| Investing in real estate can be very profitable if done | | | | meetings, at least once a month. These meetings are |
| correctly. However, it can be daunting for someone | | | | used to make key decisions for the group. The group |
| who knows little about real estate investment or has | | | | can elect officers such as president, vice president, |
| little capital to invest. Just as there are investment | | | | treasurer and secretary to preside over meetings |
| clubs for stocks there are also investment clubs for | | | | and manage the club. Additionally, you can form |
| those who want to invest in real estate. The purpose | | | | committees that perform special tasks such as |
| of a real estate investment club is to get a group | | | | scouting out potential property investments. Meetings |
| together who can pool their resources and | | | | can be held in person or as teleconference over the |
| knowledge to invest in real estate. | | | | internet if many members are not local. |
| The internet is a good place to research and learn | | | | Monthly correspondence in the form of a newsletter |
| about real estate investment clubs. Most clubs online | | | | can be sent out to members to keep them up to |
| ultimately want you to join and may not provide | | | | date on current events as well as when the next |
| enough information until after a commitment is made. | | | | meeting will take place. It's good to invite |
| While most of these are legitimate you should | | | | professionals such as real estate planners, realtors |
| research them before you make any type of | | | | and brokers, financial planners and tax specialists to |
| commitment. You can attend meetings for other | | | | speak at meetings to share their experiences and |
| clubs to get a feel on how they operate. It's helpful | | | | educate the group members. |
| to have some first hand knowledge about real estate | | | | Deciding how much money to invest can be tricky. It |
| investment clubs before opting to start your own. | | | | is often best to start out small and work your way |
| Be familiar with the relevant laws of your state | | | | up to larger investments. The more members you |
| before starting a real estate investment club. You | | | | have the less money each will need to invest. On the |
| and your group will need to know how real estate | | | | other hand, the more members you have the harder |
| transactions are handled so you won't lose money on | | | | it would be to come to unanimous decisions. When |
| your deals. It's always helpful to find at least one | | | | starting a real estate investment club, write up |
| member who understands these laws. In fact, | | | | bylaws that everyone agrees to. Be sure to include |
| members who have specialized knowledge such as | | | | how decisions will be made and what power the |
| accounting, law, finance and real estate can be | | | | president has, if any, to resolve disputes or override |
| beneficial for the group. | | | | decisions. |
| Many real estate investment clubs hold regular | | | | |