I usually start with HomeGain.com, where I can select the area where I want to invest and enter what I’m looking for (for example, I insist that an agent I work with have their own investment properties and some experience managing properties so I know they have an idea of what makes a good rental property).

I do investor flips as one of the potential exit strategies of holding property - though I much prefer to simply landlord.

You simply have the seller sign an option agreement.

Do I simply need more capital to tie up such a building?

I've kind of been turned off from foreclosure/auction/sherrif sales due to the long process and the inability to inspect the property etc.Besides getting the "balls" to actually approach people in preforeclosure situations, the main thing holding me back is financing, I simply do not have the money for a downpayment.My plan was to buy properties, hold on to and rent them until the market turns, and then eventually sell, but that may not be the best option at this point.Reading this forum the last few days I've been hearing some new terms:bird dogging - http://www.biggerpockets.com/articles/bird-dogging101rb.htmlwholesaling - http://www.biggerpockets.com/articles/wholesaling-properties-lg.htmlTo be honest, I'm not 100% sure what the main difference is.

Just make sure when you enter a sales agreement with the seller that the contract IS assignable.

We know this by simply asking home owners and seeing what it is listed at.

One thing to remember is that once you are licensed you must disclose that before any deal you enter into, so be careful and know what disclosures and rules are out there for Realtors!

Often, all you're doing is duplicating the work by entering things into a computer that don't need to be in there.

To start without expending the effort to learn these principles or to start without applying these principles is simply foolish.