BiggerPockets

Investing in Real Estate is a Team Sport

Sunday, November 13

   The very best opportunities and best deals are not listed on some exchange board or found through mutual funds, private
or publicly traded investment trusts.

     I recommend investing in only secured real estate investments – where your capital is secured by a specific property that you can control (you can have control whether you are an active or passive investor
– the important part is the control).

Passive – you have capital to invest but you don’t want to do the ‘heavy lifting.’ Good news! Because of the lack of conventional financing today, your capital can be invested with low risk into secured
real estate transactions right in your own local market – or any market that you desire. Secured by 1st lien mortgage positions – with returns 3-4 times what the banks are paying. And as a “lender,” you don’t have to deal with tenants, toilets or contractors. You make your money by being
“the bank.”

Active – you’ve got time or knowledge or both. You know how to find the good deals and manage them. You just need capital.
Good news! Your passive friends in the paragraph above are looking for you! And unlike a bank, they don’t change names every two years!

All that’s missing is how to put Passive and Active together – and that’s is the whole key to sucessful real estate investing now.  

If you can create a network of financial friends who all help each other reach their passive and active investing goals, then everyone will do great investing together!  Just like in the sports world, your team needs to be helping each other suceed, building trust in one another and watching each others "Backs!"

What is holding you back from building your team?  We are in the greatest market opportunity of our generation and the time to capitalize is right now!  Leave me a comment and let me know your thoughts on building a team to help you succeed.

Jim

Author, Investing Now

Comments

1. 

   Kevin Kaczmarek Reply
   6 months ago

   I am 100% with you Jim. The time is now. Its interesting to hear all the traditional publications talk negatively about real estate right now. A weekend edition WSJ article talked about how horrible it is to be a buy and hold investor. Really?!?!?!? Oh, and the article below the real estate bashing story, was how good of an investment Municipal Bonds are right now.

2. 

   Jim Ingersoll Reply
   6 months ago

   Kevin

   We agree again. Buy and hold now and everyone should be set for life. What is holding everyone back, besides fear? I think it is the financing to buy which is why I am trying to encourage everyone to use private money to create win-win transactions.

   Thanks for the comment, always appreciated.

   Jim

3. 

   Christine Brady Reply
   6 months ago

   Hi Jim,

   Newest member here and just loving it! This is a great tidbit of information - we have been looking in to real estate investing for some time now.

   Tons of useful info here - will visit your site.

   Many thanks!

4. 

   David Wedemire Reply
   6 months ago

   Also agree. Now is the time to get in. If you don't want to do it yourself then partner with a team already doing it. If you want to do it yourself there are plenty of people to work with.

5. 

   Jim Ingersoll Reply
   6 months ago

   Christine - Congrats on jumping in. This is the ultimate opportunity of our generation! Let us know how you are doing along the way.

   David - Well said!

   Jim

6. Loo Reply
   6 months ago

   Totally with you guys. When everyone is giving negative opinions on this type of investment, it's an opportunity to get in.

7. 

   Dale Osborn Reply
   6 months ago

   You can only progress so far on your own. All of the investment books stress building a team. After running out of funds, I guess it is time to look at forming an investment team that can continue the upward progress in this time of opportunity.

8. 

   Perry Apawu Reply
   6 months ago

   This was some great info, I am trying to get a team together now so we can pick up some properties here in the Chicagoland area, I will forward them this article so they can get off the fence and get in the game.

9. 

   Jim Ingersoll Reply
   6 months ago

   Perry and Dale - You both get it and I am happy for you. This is for the financing part of your team, people who will fund the deals for you without needing a bank mortgage.

   Once that is in place your team will extend to an attorney or title company, Realtor/Broker, contractors and others.

   Congrats on making it happen.

   Jim

10. Sherri Reply
    6 months ago

    Hi, My husband and I have been in the construction industry for over 30 years. We have now branched out on our own and are working with 2 investors, but we need to find a few more. I have a degree in interior design, and am currently a licensed realtor with Keller Williams. I have two listings for sale that we purchased on the foreclosure market on a joint venture with investors, but we are now in hold a wait period. Can you recommend how to find more passive investors to work with?

11. 

    Jim Ingersoll Reply
    6 months ago

    Sherri - Coming from the construction side is a big help and with the interior design and realtor experience you should be in a good position to capitalize.

    You should continue to tell people about what you do, your experience, team and what you have to offer on a joint venture basis. Go to meet ups like investor clubs, financial meet ups, etc and become good at expressing your strengths and the marketplace in general.

    With the market down over 200 again yesterday, virtually everyone has a money problem including those with a lot of funds. They dont know what to do: pull it out of stocks and put it where? Into a safe CD earning about 1%?

    Investors can be the solution that people need right now. If you know how to get deals and manage property or sell them you should be able to find more partners along the way to create win-win transactions that will provide very large returns for your joint venture partners.

    Jim

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