3 WAYS TO CONSISTENTLY SOURCE DEAL FLOW
Having consistent, high quality deal flow is critical when investing in real estate. Without consistent deal flow, not only are you limiting your opportunities to find a great deal, but you’re also left rummaging through deals that most professional investors have already passed on. Think of it as a numbers game, with each deal you get as an opportunity to score. Wouldn’t you want as many opportunities to score as possible?
So how do you get consistent, high quality deal flow in the first place?
At the end of the day, real estate is a relationship-driven business. It’s all about who you know, right?
Even more important than who you know is who knows you. You can “know” all the brokers and owners in the world, but if they don’t know YOU, the odds of getting a look at that coveted property is slim to none.
Here are 3 proven ways to ensure more people know you in order to gain consistent, high quality deal flow:
- COMMUNICATE WITH BROKERS / SALES PROFESSIONALS
Establishing relationships with local brokers and investment sales professionals is crucial. Whether it’s over the phone, through email or meeting in-person, having brokers know you’re a legitimate, active investor can be the difference between being one of the first people to see a deal or one of the last (or maybe not at all). A good way to maintain communication is to ask questions on deals they’ve previously closed and follow-up on the status of deals they’re currently working on.
- ATTEND NETWORKING EVENTS
Attending networking events is a great way to grow the number of people that have you in their rolodex. (Ok, I admit it. That’s an old school term.) Emails and calls are effective, but having face-to-face interactions with other real estate minded people is the best way to stand out from the crowd. Plus, with networking events you have the opportunity to meet a lot of people in a short period of time, increasing your chances of rubbing elbows with someone who might bring you your next deal.
- BE ACTIVE ON SOCIAL MEDIA
Real estate investing is not thought of as a get-rich-quick investment. It often takes years of appreciation and accumulation before someone can live off their investments. Because of this, real estate is commonly thought of us an old man’s game (hence the rolodex reference). That doesn’t mean you should continue to use old tactics, though. Social media is a prime example of this. Thanks to platforms like Facebook, Instagram and LinkedIn, our ability to reach other people has completely evolved. A real estate investor from California can be known by hundreds, if not thousands, of investment sales professionals and owners from New York, thanks to social media’s organic reach. Being active on these platforms by connecting with new people and posting about what you’re looking to invest in is a simple, yet very effective way to increase the amount of deals you see.
In the commercial real estate world, you never know where your next deal will come from. Don’t underestimate the edge that comes with developing the right relationships by growing the number of people who know you.
The deals are out there, you just need to know where to look and how to find them.
Want to hear the information from Dan himself? CLICK HERE to view video.
Daniel Salonis is a Partner at Progress Realty Partners and oversees all aspects of operations, including investment strategy, asset management and tenant negotiations. Prior to PRP, Dan worked with Marcus & Millichap as an investment sales specialist before being named VP of Investments with a NJ-based private equity firm, where he helped manage 3 million SF of commercial retail properties.