Finding Investors - In My Part Of The Country
To buy a fixer property - duplex or other I can rent a part of - I am wondering how to find people who want to silent partner, or invest without the management and rehab work, etc. I have looked for a "no-doc" loan with my 575 FICA score but havn't found financing that doesn't require a big down payment on my part.
you should try the Ad in the local newspaper. Try to ID a good deal, set up a LLC to allow 50-50 sharing of any profit after all expenses are subtracted and make a summary document of the deal - costs of buying, rehabbing/preparing for sale, anticipated carrring costs, then selling costs (you can find a realtor to help put all of this together in a nice package with color pictures free of charge if you don;t have that capability yet if you promise them the listing).
Then start talking to people and tell them exactly how much of their money you need for the deal - by preparing the brochure, they don;t even have to be in your backyard to 'invest' with you on one of your deals.
Feltman's "ad in the paper" advice is tricky. Federal Securities law prohibits "generally soliciting the public" for investors in unregistered securities. Its hard for me to think of a more general solicitation than an ad in the newspaper
That said, I see those ads all the time. If you get responses make sure the investor is sufficiently savy that if the deal goes bust the attorney General won't think you are taking advantage of the innocent.
Talk up your investment activities. Be involved in your community. Let people know you are looking for partners. My best investor right now is a guy I met at my kids Boy Scout troup.