If I’m new at this except for the reading and researching I have done and I take action and go out and find a great deal, say 60% of value and make sure because of comps, and get a contract on it. Will I be able to find a way to complete the deal by myself and not have to assign and flip or partner and keep all the profit for myself? Would I be able to find a hard money lender, or someone with investor experience to help me?
Why wouldn’t you want to assign? If you’re just getting started, it would seem that your best option is assigning as many deals as you can until you have all of the information that you need to grow from there. There is good money in assignments and very practical and valuable experience that can be obtained by doing these types of deals.
If you are new to this, I would FLIP it! Lotsa money in that area of investing, especially if you can find property at that much of a discount! (just my opinion! )
I’m sorry that I disagree and this is why I fell this way. Please tell me if I’m wrong.
If a property is $100,000 and I get it for $60,000 why would I want to give it to someone for pennies (birddog’s reward).
If I am smart enough to get a contract on sonething like that, I should be smart enough to find away to retail it myself. In other words closer to a $40,000 payday.
Am I thinking correctly or am I missing something?
There IS a difference between the change that birddogs make and the cash that wholesalers make. Depending on the repairs needed, location, and all that jazz, you could make a couple grand EASY on this house. You said it yourself–you are new except reading and research. Wholesaling is a VERY profitable way to learn through experience, with very little liability.
I agree with you that you should not “birddog” this deal, but by the same token, if a property was worth 100k and you got it under contract for 60k then there is some reason that you were able to get it so cheap. Usually it is because it needs some work. If you have the funds and credit to purchase, fix and hold until it sells at close to retail, then I would say that is what you need to do. If you do not have the funds then I would say for you to wholesale it for 5k and be glad that you made some money out of the deal with no risk. The rewards may be bigger for rehab, but so are the risks. I have had deals that I thought I would be able to make 25k in 3 months that ended up 10k in 10 months. I should have just flipped it for 5-7k and been glad that I got that. It would have been a whole lot less stress and frustration and not much less money. Hindsight is 20/20.
WELL stop talking about it!!