Hello folks,
Brand new here and seeking a little insight.
I’m just getting into real estate investing as a bird dog and have spent some time gathering investors for list and searching out residential properties.
I’ve been contacted by an investor with a land deal and it’s WAY out of my league. I have a buyer that I think could do this, but I don’t want to approach him sounding like an idiot and I think you’ll see why.
FACTS:
180 acres undeveloped land
PRICE: $7,000,000
INVESTMENT: $2,000,000 to be cashed out in 1 yr @ 15%
EXPECTED APPR. VALUE: $24,000,000
original investor backed out last minute
original lender wanted 3rd environmental study
new lender will except 2 completed environmental studies
plans for development (particulars unkown to me)
What kind of information do I need to have to approach this investor other than this. Don’t have much time and obviously would like to establish good credibility with investors by presenting them with good information.
Help much needed and thanks in advance.
I know it sounds crazy but this a real situation. There isnt’ ANYONE out there who can offer ANY advice? I surely hope that isn’t true or I’m spending time in the wrong place.
There are a lot of things missing here. Has the guy offered to pay you a bird dog fee? Is he capable of doing the deal?
I think the first step is to call the guy and tell him that you have a piece of property that he may be interested in. Explain it generally and if he is interested he’ll ask questions. If you can’t answer them, just tell him that you’ll have to check on it or let him check on it himself. Get an agreement up front on the amount you expect to be paid.
Then just show him what is there. If he can do this deal then he doesn’t’ need advice from you, he only needs the contact and raw information.
Good luck.
Thanks for the reply.
The fee has been established with the investor who notified me of the deal and it’s plenty. I’m not too comfortable or think it’s needed to get one from both sides. But he’s definitely capable of doing the deal I found out.
What you suggest is what I was planning on doing if no one had any input. I don’t need to be the expert here but I don’t want to send people on wild goose chases for this kind of money either, or ANY kind of money for that matter. I don’t know the first thing about land deals and all that partains. So this should be an educational experience at least.
He’ll get everything I posted here and the contact info of the original investor.
Thanks again for the confirmation.