Partner with Other Investors
There’s Lots of Deals to Go Around
One thing beginners seem to have a hard time with is that “there are so many other people out there doing the same thing, how do I compete?” You don’t. You partner. There are enough deals to go around for everyone. Also, your Real Estate Investment Strategy should be unique enough so you are attracting a different type of deal.
There are lots of people advertising “We Buy Houses”. Most of these people took an introductory investment course and don’t know what to do when people call them. In fact, a lot of the advertisements related to Real Estate investing are run by beginners. Once you find out who the real “Real Estate investors” are there may be an opportunity to partner with them.
For example, let’s say you have control of a property under a Lease Option agreement. You send this property out to all the people in your database who are interested in Rent to Own. Then you post it on some of the free online classified sites such as Kijiji. You can even place an ad in the local newspaper. If you are unable to find a Tenant Buyer for your property you will want to contact another Real Estate Investor. If the other investor is able to provide a Tenant Buyer, you could do one of the following:
- Enter into a Joint Venture where you split some of the responsibilities in exchange for some of the profits
- You could pay them a referral fee for their Tenant Buyer
- You could assign the deal to the other investor for an assignment fee.
Working with another investor may sometimes be better than carrying the property for a couple of months, especially if you are just starting out.