How Would You Build Your Team?

[Joshua]

I think that this may help a lot of people starting out, or fill in the blanks for those who may not have their investing team in place...

1. Who is the first person you would partner with, or hire for you to begin investing? (Other Investors, Agents, Title, Escrow, Etc.)


2. Why is that person so key for you to begin your investment process?


3. List the rest of your team in order of necessity, and please explain how they will benefit your Real Estate Investment business?

4. Is there any other type of tips on building you want to add?

[Caleb McLean]

Thanks for posting this Josh! Is this something your REIA teaches or is this a personal method? Have you tried this yourself? If so, mind filling in the blanks (with some reasons behind them) for us to give us a good example?

[Joshua]

John, A REIA has two functions... One function is for the members to become educated in how to Invest in Real Estate. The second function is for Investors to network, and either find deals or create their team. We teach that you need to build your team or partner with someone who has a team in place. Why? If you just started out, and you found your first potential deal then what is next? 

1.Title Agent (or someone with the ability to run title). 

2. I see it this way because I know how to generate leads, and work a market in my backyard. If your market is not local then I would suggest finding a trustworthy investor or RE agent to scout for leads in the area of your choice.

If you are like me and working your own neighborhood, after a property is contracted (or even before) it is a good idea to run title. Make sure there is a clean title, and that the owner is who they say they are. You can find out other information such as existing loans on the house or if it is free and clear. Once you know the title info you can speak with the owner, verify the information (not by saying you already have it). If everything matches up you will be able to make a good offer, or if you have a contract then you will know if there maybe any upcoming issues or not.

3. List the rest of your team in order of neccessity, and please explain how they will benefit your Real Estate Investment business?

Next I would partner with the money man! Find a private lender, or if you are quick turning property then have a good hard money lender. (a good way to do this is the "haves and wants" at your local REIA meeting. 

If you plan on using a land trust then I suggest finding someone knowledgeable in land trusts... If this is your first deal then I would look for a good escrow agent. Once you have a clean title, and a contract then the only thing left is for you to put the money into escrow and purchase.

After you own the property then it is a whole different ball of wax and totally depends on what you plan on doing with it, wholesaling, flipping, holding, etc.

[firmpick.com]

Good stuff! Thanks for sharing.

[Tamica Rodgers]

Hello I am looking for local meetings. I need to meet and talk to potential financing partners and or cash buyers. 

Are you affiliated with this?

[Lori]

@Tamica Rodgers you can find a local association near you at https://www.nationalreia.org/find-a-reia.

[Robb]

In my opinion the team will consist of many members, and depending on your style of investing, the members may vary.

However, some that will be commonly on the team are: settlement agents, insurance agents, wholesalers (locating off market deals), investor-friendly realtors (for bidding on listed props, for "pocket listings", for bidding on foreclosures, short sales, government foreclosures, gaining ARV comps, etc. Also realtors that specialize in retail listings and/or first time buyers (if you are flipping props). Contractors of various types and specialties, and lending or capital sources.

As for the order that they are gained, it depends, but for me it would be a toss up between the capital sources and the property locator sources (sort of which came first, the chicken or egg). Then followed by settlement agents, insurance agents and contractors.

This might not be the same for others, as it depends on what team members you need vs may not.

One thing that I found to be true was that the team grows over time and sometimes the need to replace team members is necessary.

Good luck!