Building your team is an important step, because as an investor you cannot do everything. Having some knowledge of each of the aspects of your business is important, but it is equally important to surround yourself with those who specialize in certain areas. My team consists of a real estate agent, a contractor, flooring and paint subcontractors, a lawyer, buyers, wholesalers, and lenders.
The most difficult find was the real estate agent. I have found that the two real estate agents I ended up with (one in California, one in Virginia), were both new to real estate and willing to work hard to become successful in their own right. There are many real estate agents that will not work with investors. Find ways to make the agents time worth their while. It needs to be a win/win situation or why should they bother. Build a relationship and truct with the agent, and you will find them bringing you deals before they hit the market and if you are not in a situation to take on that project you can wholesale the deal. I have done this. The caveat was when I passed the deal onto the wholesale buyer, I made sure the real estate agent was in the deal. Some buyers want to use their own people or hold real estate licenses themselves to cut costs. Make sure you protect your agents. Don't be a user, be a giver. You will be surprised at how beneficial this will be to your business and your success.
I got lucky when it came to my flooring and painting subcontractors. We were working with them when we too were subs. My lawyer I found by way of referral. Make sure your lawyer is a real estate lawyer. They need to understand the laws in your state. In California a lawyer is not involved in the closing of a real estate deal. In Virgina, a lawyer is directly involved in the closing and is present at the signing. Finding buyers and wholesalers is easy. go to Craigs List, look for the signs that say, "We Buy Houses", go to REI meetings in your area (look it up online), or invest in a company like Connected Investors at Connectedinvestors.com.
[this is not a paid advertisement, although I did check in and make sure I could include them in my blog]
As a side note, Connectedinvestors.com is like a one stop shop for investors, young and old, new and established. The last thing I will say is this, build your business in a way that makes you feel good. If it doesn't feel good, it probably isn't. OH! and if it seems to good to be true, it probably is. There are LOTS of scams out there. I fell in to one (i'll get into that another time). This can be a hard, fast business but it is filled with fun and excitement, and you will meet some amazing people along the way. Until next time, Be Safe!