Hello, so I have an investor that I met through wholesaling. We have been building a professional relationship and the short time that we have known each other he has taught me a lot and I have taught him some things about the market he is searching in right now. Well recently I asked him if he is also a private money lender and he says he will consider it. Ive been finding deals on the MLS that would make perfect rentals or flips. I lack the capital and he lacks time to manage all his investments. Anyway, I want to do a partnership deal with him either using the brrrr strategy or private money. as far as the brrrr strategy by buying a home off the MLS Im not sure where I would be needed other than bringing him the deal, I don't have much money to invest with him but I do have time. I would like to write him a sample proposal but I'm not sure what to put in it. I guess my intentions for partnering with him will be considered syndicating, what should I ask for as far as percentages and what should I offer such as time or managing the property?
@Raven Walker , IMO, if an investor needs a third party to bring him a listing off MLS, he can't be much of an investor. All he needs to do is contact I real estate broker who works with investors, and he'll receive all the deals he has time to look at. Guess I don't quite understand what it is you're bringing to the table? Trying to receive either an additional fee or an ownership interest for bringing an MLS listed offering to someone seems like an area with very little potential - unless the investor is so new that he's in need of your expertise. Listings on MLS are typically priced at or above RETAIL market pricing. There's not enough meat on the bone to have an additional intermediary.
One of the mistakes most inexperienced real estate investors/flippers/wholesalers make is to believe every other listing for sale is a 'deal'. Nothing could be further from the truth. While experienced investors have occasionally found the 'diamond in the rough', it takes a lot of looking, knowing where to look, having extensive contacts (of the right kind), and the knowledge and experience to recognize the real deal.
@Don Konipol thank you don. That's exactly what I was thinking like what's stopping him from going on the MLS himself. He just started buying properties in Camden, nj and I think that's where the potential partnership is, I have to continue what I'm doing as far as finding wholesale deals and potentially partnering with him on one vs something that already made it to the MLS at that point it's no longer my market.
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