Working For Other Investors?
Well I have come to the concusion that I would like to get another job and possibly work for other investors in my area. Im a full tiem student and my current job is cutting into my real estate investing time. So I figure I could work for other investors and spend most of my time working and learning from them. But my questions is what would you as investors pay for my services? I mean I can do all the normal due dillagence that comes with buying properties, contact home owners, banks, title co., etc... But right now I dont ahve the time to focus on real estate and I still need to know the particular ins and outs of doing a deal.
So what would you pay for the services of the likes of myself? a wage and commision on every deal?
Thanks for the help,
James
Here in Florida we dont pay a base wage, we pay on each deal. Either a 500 dollar flat fee or 1%, for a good lead, that we close on. (thats 70% or less of appraised value after rehab) Or depending on how much involvement you have with the deal, the price goes up. If all I have to do is furnish monies to close a deal that you have ready to be bought and sold, its a 50/50 split of the profits at closing. So the better the deal is for me, or the less I have to put into it, the more I pay out.
If you dont have the time right now, I would suggest getting 10 strong leads, and selling them to an investor, that will get you where you need to be to get started out and some cash in your pocket. Have the investor walk you through the deal as a mentor, and earn while you learn. I say 10 because he will probably only pick the best ones.
Good Luck,
Kyle
Well the thing is that I would be with the deals from start to finish. I would get the leed, pull comps, help set up the deal, meet with seller, call who needs to be called, help with Rehab, working on the house myself if need be, help selling the house. So its like I would be doing 50% of the work and the investor would be puting up the cash and the other 50% of the work.
I want to do this so I learn how to deal a deal from start to finish wile using osm eone elsees money and knowlage. So then when I do have a deal of my own I'll know exactly what needs to be done.
Thanks for the help ,
James 8-)
James,
Please explain what real estate investing you are doing now that you are not making enough money to quit your job?
The answer here is to change your current approach and work quick-cash deals. As a student your most valuable time is spent studying (many years for compound pay-off) so you need deals that throw off cash now-- not long term holds with minimal cash flow.
Mark
Well I havent closed a deal yet, thats why I dont have enough money to quit my current job. I am trying to focus on pre-foreclosures which I would either flip or sell quick. But I would like to try my hand at LO, rentals and the courthouse steps. To start off I want to birddog and "tag along" if you will, with the investor helping them and learning how to do a deal from start to finish.