New Bird Dogs

Comments(5)

• 
  InActive_Account22nd August, 2003

  Hi;
  
  Here is the process I use along with durations of how long it typically takes....
  
  1. I have most success finding properties two ways. The first way is to visit our county courthouse and gather infomation on who has recently had a foreclosure process begin (les pendis). The second way is I drive through neighborhoods and create a list of potential properties (rundown prop).
  
  2. I then visit the local town (city) hall and research the properties i've found in step #1. I gather as much information as I can about the property and determine who I should contact.
  
  3. From the contact list in step#2, I typically send a letter (you can find lotsa samples here on this site) to the owner expressing interest in purchasing the property. Or, I call the person on the phone, or I've even stopped at the property to chat with them, if they're outside when I do a return drive-by (whatever works for you). If you don't here from them right away, try again in a few weeks. It may take 3 or 4 communications to them before they're motivated enough to make a move.
  
  4. As potentials surface, I then work with investors / rehab'ers and share my leads. Don't forget to make your contractual arrangement with the investors, should a deal come to life. You want to make sure you get paid (hi).
  
  This whole process can take anywhere from 2 weeks to 2 months depending upon how motivated the potential seller is and how quickly you can gather info.
  
  Good luck, Mark

• 
  SavvyYoungster22nd August, 2003

  Thanks for the reply Mark!
  
  Just a few questions if you don't mind. Once you've found a motivated seller who is willing to share the details of the financial situation, how do you determine if it is any good. Specifically:
  
  **Is there a LTV % that you use as a cutoff?
  
  **Is there an ARV or other marker that you use?

• 
  InActive_Account22nd August, 2003

  I'm sure there are others on this site with much more experienced than I, but here is the approach I've taken :
  
  First, you know they're motivated, so
  
  1) In the case where their total debt (current & past) plus any repairs are greater or close to the FMV of the home, then you can focus on a potential short sale. As a bird-dog, you'll hand this one off to an investor as a potential short and they'll work with the bank and owner going forward. There is a lot of great info on this site about short sales and how to execute them.
  
  2) In the case where there is equity in the house, you want to identify how much $ profit potential exists (net of any repairs) and document this for the investor.
  
  The more detailed info you, as a bird-dog can provide, the easier it is for the investor to close the deal (and the quicker you get paid). As Rich Dad / Poor Dad says "In todays world, Information is wealth" This is key for the Bird-Dog !!
  
  Good Luck, Mark

• 
  amynewbie24th August, 2003

  hi toussaint
  
  when is it exactly that you give the contract to sign to the investor??
  
  do you give him the information that you have(without giving address) on a particular property and if he/she likes it then sign or where in the steps do you give the contract to the investor?
  
  does he come up with a percentage to be paid to the bird dog or does the bird dog come up with their own fees
  
  amy

• 
  Birdoggin4u24th August, 2003

  My I suggest that you give as little info to the Investor in which don't give out the address. Once you have finished your research and if the Investor is interested, arrange a meeting, make sure you have 2 contracts for that person to sign.
  
  Good Luck