investors who purchase property all over the country. I saw your ad on
Craig’s List and am very interested in buying this property. I would like to ask you some
questions in order to begin our due diligence.”
Now you begin asking questions from the worksheet and filling in the answers.
After first filling in the date, fill in the following:
9. The Source/Lead refers to the website, newspaper, bird dog, consultant or fellow employee
you obtained the lead from.
10. Name of the owner, seller, or agent you are speaking with.
11. Address including state and zip code
12. Contact number.
Important questions when speaking with seller/agent:
14. How many bedrooms/baths?
15. What is the square footage of the units or home?
16. What year was the home/units built?
17. Price the seller is selling it for?
18. Are there any existing loans on the property? if so, for how much?
19. Do you expect a down payment? If so, for how much?.
20. One of the biggest questions each R&D Specialist must ask is “Why are you selling?” This is
key to showing the seller’s flexibility.
21. What terms will the seller accept? i.e. seller financing or conventional only?
These questions will help to establish a rapport with the seller/agent and can show the flexibility of
the seller/agent by their answers.
13. Property Evaluation
Worksheet
After the first series of questions you can continue
to the lower part of the worksheet.
2. Are there tenants) in the property? If so how
much in rent do you collect?
3. What is your present mortgage payment?
4. How much is the yearly insurance/Taxes?
5. Do you pay any utilities associated with the
property? If so what is the yearly or monthly
amount?
6. Do you have any pictures of the property?
14. Property Evaluation
Worksheet
Once the worksheet is completed
please staple the original classified
ad to it and turn it into the R&D
Coordinator. It will be evaluated
and then returned to you will
additional instructions.
15. Obtaining Additional
Information
The R&D Coordinator will review and
evaluate the property and may request
additional information.
These requests may include
comparables, and title information to
assist the R&D Coordinator in evaluating
the value of the property.
Note: The Administrative Assistant is the
person with access to title and
comparables.
16. Working with the R&D
Coordinator
When the R&D Coordinator returns a
Property Evaluation Work Sheet to the
Research Specialist requesting additional
information this would take precedence
over anything else the Research
Specialist is currently doing. It is very
important to quickly get the additional
information for the R&D Coordinator.
In this business timing is everything you
must move quick when a property
appears to be a good deal.
17. Teamwork
Each member of the R&D Department must be
a team player. Remember we have clients that
are expecting us to locate and research real
estate deals that will make them money.
“Teamwork is crucial in this department to
meet daily, weekly, and monthly quotas.”
There will be times when a Research Specialists
will be asked to assist a co-worker who may be
out sick or overwhelmed with work. Because,
we are a team we should be happy to chip in
and help.
18. Setting Priorities
When conducting research you must be
able to prioritize the work all work
returned to you from R&D Coordinator is
a priority. But prioritizing your leads is
key to being a successful R&D
Specialists.
There are always some leads that are
clearly investor leads vs. leads that are
closer to retail. You would want to focus
on the leads that are the most clear first
– time is of the essence. There are a
lot competition out there from other
investors.
19. Quotas and Deadlines
Each Research Specialists is given a quota when hired.
We expect the Research Specialists not to meet this
quota for a couple of weeks until their feet it wet. After
which time quotas must be met.
We take the quota seriously that is why daily we ask
everyone in R&D to complete a task report which is
handed into the Executive Assistant at the end of their
shift.
This not only helps with meeting the quotas but also
shows what has been done on any given property.
That way if the Research Specialists is absent from work
we can still move forward knowing exactly where they left
off.
If given a deadline to complete work by any supervisor
this deadline is serious and must be accomplished if the
Research Specialists cannot meet the deadline they need
to let the supervisor know in a timely manner.
20. Conclusion
Dr. Hutch International encourages
all of our staff members to learn
and achieve their goals.
We want all employees to grow to
the point of a real estate investor or
real estate consultant.
We welcome you aboard and good
luck.
