Can other investors steal your deal?

Question

Disclosure: Please let me know if this topic is in the wrong forum.

The following information is on a hypothetical basis that can be applied to a real-life scenario.

Scenario:
1. A new investor appears, let's call him (Newbie) and decides to start on his/her journey to realize his dream of financial freedom.
2. Newbie spends days/weeks/months learning and finally finds a "deal" and decides to wholesale it.
3. Newbie has lots of questions before making an offer (aka. deal is not under contract), including repair costs, attorneys, funding etc.
4. Newbie decides to ask other investors for advice on the property.
5. Other investors request address/pictures/info on the property.
6. Newbie provides information.
7. Newbie finds out another investor(s) have made offers.
8. Newbie loses the deal.

Has this happened to anyone during their journey as an investor? If it has happened to you, I would love to know how you handled it and if there was anything you could've or would've done to prevent it from happening. This scenario also poses the question of the level of trust/info you can give to other investors before a deal is under contract.

I would love to hear your thoughts!

Thanks.

Aaron K. · Answer

Account Closed if you aren't confident enough to get something under contract without consulting outside investors then you aren't ready to be a wholesaler yet, you need to continue educating yourself. If you don't give people info on a property they can't make an informed decision, however most investors don't steal deals from wholesalers because they have a long term mindset, why ruin a relationship with someone who found a deal (which can be difficult) for one property when they could bring 5 more in the future.

Account Closed · Answer

@Bob Daniels Agreed! There is no need to share the exact location until the property is locked down.

On a "crazy" side note. Finding the details of a property through photos can easily be done by doing a reverse image search. This works on properties that are listed on websites such as Zillow, Realtor etc.

An easy counter (if this is an insecurity), is to take the photos of the property and its interiors yourself! These photos can not be tracked or linked to an existing listing.

Account Closed · Answer

@Aaron K. Thank you for your input! This is not a scenario based on my experience as I personally have friends and mentors who I could count on for advice and support. I was curious to see if investors have felt that way during their investing journey, especially if this said person had no connections or people he/she felt could rely on going in. I personally feel it definitely can be a mental block, and prevent newer investors from reaching out to other investors for their input and advice. This, in turn, could create a negative mentality and low confidence going into real estate investing.

"... most investors don't steal deals from wholesalers because they have a long term mindset, why ruin a relationship with someone who found a deal (which can be difficult) for one property when they could bring 5 more in the future."

I agree with what you said here! Building lasting relationships is beneficial in the long run, for business and friendship.

Bob Daniels · Answer

If all you are doing is asking other investors for advice, then they don't need to know the property address, and any photos you provide should have the mailbox address wiped out. All they need is general information about the property to give you the kind of advice you are seeking. If you willingly give the address out to other investors before you have the property under contract then it's still a free for all. Only once you have the property locked up under contract does any outside investor need to know the exact location.

Can other investors steal your deal?

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