Seasoned Investors Can Make a Huge Impact on New Investors Right Now
By: Loreal Loftus
With the economy shifting (interest rates, FHA changes, rising foreclosures, tighter credit), new investors are hungry for guidance. Here are ways you can help:
How a Seasoned Investor Can Help New Investors in a Changing Economy
- Share Real-World Experience
- Tell the truth about both your wins and mistakes.
- Show them how you adjusted during previous downturns.
- Teach “why deals work” — not just “how to do them.”
- Mentor & Partner
- Offer to co-wholesale or JV with new investors on their first few deals.
- Let them bring the lead, and you handle underwriting, structuring, or closing.
- Split profits fairly — they gain confidence while you expand deal flow.
- Teach Creative Strategies
- In today’s economy, subject-to, seller financing, wraps, lease-options, and novations are critical.
- Walk them through actual case studies so they see these deals in action.
- Help them understand how to underwrite conservatively (with buffers).
- Provide Accountability
- New investors struggle with consistency (calls, offers, follow-ups).
- Set up accountability check-ins (weekly calls or group sessions).
- Track activity: “How many offers this week?” — not just results.
- Plug Them into the Community
- Encourage them to join REIAs (like MnREIA) and networking groups.
- Introduce them to lenders, contractors, and title companies.
- Teach them that relationships often create more deals than marketing.
- Teach Market Awareness
- Show them how to spot opportunities in pre-foreclosures, FHA workouts, and distressed sellers.
- Teach them to avoid overleveraging or chasing thin deals.
- Emphasize cash flow, multiple exit strategies, and conservative underwriting.
- Lead by Example
- Let them shadow you on seller appointments or contractor walkthroughs.
- Share your screen when analyzing deals.
- Be open about your process so they see what “doing it right” looks like.
- Encourage Resilience
- Remind them frustration is part of the game.
- Help them focus on daily lead-gen activity (not the market headlines).
- Reinforce that downturns create the biggest wealth-building opportunities.
Bottom Line: You can guide new investors by mentoring, partnering, teaching creative strategies, and helping them stay accountable. Not only does it help them grow, but it also expands your deal flow and strengthens the investing community.