How do I determine what to pay bird dogs?

[retlaw2005]

Hey guys,

I am from the  detroit, michigan area and I am new to this forum. I am a REI newbie and I was wondering how do I determine how much to pay a bird dog? Do I go by the amount of potential profit?

A bird dog contacted me via email and asked me "what do I have to offer" and I don'e know what to tell them. I wanted to know what do newbie RE investors pay bird dogs for their services?

Walt,
 

[catfish]

Hey,

I'm new to the biz myself.  I got lucky two months in, and made $17,000 on deal where I took an option out on a house and sold it for $17,000 more than what the owner was asking.  Luck I guess...  

Anyway, Ron LeGrand says you should pay your birddogs $5 per lead--that meets your requested requirements.

I'm my own birddog at this time.  I want to flip a few and make some cash, before I tell my birddogs what I'm looking for.

I hope I was some help to you.  

Tim
www.knproperties.com

[retlaw2005]

Hey catfish,

5 bucks a lead?? That really doesn't seem like much.

[JerseyGirl]

Well Ret

I think (I hope) that if a particular lead turns out to be something that an investor buys, the bird dog will get more

Around here in Jersey, I hear that being a bird dog pays from $250-$500 per purchased property

So if you bring the guy/girl 10 leads thats $50....if they buy the place, hopefully you get the $250/$500  

At least thats MY understanding of it  

[retlaw2005]

Hey Jerseygirl,

Now I got it. That sounds more like it.

Thanks for the info.

retlaw2005

[JerseyGirl]

Sure no problem