A person who locates possible investment opportunities for real estate investors is known in the business as “bird dogging.” Simply put, a bird dog assists investors in finding transactions and is compensated with a commission. Here’s how to get started if you’re interested in becoming a bird dog.
You must first comprehend the real estate market and what investors are seeking in order to obtain a bird dog contract. Start by learning about the various real estate investment strategies, such as rental properties, flips, and wholesale. You can meet investors and gain more knowledge about the sector by going to real estate seminars and networking gatherings.
You can start exploring for potential offers once you have a solid grasp of the market. This include searching the MLS, touring communities, and speaking with real estate brokers. To identify possible investment properties, you can also use web tools like Realtor.com, Redfin, and Zillow.
To be sure that a possible deal is a smart investment, you must perform some due diligence. Analyzing the property’s state, location, and financial potential is necessary for this. The BRRRR method, which stands for Buy, Rehab, Rent, Refinance, and Repeat, can also be used to process the transaction. By evaluating the anticipated return on investment, this method assists investors in deciding if a property is a viable investment.
If you discover a decent bargain, you can then pitch it to investors and work out a commission. Depending on the size and profitability of the sale, the commission can range from a few hundred dollars to several thousand dollars. A written agreement outlining the details of the arrangement, such as the commission rate and payment period, should also be in place.
How much a bird dog can earn mostly relies on the deals they locate and the commission they are able to negotiate. Some bird dogs earn a few hundred dollars on each transaction, while others bring in thousands. Finding decent offers and negotiating a reasonable commission are the keys.
Overall, for those who are prepared to put in the time and effort, bird dogging can be a lucrative side business or full-time profession. Finding solid deals and establishing a network of investors may take some time, but the potential rewards are substantial. So, if you have a talent for spotting good deals and are interested in real estate investing, think about working as a bird dog to start making money.
I think “bird dogging” rather than “bird digging” is the appropriate term. Finding possible properties or transactions for investors or real estate experts is known in the industry as “bird dogging.” Bird dogs are essentially property scouts who are compensated with a commission or finder’s fee. They might search online postings, network, or drive for cash, among other strategies, to identify suitable bargains. Bird dogging’s objective is to assist professionals or investors in discovering lucrative transactions that they might not have found on their own.