In the world of real estate investing there are three different types of flipper investors: scout, dealer, and retailer. Let’s discuss what a scout investor is. A scout puts together information concerning prospective deals and sells the information to other real estate investors. The scouts can also be called a bird dog.

The advantages of starting out as a scout searching for bargain homes for other investors is it doesn’t take any of your own money or knowledge.

A scout will research properties for sale, find out all the necessary information, and then sell this valuable information to an investor for a fee. The fee charged is contingent on the sales price of the property and how much profit can be made. Scouts can anticipate making between $500 to $1000 every time they gather information that leads to the purchase of a property by another investor.

Scouts just beginning may be cautious of offering too much information to an investor, fearing they might steal the deal. But the reality is this doesn’t happen very often Since an investor knows that an unhappy scout will stop bringing potential deals to them.

If you’re a scout looking for properties in Orange County, check out these Fullerton homes for sale.