The real estate is a very sophisticated field, given the fact that it needs a certain level of professionalism in order to conduct it successfully. It is relatively a business unit that involves risks and other related challenges, which needs a professional to deal with it in the right manner. In real estate, there is the term, bird dog.
What Is Bird Dog?
This is a term used in real estate for investing and it is referred to a person who mostly concerned about ways to hunt down properties that have considerable potential for investment. Technically, the aim here is to find distressed real estate properties that are sold at a lower price for remodeling or repair. The properties are then sold at a higher, profitable price. The term can also be used to describe a person who finds properties that are under-priced and can be used to make a good rental.
The basic description of the term is a hunting dog that helps to direct hunters to the location where a bird is, then retrieve the bird when the hunter has taken their shot.
Is It Worth Trying?
The entire process can be very beneficial and here are some of the benefits involved with it;
- Earn as you learn: You will be able to make good money from the real estate as you are still under training.
- It helps you know all the property buyers that are active, for that, it gives you an opportunity to strike the best deal.
- Less risky: You will be able to carry out your transactions In-house, in turn, this will keep you away from business, legal or financial risks.
- It helps you get great deals that come at a lower discount, from that, it will help you find ways of making more money.
- It is a realistic way of being involved in the real estate market on an amateur level.
What are the Challenges Involved?
First off, since it is a part-time involvement, there are some challenges that you will expect to come across. Such challenges like;
- The Need to Diversify: You will need to carry out marketing strategies all by yourself in order to find properties, as well as sellers that are energized.
- The Power of The Tongue: You will also be required to have the power to lure sellers and persuading them about their future profits.
- You might need to charge a certain amount of money in order to shift your interest to a different dealer. This will be for the sake of limiting the possibilities of not being paid.
A bird dog in real estate will not be needed to sign their details of a given contract. The bird dogs are basically property finders, who locate people that need to sell their property fast. They will also locate the sellers who are not able to sell their properties. Typically, they contact the seller of the property and ask a few questions, while motivating them and making them sign contracts. Though they are not as highly paying as the wholesaling strategies, they are worth the bargain and give one a number of opportunities. The bird dogs have opportunities of locating properties sold at great discounts, by that, they get the chance to make a good amount of profit.
If you are interested in becoming a real estate bird dog, there are real estate investors and house buyers willing to pay up to 2% of the property value per deal found. This could translate into thousands of dollars in somce cases. If you have a consistent way of finding people trying to sell their home fast, you could translate this knowledge into cash.