How To Get Started "Bird Dogging" Houses

It’s Cody Sperber back again with another power-packed lesson. This time, it’s about a great way to get your feet wet in real estate investing.

People who are new to real estate investing are somewhat puzzled by the terms “bird dog,” and “bird-dogging.” And I admit, it does sound a little strange... but just think about what a bird dog does for a hunter – a good bird dog will sniff out the game that the hunter is after.

Likewise in investing, that bird dog will “sniff out” deals for the wholesaler – saving them time and money.

If you are just beginning in this business, it’s good for you to know that working as a bird dog is a great way to learn and earn at the same time. It’s fairly simple to get started and with little risk on your part.

Before we jump in, take a quick look at this definition from Investopedia.com:

A real estate investing term that refers to someone who spends their time trying to locate properties with substantial investment potential. Usually, the intent is to find properties that are distressed and selling at a discount that can be repaired or remodeled and sold for a sizable profit. Sometimes, however, the term is also used to refer to people who find underpriced properties that would make good income (rental) properties.

In this lesson, you’ll learn more about this valuable piece of the real estate investing puzzle. And you’ll know if this is a fit for you.

Bird Dog’s Value

It’s easy to underestimate the value that the bird dog brings into the equation, but essentially you become the eyes and ears for the wholesaler. You are out there driving the neighborhoods and looking for exactly what your wholesaler needs for his business…

You can locate properties that are under the radar. This can be of immense value to the busy wholesaler.

You will not be sending the wholesaler a few addresses off the MLS. That’s not what this is all about. Those properties are out there for anyone and everyone to see and are not under the radar.

You become valuable because you locate the address that others might not ever see.

deal Once you find a property, you will tell the wholesaler exactly why you feel this might be a good deal for him. In other words, you make the case. If the investor can turn the lead into a deal, you can net a quick $1,000 to $1,500.

You’ll have no risk in the deal. You don’t have to negotiate; you don’t have to put the property under contract.

As you work through this process of bird dogging, you’re learning what it takes to make a deal work. You’re learning the neighborhoods and the real estate values in those neighborhoods. It’s a great bottom rung of the ladder to get started in the industry.

How to Get Started Bird Dogging

If all this sounds good so far, what could you do to get started?

My suggestion is to begin by visiting a local chapter of the National Real Estate Investors Association (REIA). They have chapters all around the nation and at their monthly meetings, you will find investors and wholesalers. And these are the people who need the services of a bird dog. Not only that, but once you get hooked up with an investor, you may have also found a mentor.

Eventually, you may move from being a bird dog to becoming a wholesaler yourself.

Start attending the meetings, get to know those who attend and build your network. If you become good at what you do, you can be sure that word will spread. You will soon be in demand.

Check out other real estate meetings in your community. Get creative – think about where RE investors might hang out. Don’t forget the internet. You can network with other investors by searching the internet – particularly sites like MeetUp or LinkedIn.

Also, try going to a few foreclosure auctions. Watch and learn. Investors will be there – and they would love to have someone like you who could bring deals to them. Watch for the ones who win the bids. Later, you can approach that person and ask what they plan to do with the property.

After they answer (they’re either going to flip it or rehab it), then ask if they would be interested in you bringing them similar deals. And if they would be willing to pay a commission for that service.

At the auction, you will also learn just what these investors are buying. Those then will be the types of deals you’ll be looking for.

Another way to think creatively is to consider where on the internet the investors are hanging out and do a Google reverse search. Here are just a few examples:

Google these sites in your own area, and then fill out their contact form, or you can email or call them. After getting in contact with them, you can ask:

Where they want to buy
What they are willing to pay and
Which types of properties they invest in

scream Another great way to find your customers is using postcards. First, you will need a Realtor friend who will go through the MLS for you and pull a report of all the closed sales in a certain neighborhood. Then have them select only the cash buyers. Realize that someone who paid cash for a property in a certain area is quite likely to be looking for more properties in that same area.

Now that you have a list of addresses, you create a postcard that says something like:

“Call me if you are looking for a great deal”

Give several contact options on the card such as a phone number, email address or your website.

The people you want to serve are nearly always browsing through Craigslist. That makes this site a perfect place for you to post an ad. Look for the Real Estate Services section and use an ad like this:

I bird-dog houses for real estate investors. I find houses for investors. I find sweet deals that must be sold. I’ll provide you with the leads that you’re not already finding yourself. All I ask for is a modest referral fee. If you’re interested and you would like me to find under-the-radar deals that no one else knows about – just call or email.

Repost your ad about every week or so to keep it current. You’re sure to snag a number of good responses.

Summing Up

This lesson gives a lot of powerful information, but nothing happens until you take action. If you want to make this work for you, you must be willing to find your prospects, and then find the deals to submit to them.

Once you get on a roll, you’ll be learning and earning, and all the while you’re bringing value to the real estate investing community. So go for it!

PS: If you enjoyed this awesome lesson (of course you did!) make sure you check out my other great Mogul lessons too and my training call. And while you’re at it, you might want to check out our 30-Day Quick Start Course!

Say Words

Got anything to say about bird dogs? Share in the comments section below.

Hang out where the investors hang out – Both in person and online. Strike up conversations; get to know people. You’ll find the best deals because someone you meet knows someone else who needs what you offer. Network – it’s the name of the game.

Get out and go – Technology is great, but don’t try to do this kind of work by sitting in front of your computer. Drive the neighborhoods, attend meetings, go to auctions. Meet people face to face.

Think creatively – Don’t discount the power of a postcard in the mail. Direct mail may sound old fashioned, but it still works. Your competitors are out there, but they may not be thinking about a direct mail campaign. You can out-think them, then out-market them.