My recent strategie has been to delegate as much property reseach as possible to real estate professionals, and other sources. I have found that I can cover more areas that way than if I were to do it all my self.
As for delegating to real estate professionals, I have different agents in different markets keep and eye on bank owned reo lists for forclosures, county default lists for short sales, the mls obviously (although most of the good stuff is gone by then) and the market in general. I tell them that I have “unreasonable expectations, it needs to cashflow well” so they don’t keep sending me crap. Would you suggest any other “lists” or materials to keep an eye on?
The only downfall is that real estate professionals are usually working with several investors at a time so who knows if I am the one they will call when something good comes up.
What are your thoughts? I am I on the right track? Thanks for all your suggestions!
Sounds like you are spread thin. Perhaps you should consider specializing in a few markets and get real good at knowing values in those areas and building a reputation as a player.
Have you purchased any properties yet? The fastest way to get a real estate professional’s attention is to buy some stuff.
If the real estate pro is not working with more than one investor he is crazy. It is first come first served. Most agents will put out good properties to all their investors at once unless they have one guy who is buying from them like crazy. That is called customer loyalty and they may get first shot at the real good property. You should strive to be that person
Even if I am specializing in certain area’s, I believe it can still be benifitual to delegate some of the property seaching. The realtor who actually “works” the hardest, and is dependant, should expect to get my business. Unfortunately, like all industrys, 80% of the agents won’t work hard enough to be of value. Therefore, In my opinion, I have to work with a handful until I can find a solid agent, and then they are an asset, and I am loyal… Thanks MarketingMaster.
What else do you do to delegate property seaching, and what sources do you look to?
I would never delegate to someone else searching for properties. That is where you make your money and I always want to be in control of the searching and buying aspect. I delegate the work for the rehabs to contractors.
True enough…it’s FINDING the deal (or “making” it) where the entrepreneur’s time is best used.
However, there’s nothing wrong with getting other people looking FOR you too…i.e. like someone once said “I’d rather have 1% of 100 people’s efforts than 100% of my own…”
Anyway, as far as specific advice? I think Wendy Patton’s got a product out on how to train Realtors to work with you and vbring the kinds of deals you want, and has some ideas on how to make it a mutually beneficial relationship.
Can’t recommend it specifically becuase that’s not my niche (rehabbing) but someone here likely can say good or whatever…
The general rule of thumbs is that you delegate what you are not good at to someone who is better at it. Having that said, like the others said, finding the deals is your lifeline. If you want to delegate it to someone more capable, then sure. go for it… But do you have performance checks in place for them to meet? and if they do not meet, then what?
Marketing and finding the deals is something I would not personally delegate. I would delegate the leg work such as addressing envelopes, having someone else build my website, someone to send out my mail…etc. but I would always be in control of who I send to, and the content of my marketing material (again, I feel I am good at coming up with the content, if you are not then delegate it to a good copywriter).
Some agents are ok, but you will not find consistent lead generation through them.
I need some serious help here. I am making absolutely no money. I speak with people everyday about Short Sales and other parts of this business. I am not closing any deals. One of you gentlman pointed out about spreading yourself too thin, that may very well be my issue. I spend too much time on the telephone, at the end of the day, I basically am a consultant.
Any suggestions, I need to start doing something here.