My intent for entering the REI field has always been to wholesale contracts at the beginning. The low risk, and low money required to accomplish this is a very attractive way to enter into investing. But now that I've had some conversations on partnerships, I'm very intrigued at the idea. I do eventually want to rehab properties, but I don't have the funds available right now, so I always assumed I'd have to put that on hold.
A partnership seems to be the best of both worlds. Investing nothing but my time, working with someone else's money and benefiting from their experience seems like the way all beginning investors should enter into REI. So I do believe that this is now my goal.
My question is should I be in contact with a would-be partner, and have a loose agreement before farming for my first deal? Or if I go out, and find a deal, will a partner most likely "fall into my lap?" I'm considering just going for it, and once I have a house signed up, immediately seek a wholesale buyer AS WELL AS a partner, and then play it by ear.
I'm not in dire need of cash right away, but would be happy to make an assignment fee two or three weeks after signing up the contract. On the other hand I'd be more than happy to wait out the process, work with the partner to get the house rehabbed and flipped, and receive my money later. It's not even the fact that I'd (presumably) make more by partnering and waiting for my cash out, but the time spent getting experience is just as valuable to me as the money.
So how would you guys recommend I proceed? Go out there and find a deal, then hope the cards play my way? Or ensure I have a partner to back me before investing my time in a deal that I may end up losing?
Thanks,
Mike.
