As someone who has been in the real estate industry for years, I’ve come across a lot of different terms and phrases that are used to describe various aspects of the business. One of the terms that I’ve heard a lot recently is “bird dogging”. It’s a term that’s often used in the world of real estate investing, and it’s something that many people are curious about. In this article, I’m going to demystify bird dogging by explaining what it means, how it works, and whether or not it’s right for you.

Introduction to Bird Dogging

Before we dive into the specifics of bird dogging, let’s start with a brief introduction. Essentially, bird dogging is a way for real estate investors to find potential properties to purchase. The term comes from the hunting world, where a bird dog is used to locate birds and flush them out so that hunters can shoot them. In the real estate world, a bird dog is someone who helps investors find properties that they can buy.

Definition of Bird Dogging

So, what exactly is bird dogging? At its most basic level, bird dogging is a form of real estate investing where someone (the bird dog) helps an investor find potential properties to buy. The bird dog is typically not the one who buys the property – instead, they receive a fee or commission for finding the property and passing it along to the investor.

Benefits of Bird Dogging in Real Estate

There are a number of benefits to bird dogging in the real estate industry. For one thing, it’s a great way to get started in real estate investing without a lot of money or experience. As a bird dog, you don’t need to have a lot of capital to invest – you just need to be willing to put in the time and effort to find potential properties.

Another benefit of bird dogging is that it allows you to learn the ins and outs of the real estate industry without taking on too much risk. Since you’re not the one purchasing the property, you don’t have to worry about things like financing, repairs, or property management. Instead, you can focus on finding potential properties and learning from more experienced investors.

How Bird Dogging Works

So, how does bird dogging actually work? The process is fairly simple. As a bird dog, your job is to find potential properties that investors might be interested in. This could involve driving around neighborhoods, talking to people who are looking to sell their homes, or scouring online listings for properties that meet certain criteria.

Once you’ve found a potential property, you’ll typically pass the information along to an investor. The investor will then do their own research and decide whether or not to pursue the property. If they decide to move forward, you’ll receive a fee or commission for your efforts.

Steps to Becoming a Bird Dog

If you’re interested in becoming a bird dog, there are a few steps that you’ll need to take. First and foremost, you’ll need to educate yourself about the real estate industry. This could involve taking courses, reading books, attending seminars, or working with a mentor who has experience in the industry.

Once you have a basic understanding of the industry, you’ll need to start building relationships with investors. This could involve attending networking events, reaching out to investors on social media, or joining real estate investment groups in your area. The goal is to find investors who are looking for properties in your area and who are willing to work with you as a bird dog.

Finally, you’ll need to start looking for potential properties. This could involve driving around neighborhoods, talking to people who are looking to sell their homes, or scouring online listings for properties that meet certain criteria. The key is to be persistent and to keep looking until you find properties that investors are interested in.

Finding Properties as a Bird Dog

One of the most important aspects of bird dogging is finding properties that investors are interested in. There are a number of different strategies that you can use to find potential properties, including:

  • Driving around neighborhoods and looking for properties that are for sale or that look like they could be potential investment properties.
  • Talking to people who are looking to sell their homes and asking if they would be interested in working with an investor.
  • Scouring online listings for properties that meet certain criteria (such as being below market value or in a particular neighborhood).
  • Working with a real estate agent who can help you find potential properties.

No matter what strategy you use, the key is to be persistent and to keep searching until you find properties that investors are interested in.

Bird Dogging Contracts and Agreements

When you’re bird dogging, it’s important to have contracts and agreements in place to protect yourself and the investor. These contracts should outline things like the fee or commission that you’ll receive for finding a property, how the property will be purchased (such as through a direct sale or through a wholesaler), and how the transaction will be closed.

It’s also important to have a non-disclosure agreement in place to protect the investor’s confidential information. This agreement should outline what information you can and cannot share with others, and what will happen if you breach the agreement.

Mistakes to Avoid When Bird Dogging

While bird dogging can be a great way to get started in real estate investing, there are a number of mistakes that you should avoid. Some common mistakes include:

  • Not doing enough research on potential properties before presenting them to investors.
  • Failing to build relationships with investors before trying to work with them.
  • Not having contracts and agreements in place to protect yourself and the investor.
  • Failing to follow up with investors after presenting them with potential properties.

To avoid these mistakes, it’s important to take the time to educate yourself about the real estate industry, to build relationships with investors, and to have contracts and agreements in place before you start working with investors.

Bird Dogging vs. Wholesaling

Another term that you might hear in the world of real estate investing is “wholesaling”. While bird dogging and wholesaling are similar in some ways, there are some key differences between the two.

Wholesaling involves finding properties that can be purchased at a discount, and then selling those properties to investors for a profit. In contrast, bird dogging involves finding potential properties and passing that information along to investors, who then decide whether or not to pursue the property.

The key difference between the two is that wholesalers are typically more involved in the transaction – they negotiate the purchase price, handle the financing, and oversee any necessary repairs or renovations. Bird dogs, on the other hand, are more focused on finding potential properties and passing that information along to investors.

Conclusion: Is Bird Dogging Right for You?

So, is bird dogging right for you? That depends on a number of factors, including your level of experience, your financial situation, and your goals as an investor. If you’re just getting started in real estate investing and you don’t have a lot of capital to invest, bird dogging can be a great way to get your foot in the door.

However, if you’re looking to take a more active role in the real estate transaction – such as negotiating the purchase price or overseeing repairs – then wholesaling might be a better fit for you.

Ultimately, the decision to become a bird dog (or a wholesaler) is a personal one. It’s important to do your research, educate yourself about the industry, and build relationships with investors before you start working as a bird dog.

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