​​What can you do if you need capital to step up your real estate investing? While there are various methods to obtain funding to invest in real estate, you have the option of turning to angel investors. Angel investors are high-net individuals who use their own money for investment purposes.

What Are Real Estate Angel Investors?

Angel investors are private individuals who use their own money for investments. They do not come from the financial sector – they get involved in businesses because of common interest and passion for investing.

If there’s a lot of confidence in the project, an angel investor may be willing to provide all funding. Some investors will band together into groups (called “angel groups”) to invest in larger projects.

When you’re looking for an investment opportunity, a new real estate angel typically wants to see your own money in the purchase. Even if your financial risk is small, this demonstrates that you’re motivated to make things work.

How to Find an Angel Investor

It can be a challenge to find an angel investor for your project. The first step is to identify people interested in your venture; you can do this by networking and asking for introductions.

Many angel investors have created websites and crowdfunding campaigns in the hopes of finding a great business idea. You can research these individuals online to find out if you might interest them in your project.

It is also possible to obtain angel investors through venture capital firms. Venture capitalists can provide funding for larger projects and work with experienced real estate developers or businesses that have been around for years.

How to Increase Your Chances of Investor Success

To find someone interested in investing, take these steps:

  1. Find and present a high-value opportunity.
  2. Research all information related to the opportunity.
  3. Create a strong presentation for the investor.
  4. Prepare and practice your pitch.
  5. Keep the deal fair and keep pitching to potential investors.

If you stick to it, you will eventually find an angel investor who is interested in helping you bring your real estate dream to life.