How to Build a Real Estate Investing Power Team

How to Build a Real Estate Investing Power Team

 by: Adem Hamidovic

As you continue to read about real estate investing, you will no doubt come across the term ‘power team’. What is this ‘power team’? A power team is a group of people without whom successful real estate investing becomes very difficult, if not impossible. Included in a power team are at least one real estate agent, a mortgage broker, and a real estate lawyer, all of whom will have experience in creative real estate investing.

So, how do you go about building this team? Well, you could just get a copy of the Yellow Pages and start calling, but that will most likely take a very long time, time that could be better spent working on real estate deals! Wouldn’t it be better to have these people call you? I thought so, so here’s what I did. Keep in mind that this technique not only netted me a power team, but also a list of potential partners/buyers for future deals.

The local paper offers a deal on weekend real estate listings, so I placed an advertisement in the paper that read:

“Fixer-upper for sale. Cheap. Need cash and quick closing. 555-5555″

What sort of people would respond to an ad like this? Some will be tire-kickers and the curious, but a good number of callers will be investors and real estate agents. I had the number in the paper forwarded to a voicemail service, and it’s a good thing I did as there were a lot of calls! I find that those who are just curious about the ad tend to hang up without leaving a message, so that takes care of those that aren’t serious.

After listening to the messages I found that there were two real estate agents that had answered. I called the first one, George, and told him that the home had sold, but would he be interested in working with fixer-uppers in the future? He replied that he would, but didn’t seem interested in discussing it much further. Now, I should mention here that I never actually had a home to sell - what I posted is called a ‘ghost ad’, used to guage interest in something. You may not feel entirely comfortable with this, and that’s fine. Simply post a different ad that gets the same sort of message across.

The next agent, Elizabeth, was much more receptive. We spoke for well over an hour about her experiences in real estate - it turns out that she actively invests in real estate herself. She would be more than happy to search the mls on my behalf, as well as submit as many offers as I would send her way. Perfect!

And here’s the best part: since I had found a real estate agent who also invests, I was also able to use the resources that she uses in her deals. So I now had access to a great real estate lawyer as well as a mortgage broker, along with a recommended property inspector. That saved me loads of work and time. My power team was now complete!

I’ve since become good friends with Elizabeth, and she regularly sends me listings that haven’t made it to the mls yet. This gives me a huge advantage in pursuing deals as only a relatively small number of people are aware of the sale. I picked up my latest rental property this way - the property was going to be listed on the mls in two days time, but since Elizabeth let me in on the deal early I was able to close before the general public became aware.

A good power team is crucial to your success as a real estate investor, and oftentimes finding one member of the team can lead you to the others. Happy Investing!

About The Author Adem Hamidovic is a part-time real estate investor and operator of www.ProfitPiggy.com, a website devoted to new and experienced real estate investors alike. admin@profitpiggy.com

How to Build a Real Estate Investing Power Team

How to Build a Real Estate Investing Power Team

 by: Adem Hamidovic

As you continue to read about real estate investing, you will no doubt come across the term ‘power team’. What is this ‘power team’? A power team is a group of people without whom successful real estate investing becomes very difficult, if not impossible. Included in a power team are at least one real estate agent, a mortgage broker, and a real estate lawyer, all of whom will have experience in creative real estate investing.

So, how do you go about building this team? Well, you could just get a copy of the Yellow Pages and start calling, but that will most likely take a very long time, time that could be better spent working on real estate deals! Wouldn’t it be better to have these people call you? I thought so, so here’s what I did. Keep in mind that this technique not only netted me a power team, but also a list of potential partners/buyers for future deals.

The local paper offers a deal on weekend real estate listings, so I placed an advertisement in the paper that read:

“Fixer-upper for sale. Cheap. Need cash and quick closing. 555-5555″

What sort of people would respond to an ad like this? Some will be tire-kickers and the curious, but a good number of callers will be investors and real estate agents. I had the number in the paper forwarded to a voicemail service, and it’s a good thing I did as there were a lot of calls! I find that those who are just curious about the ad tend to hang up without leaving a message, so that takes care of those that aren’t serious.

After listening to the messages I found that there were two real estate agents that had answered. I called the first one, George, and told him that the home had sold, but would he be interested in working with fixer-uppers in the future? He replied that he would, but didn’t seem interested in discussing it much further. Now, I should mention here that I never actually had a home to sell - what I posted is called a ‘ghost ad’, used to guage interest in something. You may not feel entirely comfortable with this, and that’s fine. Simply post a different ad that gets the same sort of message across.

The next agent, Elizabeth, was much more receptive. We spoke for well over an hour about her experiences in real estate - it turns out that she actively invests in real estate herself. She would be more than happy to search the mls on my behalf, as well as submit as many offers as I would send her way. Perfect!

And here’s the best part: since I had found a real estate agent who also invests, I was also able to use the resources that she uses in her deals. So I now had access to a great real estate lawyer as well as a mortgage broker, along with a recommended property inspector. That saved me loads of work and time. My power team was now complete!

I’ve since become good friends with Elizabeth, and she regularly sends me listings that haven’t made it to the mls yet. This gives me a huge advantage in pursuing deals as only a relatively small number of people are aware of the sale. I picked up my latest rental property this way - the property was going to be listed on the mls in two days time, but since Elizabeth let me in on the deal early I was able to close before the general public became aware.

A good power team is crucial to your success as a real estate investor, and oftentimes finding one member of the team can lead you to the others. Happy Investing!

About The Author Adem Hamidovic is a part-time real estate investor and operator of www.ProfitPiggy.com, a website devoted to new and experienced real estate investors alike. admin@profitpiggy.com

Real Estate Investing Skills

No matter how you go about becoming involved in real estate, there is one skill that must be mastered in order to become successful. Now measuring success is a subjective matter. This means that it is open to opinion and individual evaluation. Objectivity is the opposite of subjectivity. For instance, I might measure ?success? as having a passive income of $25,000 a month, whereas another person might consider that number to be complete failure.

Having said this, whatever way you measure success, there is one skill that will literally hunt you down and let you know that you have a long way to go towards achieving success. It?s not salesmanship. It?s not tenacity. It?s not creativity. It?s not knowledge of the subject matter.

For instance, let?s say you?re a real estate agent. You could be omnipotent, meaning you know all there is to know in the universe about real estate. However, this will not make you more successful if you have not mastered, or at least recognized the need to improve, this all-important skill.

If this skill were an animal, it would be a predator and the most feared! It?s a predator because it is constantly eating away at you. When you sleep, it gains on you and you can never out run it, ever. It requires the utmost respect and in order to tame it, you must practice skilled management of it.

No, it?s not an actual animal, but it sounds scary doesn?t it? Time. Time management is the skill. The absence of it or a lack of skill will certainly spell doom for your investment and business goals.

So, how do we manage it? First of all, no learning process is sufficient unless you?re involved in it. No words written in this article will provide you with the necessary respect you must have for time. All this article can accomplish is to plant the seed in your brain.

Having said this, first you will need to experience how out of control your business affairs are without being organized. This will teach you a valuable lesson. Secondly, if you come to respect the need for time management, you will realize that steps are needed to develop time management skills. On the other hand, if you don?t come to respect time and treat it as you would say, money, you will undoubtedly lose interest in your business/investing endeavors and say, ?Forget about it?.It?s too hard.?