Find, Screen and Select Your Joint Venture Partners

by Dave Peniuk

This week a woman other than my wife, Mom or sister told me she loved me.
 
I had just called our partner to let her know that everything is lining up nicely for our tenants to buy the home that my partner and I own. I told her that when they do that she will have earned about 18% on her investment in 13 months.
 
She exclaimed "Dave, I love you!" And when I asked her if she had any plans for the money she quickly said, "Let's do it again."
 
She's obviously happy with the results and with the partnership. And that is because she chose her partners carefully. In her case, she focused on the people she was investing with not the deal. She didn't do much due diligence on either of the deals she has done with us (and we doubt she'll do much on the next one we're doing together either), but she did do her due diligence on us. She told us right from the start that she was giving us her money because she trusted us, felt confident in our expertise and liked our rent to own program. And for her, a return was important, but it was just as important that she not have to do anything at all to earn that return. She wasn't interested in throwing her money into a mutual fund and hoping for the best but she's a busy business owner and triathlete and she doesn't want to worry about her investments (nor about tenants and toilets!).
 
And, honestly, the most important thing you can do is find good, experienced and trustworthy people to invest with. I, personally, suggest that you check into every deal you're investing in as well, but at the end of the day it's the people you have to trust and believe in because they are the ones that will make the decisions that will either make or break the investment.

Where to Find Joint Venture Partners

These days the easiest way to find prospective joint venture partners is to do a search online. Most of the folks running an investment business like we do have a website or blog dedicated to explaining the types of deals they do and providing some sort of education and information. You could do a search for real estate investment opportunities and your area to find someone local.
 
But, personally, I think the best way to find someone to invest with is to drop into a couple of your local real estate investing club meetings and ask your friends and family if they know of anybody successfully investing in real estate.

Once you find a few different people meet with each of them. You're investing as much in the person as you are in a specific deal so you want to make sure the person you're investing your money with checks out.

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