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Updated 4 months ago on .

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754
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481
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Michael Carbonare
  • Investor
  • Fort Lauderdale, FL
481
Votes |
754
Posts

Low Risk, Low Cost: The Cooperative Assignment Strategy

Michael Carbonare
  • Investor
  • Fort Lauderdale, FL
Posted

๐—ง๐—ต๐—ฒ ๐—–๐—ผ๐—ผ๐—ฝ๐—ฒ๐—ฟ๐—ฎ๐˜๐—ถ๐˜ƒ๐—ฒ ๐—”๐˜€๐˜€๐—ถ๐—ด๐—ป๐—บ๐—ฒ๐—ป๐˜ ๐—”๐—ฑ๐˜ƒ๐—ฎ๐—ป๐˜๐—ฎ๐—ด๐—ฒ

I talk about this strategy often. Why? Because itโ€™s how I got started in real estate investing.

Like many new investors, I had little cash and no access to traditional lenders. The only person willing to lend me money was Paulieโ€”a guy who charged a point a week and always had a baseball bat within armโ€™s reach. THAT was hard money.

โ€œTry wholesaling,โ€ they said. So, I did. And I failed. Spectacularly. Getting sellers to accept half-price offers wasnโ€™t as easy as they say. A friend of mine is a successful wholesaler, so I asked him how he does it. His answer? 10,000 pieces of mail every month. . .ten thousand!  No, thank you.

Then, I met an investor who was already successful doing what I wanted to do. He introduced me to The Cooperative Assignment Strategy. It changed everything.

Why Cooperative Assignments?

โœ… No risk, no cash out of pocket

โœ… You work with, cooperate with, the homeowner instead of negotiating against them

โœ… No tenants and toilets

โœ… No maintenance or repairs

โœ… Short-term deals with sizeable assignment fees

โœ… Those fees can fund long-term strategies like buy-and-hold or fix-and-flip

If youโ€™re an aspiring investor looking for a low-cash entry point into real estate, Cooperative Assignments are an effective strategy.