How To Realistically Get Started As A Real Estate Investor

When it comes to real estate investing, most beginners find themselves with plenty of desire, a little bit of knowledge (from books, seminars, online message boards or something like that) and in most cases they have little or no money to get started with. Does this sound like you? If so you are not alone. Not by a long shot.

If you've spent any time online researching this topic you will have undoubtedly found a countless number of articles, books, CD sets and boot camps out there that all promote some super duper "investing secret or technique" that will teach you everything you need to know to be successful.. even if you have no money or experience in the business. Call me a "kill joy", but in my experience, these types of things are not very realistic.

I'm NOT saying that these super secret secrets can't produce success. I'm saying for most normal and sincerely interested people (like my 65 year old single Mother), the sophisticated & sometimes pushy techniques that are often touted by the "gurus" are simply not a viable option for them.

The good news is that there are realistic and practical ways to get started as a real estate investor regardless of your experience level or the amount of cash you have on hand. In my humble opinion the best option is a process called "Scouting". Scouting is probably one of the most realistic and practical ways to get started available for beginning investors.

What Is Real Estate Investment Scouting

In the medical profession every doctor must complete an internship or residency before they are permitted to become a licensed practicing physician. In some cases that internship can take many years to complete. Now, if you think about real estate investment as a business and not as a "hobby" or a little "side project" a smart question to ask is..."Does an internship for the real estate investment business make as much sense as it does in other fields?" I think the answer is yes, but take some time and think about it for yourself.

I believe that success in this business or any other business requires that you must first learn the basics and develop a firm knowledge of the rules of the game. There are plenty of methods you could use to learn the basics but I believe that the best way to acquire these much-needed essentials is out there in the real world, getting your hands dirty by actually studying the market and evaluating investment results first hand. And more importantly, doing so without risking your own money.

This can be accomplished by becoming a "Real Estate Investment Scout". Scouting or "Bird Dogging" as some like to call it, is an activity that anyone can do regardless of their age, experience, income or credit history and without having to spend large sums of money. Scouting opportunities for other investors; is a safe way to gather the knowledge that will ensure your success. As well as limit the risk of exposing your own personal money while you're still trying to get your bearings in this business.

A real estate investment "Scout" is much like a consultant or research analyst, you find potential investment opportunities, do the research and analysis of the deal and then sell the information to other more senior investors for a fee. The fee structure can take many forms. In some cases it can be a flat fee and in other cases it can be a percentage of the purchase price. There are plenty f benefits to scouting which include:

1. It's completely risk free. Since you are not purchasing the property you have no need for financing or credit. Therefore you have no financial risk.

2. Requires no prior experience. You will undoubtedly find some stink bomb deals in the beginning that you're going to think are the greatest thing since central air conditioning. Don't worry about that. It's part of the learning process. The professional investors will tell you why the opportunities are no good. (Hint: This is how you learn.)

3. As you learn, you will be able to transfer deals to other investors for cash. If you save the money you earn from scouting, you will eventually be able to finance your own deals.

4. As you go about your merry way as a scout, you will develop relationships with investors, brokers and other real estate professionals. This will help you in the long run when you become a full fledged investor yourself.

Whether your goal is to eventually renovate properties for profit or purchase rental properties for cash flow, getting started as a scout is in this guys' opinion, the smartest, most realistic and lowest risk get started approach out there.

To your success!

Rik Foote

Rik Foote is the President & CEO of The Dorian Group, Inc. Dorian is a software company that develops affordable software applications designed to help beginners get off to a realistic and practical start as real estate investors. To learn more about Dorian's products and services visit http://www.reiscouts.com

---

Grab Quick Profits As Real Estate Prices Soar

Real estate values rise and fall in cycles. Currently home... Read More

As a Realtor, How Do I Attract Listings?

Have you ever noticed that despite the massive number of... Read More

The Most Sensible Investment Decision Youll Ever Make

So much advice is bandied about on the internet and... Read More

Subdividing - But NOT Land!

Many people are familiar with the concept of sub-dividing a... Read More

What Are the Pitfalls of Marketing a Property Before Its Ready?

Selling quickly is a high priority for some home sellers.... Read More

Fraud in Real Estate, Are You Being Victimized? - Part II

The phone range and Peter was on the other end... Read More

Reinventing Real Estate, Part 1: Online and Empowered Consumers Are Taking Charge and Paying Less

For decades, the real estate world turned in a predictable... Read More

Prepare Your House for a Successful Sale

Whether you list with an agent or sell on your... Read More

Successful Property Letting And Management

Successful Property Letting And Management is not something that just... Read More

Questions Investors Should Ask When Buying and Selling Investment Property

If you're a real estate investor, here are several questions... Read More

Inspecting Your New Home - 17 Areas You Must Inspect Before Taking Possession

Congratulations! You've made your decision; you've chosen your new home... Read More

Part 1: FAQ?s From Media Interviews With Real Estate Author

Do you feel there is going to be a real... Read More

Real Estate Professional in the Palm of Your Hand

GETTING THE MOST FOR THE LEASE-TRACKING YOUR REAL ESTATEIf you... Read More

Find the Right Apartment Quickly and Easily Using an Apartment Locator Service

You've probably seen the ads or heard about apartment locators.... Read More

Property in Northern Spain

If you're looking for the 'real' Spain where the culture,... Read More

How To Realistically Get Started As A Real Estate Investor

When it comes to real estate investing, most beginners find... Read More

If You Move Yourself

You'll want to take some items in your own car... Read More

Real Estate Investing ? ?The Neighborhood Factor?

Real estate investing can be a dream career when the... Read More

Buying Your First Investment Property

"Begin With The End In Mind"I first heard the phrase... Read More

Property Investing Secrets 9

Property Investing: Here Are Two Important Tactics You Must Do... Read More

Buying and Selling Distressed Houses for Maximum Profit (Update)

If you want to become a real estate investor, find... Read More

Talk to a Lender Before You Sell Your Home

If you're looking to sell your home quickly, and for... Read More

Choosing a Realtor

Purchasing a property, either as an investor or as a... Read More

A Few Easy Ways To Take The Headache Out Of Moving

Moving from one house to another is always a challenge,... Read More

Maximizing Curb Appeal and First Impressions to Sell your Home

We all know that a home or property of any... Read More

Investment Property Part I: How Not to Become a Slumlord

After riding the ups and downs of the stock market... Read More

Are You Tired of Tenants, Toilets, and Trash?

Wouldn't you rather go to Tahiti? Are you a landlord... Read More

How Can I Stop Foreclosure on My House?

We understand the being in foreclosure is a scary thing.... Read More

Real Estate Values or Just Bad Habits

There are several small businesses that retain hundred year old... Read More

10 Tips for Investing in Distressed or Foreclosed Properties

1. Search on the world wide web for distressed or... Read More

The UK has Gone Property TV Show Crazy!

The UK has gone property TV crazy. There are now... Read More

How Does Interest Rates Affect New Home Sales and Wheres The Best Place To Build?

These real questions on new home starts and interest rates... Read More

How to Sell Your House by Lease Options

Many people buy a house then have to move within... Read More