What Is a Bird Dog in Real Estate?

What Is a Bird Dog?

A bird dog is a type of broker or agent who locates properties with investment potential. They look for motivated sellers or undervalued properties to pass on to real estate investors for a fee.

The term "bird dog" comes from hunting dogs that locate and retrieve birds for hunters.

Key Takeaways

• A bird dog is a real estate professional who finds under-priced properties for motivated buyers.
• Bird dogs play an important role in the real estate market by providing price information and facilitating transactions.
• Bird dogging has gained popularity as interest in flipping homes and finding rental properties has increased.

Understanding Bird Dogs

Bird dogs work as an intelligence network for real estate investors. They expand the search area for real estate deals and develop a network of investors to increase their chances of making a deal. Bird dogs can identify properties for flipping, as well as income properties or residential rentals.

Bird dogs are more abundant than successful, contrary to what late-night infomercials and real estate seminars may suggest. The idea of the bird dog is part of the quick money millionaire image associated with real estate investment. While acting as a bird dog can provide valuable experience in identifying distressed properties for profit, finding well-capitalized investors willing to train bird dogs is not common. Successful bird dogs usually have years or decades of experience and a network of private investors. Aspiring bird dogs may benefit from learning from experienced investors or seasoned bird dogs, but building a real estate empire by relying solely on them is unlikely.

Bird Dog Techniques

City dwellers may have unknowingly encountered bird dog marketing techniques. Signs with "We Buy Houses" and contact details target sellers looking to sell their property without involving traditional real estate processes. Bird dogs may also use auto-dialers, mailing circulars, and public databases like the multiple listing service (MLS) to find potential leads. They cross-reference information such as layoffs at nearby companies or dropping home values in tax assessments to identify motivated sellers or properties with potential. Casting a wide net is essential for bird dogs to generate enough leads to cover their efforts and costs.