I found the local REI clubs in my area. I plan on attending the next meetings for them. I figure that will be a good place to start networking.
I realize I need to build my network. Does anyone have advice on doing that and getting people to take you seriously? Obviously, I don’t be buying property tomorrow so I have a feeling people will brush me off at 1st. However, once I find a great deal on a preforeclosure I need a team that’s ready to make things happen quickly.
Most business relationships are usually built on trust and a history of working together. I’m wondering how to get past that and have the credibilty so people will help me when there’s no money in it for them yet.
FWIW, I have good professional experience outside of real estate. I’ve worked for two Fortune 15 firms and I have an MBA and MS finance from a top-tier school. I’m lacking in real estate experience though. Now I’m diving into a new area with new vocabularly and different rules.
Thanks,
Marcus
Marcus, I am an engineer with an MBA. I am an executive for a major international company and until recently was not into real estate. The way I got my team to accept me is to make sure they knew I was real. Things like getting financing lined up now (pre-approval is fine) lets them know that #1 you have the ability to get the funds and #2 you have the desire to make a deal. Since nobody can do all the deals that present themselves, there will be deals for you. After I bought my first one, others were being presented pretty regularly. You have an advantage over a lot of investors because you understand that the real estate business is a business. You don’t do anything in business that does not move you toward you goal (make you money). It is not about houses and land, it is about making money. If you look at it that way, you won’t fall in love with that split-level, but with that $300/month cash-flow it produces. My biggest battles are with my wife who wants to put Subzero refrigerators and marble floors in houses that will move very nicely with regular products.
Remember that real estate agents, mortgage brokers, attorneys, etc are looking for new blood at the same time you are looking to build your team. Remember money talks and other things walk.
Thanks. That’s funny since my undergrad is in engineering as well. I have talked to a conventional lender and been pre-approved for that. The problem is they are slower to close than a hard money lender. I’d need the owner to start working with me well before their auction date.
I’ve been playing phone tag with a hard money lender. I should connect with them this week to find out my limit there and the speed they can offer.
I’m meeting with a real estate attorney next week to discuss incorporating and other documents.
The ball is slowly rolling but there’s a lot more to be done. Thanks for the advice and encouragement.