I am new to the forum and a complete newbie to investing. I am looking for any tips on any relevent subject. Specifically I am looking for info on obtaining financing for my first deal with no cash and abysmal credit. I’ve been studying birddoging, and wholesaling, as well as some hard money lenders (mostly just for kicks on that last one, not ready for that yet). I am convinced that one of the first two would be the best way to go. How would I go about finding investors? Also is anyone here investing in the Baltimore Maryland Area looking for someone to do some grunt work in exchange for help in finding my way?
Somewhere on this site there’s a listing of REI clubs by area. Find your local one and go. If you are a good enough bird dog and find truely good deal, then you’ll have no shortage of investors. Try to find a few investors 1st though and find out what they specifically want. That way it’ll narrow your search a bit.
The list of REI Clubs is in the left column under “Investor Resources”…
I started by joining a Club and found an investor to basically hold my hand and walk me through deals.
I know I’m giving up a lot of money to him on my deals currently and I’m getting a smaller fee for them because I basically find the deals and give it to him to finish through with them but I figure I need the experience now and the money will come later when I can do the deals on my own.
Also, I have done a TON of reading on this website and the information provided by everyone is truly invaluable! Kudos to everyone here for that.
I got started at my local real estate investors club also. Some guy will be there trying to help you by doing your deals for you. Take his help, but don’t do anything that you don’t understand how it is done. Don’t let him just bring you a completed deal and all you have to do is sign on the dotted line. I was watching the movie Interview with a Vampire. When the 2 vampires had the fight because the one vampire made a 6 year old girl into a vampire, it made great since to me. He was going to outlive his relationship with that girl and she needs to be able to fend for herself. Everyone would see her as a 6 year old for the next 200 years. She would not be able to find living accommodations or book passage or anything on her own. That is how I view the help I get from these guys at the club. I want to be able to do everything that they are doing for me so that when our relationship is over, my investment life is not over. I can’t stay a child investor for ever, and so I need to know how to acquire financing, properties, fix up and tenants on my own. I made them show me how they did everything they did for me.
if you want to find investors who will be buyers for your properties that you wholesale/bird-dog (same thing) run this ad in the local news paper and don’t change a word, they will call you by the hundreds:
3/2 fixer, great location, need cash quick call 555-1212
obviously, put your number in it. or if 4 bedroom homes are more prevalent, then change the ad to read 4/2 or 4/3.
when the investors call you, all you have to tell them is that that house is not available but you come across them frequently and find out what they are looking for and get ALL of their contact info and cash and closing limits (ie…close in 3 days and can pay all cash up to $500K) you get the picture.
if you want to get a property with no cash and poor credit … find private money sources. Not institutions like banks or even hard money (although don’t rule out those guys…they will get you into a lot of property), justr market for the guys who have IRA’s and other stashes of cash like an “angel” investor. They routinely invest in Real estate.
and lastly or more importantly, Join some investing clubs … not just real estate clubs. other investor clubs are full of people with money and don’t know where to put it!
The best thing to do is find your local real estate club and network…Learn to set apart the other newbies and the active investors…Get to know who the players are and align yourself with them… Also a little hint of advice niche market…There are different techniques you can use that don’t require cash or risking your credit you just have to know which method you would like to start with and go from there… Starting with so many hats will confuse you and slow down your learning curve…If you assign contracts make sure you are protected so you make the profit they agreed to…
I’m getting started in birddogging also and since there are no investor clubs close to me what I did was go through the classifieds in the local paper and found ads in the “want to buy” section that read something like… “I buy houses” “quick cash for your house” and things like that. I found 8 ads and all of them were excited about the idea of me finding leads for them.
You should join the MidAtlantic Real Estate Investors Assn. www.mareia.com.
There is a monthly meeting just for beginning investors, as well as plenty of investors willing to share their experience at the regular general body meetings.
Many “experienced” investors are too busy creating deals to focus on mentoring, but there are some out there.
If you are interested in doing some research or scouting, leave your email address. I’m in the Baltimore area and would like to follow up with you.