Bird Dog VS. RE Agent
Hi,
I read the module "Get Started in Real Estate as a Bird Dog" that was good stuff! I must admit, I have a most pathetic question. what is the difference between a real estate agent and Bird Dog? and why would a bird dog not need a R.E license?
As I said a pathetic question, again Thank you in advance
Bird dogs collect a small fee from a investor if the investor is interested in the property. Agents deal with buyers who plan to live in the home as well as investors. A bird dog get their leads from driving around and talking to people while a agent can just go into MLS and find something that meets the buyers needs. I am a agent here in south florida. There are so fees involved in being a agent while you can be a bird dog for free. Hope this helps
Needs_Coffee,
In reading some of your posts and questions being asked, I see that you are enrolled in a mentoring program.
I would like to know if this mentoring program is run by Dewey, Cheatum & Howe and some of the coaches are Larry, Curly or Moe?
John $Cash$ Locke
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A word of caution. State Real Estate laws vary across the country. When I took the RE sales course for my license last year I learned that in Illinois any fee received by an individual associated with setting up a sale must be paid to or through a broker. Therefore a bird dog must have a real estate license here in order to stay out of jail. You can put your license in a holding company (talk to a large broker about this) and avoid many of the fees associated with the sales agent aspect. One company I know of here pays a sizable percentage of the commission to "bird dog" or client referral counselors as they call them here. Going through the real estate training course is very useful and informative regardless of whether you intend to get a license or be an investor or simply work in the real estate industry in some capacity. Good luck. LL
LazarusLong,
Glad to meet you.
Did they teach in that real estate class that if the Bird Dog is a principal in the transaction that he or she does not need a license?
Very easy to do by the way.
John $Cash$ Locke[ Edited by JohnLocke on Date 10/12/2004 ]
kmaples,
"Money is never hard to find when you TRULY have a good deal."
Amen.
John $Cash$ Locke
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when you work with a birddogger do they only get paid if you decide to buy the property or just for telling me about it?
nic3456,
Glad to meet you.
A Bird Dog is normally paid when the investor closes the deal from the lead they received.
John $Cash$ Locke
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Is there a good source to find people who birddog? I seem to do better at finding ways to purchase property and specific houses than I do in finding time to drive around and find properties.
Wow!! thanks for all the great info, I didn't think that post was going to go anywhere.
John,
good to meet you, and in repy to your question. YES, I think the mentoring program I signed up with is a subsidiary corp. of Dewey, Cheatum & Howe. Larry signed me up and I am currently working with Moe...... I have yet to meet Curly. ( thanks for the good chuckle)
Lazarus,
I have thought about an RE course as well. I may do that just as soon as I get Dewey, Cheatum & Howe paid off and deed them my first born.
Kmaples,
I am still trying to figure out where to look in order to find.
Thanks all!! Great info!!
Quote by John Locke
Quote: Did they teach in that real estate class that if the Bird Dog is a principal in the transaction that he or she does not need a license?
I have read a lot of your quotes and I find them very informative, but from what I have heard most people selling homes will not sell (or are atleast very reluctant to sell) to people who use the clause "subject to approval by partner" or any other such clause. I could be very wrong, but I have seen a few other posts on this same topic and some people I have talked to say they will not even deal with someone who's offer has such a clause.
Fill free to correct me on this if I'm way off, but that is what I have been told. I am also very new to this, and willing to learn.
Jackace,
A majority of the investors use "subject to approval of partner" as a weak escape clause. If something comes up (as in they couldn't close the deal, ran outta money, got scared, or for whatever reason), they can use this misleading clause in the contract to cancel it.
Eventhough, there was no REAL partner.
Besides, if the seller is motivated enough, that phrase (or any other like it) will be irrelevant.
They just want to sell their house and be done with it.
Hope this helps.
Take care.
Jason
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Hi Ichabod,
I know that helped me out! Thanks! I was reading a few of the posts that Jackace was referring to and was wondering the same myself. Would anybody care to comment the “and/or assigns” clause and how that may effect the acceptance of a contract?
As you mentioned in your post that this a weak escape clause. Is it considered just REI business to use these escape clauses? If so, what/are there stronger clauses that one may utilize.
Quote:
On 2004-10-13 20:57, Needs_Coffee wrote:
Hi Ichabod,
I know that helped me out! Thanks! I was reading a few of the posts that Jackace was referring to and was wondering the same myself. Would anybody care to comment the “and/or assigns” clause and how that may effect the acceptance of a contract?
As you mentioned in your post that this a weak escape clause. Is it considered just REI business to use these escape clauses? If so, what/are there stronger clauses that one may utilize.
"and/or assigns" is not an escape clause, what it does is just let's you assign the contract to someone other then you, but it doesn't let you out of the contract if for example you don't assign it.
How does it not let you out if you don't assign it? I thought that is why you would use the clause, to get you out of the deal if you can't assign it.
I was also wondering how these clauses are seen in RE contracts do people shy away or reject contracts with these clauses.
If you were selling property as most of you do would you accept a contract with an assign clause in it?
I was talking to a RE agent here in Boise and he said he advises all his clients not to consider offers with assignment clauses in them, because they are usually a low-ball offers and second you could accept the offer and things fall through and you lost your sale and have to start over with accepting offers.
How are these clauses interpreted where you invest???
"Jackace " a Weasel/Escape clause allows you to change your mind for whatever reason from buying the subject property. The Assignment clause is NOT a weasel clause, at no time will it give you the ability to weasel out of the contract. It gives you the power to sell the contract if you choose and if you can't find an investor, you might end up losing your deposit.
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Needs_Coffee,
Hey there.
Glad I could help.
As far as it being REI business to use these "weak escape clauses," yeah...there's investors that use them everyday that really don't need to.
Maybe it just gives them a sense of added protection, should they not be able to perform.
If you're intent is to actually buy a property (be it through a wholesale, L/O, sub2, or conventional buy) then you won't need them.
Just use clauses that you'd actually think would be necessary in a particular deal.
Say for a wholesale deal......
The main (or perhaps only) clause I'd use would be a financing clause. Meaning, that if I couldn't wholesale the deal, then I'd go ahead with the purchase of the house, using a conventional buy.
And if I weren't able to obtain financing, then and only then, would I have to cancel the contract.
Or for example a subject-to deal...
You could use clauses and phrases that are "contingent on etc" and/or "...subject to loan balance, appraisal, etc etc...."
You'd use these to insure the numbers add up. If you sign a Purchase & Sale Agreement, and later find out through your due diligence the seller owes more than he/she had originally told you, then you can void the contract. See?
Now, you could use the "...subject to partner's approval..." to back out if you actually had a $$ partner that didn't want to invest his or her $$ into the deal.
But ultimately, you place whatever clauses that protect your interests, will able you to perform needed actions, and is agreed upon by both you and your seller(s).
This is where it all starts anyway.
Hope this helps.
Jason
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Wow!!!, thanks everyone for all the great info! I had to take a day away, I think I was on information overload! This forum has provided more information than I could have possibly hoped for. I think it is time for a good book!!
Once again, thank you!!