Wholesaling Real Estate as an Investment Strategy
Wholesaling Real Estate
Wholesaling real estate usually involves one investor providing a discounted property (usually 60% - 70% below market value) to another real estate investor who can pay cash for a quick close. This is not always true because “retail” buyers can also be the recipient of wholesale deals. What’s the difference? An investor is someone who purchases real estate solely for the purpose of making money. A “retail” buyer also wants a good deal, but mainly they purchase the property to live in it.
In most wholesale situations, the wholesaler doesn’t actually purchase the property. Instead they control it for a limited amount of time by putting it “under contract” with a seller, until they find a buyer. Wholesalers generally make no, or very few, improvements or repairs to the property because they do not technically own it. In essence, wholesalers get paid for finding and researching the deal, tying it up via a contract so no one else can buy it, then providing the buying opportunity to another person. A wholesaler may have a little money, a lot of money, or no money tied up in the deal—depending on their agreement or contract with the seller.
Wholesalers save buyers’ lots of time by doing the background research on a property. They provide prospective buyers with lots of information—comparable sales, after repair value (ARV) estimates, photos, information on rental rates, tax assessments, etc. A wholesaler needs to have enough detailed information that “proves” to a buyer that the deal is, well, a deal. Of course not every wholesale deal is worth its weight in gold, so buyers must use their own judgment, just as they would if they had found the deal to begin with. A wholesaler makes money by “marking up” the property. For example, he contracts directly with the seller to buy a house for $50,000 but the buyer he finds purchases it directly from the seller for $55,000. The wholesaler gets the $5,000 difference.
Wholesalers shouldn’t be confused with “bird dogging.” Although similar in purpose, “bird dogs” generally inform prospective buyers about a property after they do a little research. They do not tie up the property or have any agreement with the seller the way a wholesaler would. Bird dogs are then paid a smaller commission, perhaps $500 - $1,000, by the buyer for doing the legwork and alerting them to a potential deal. The bird dog’s job is then done. The buyer negotiates directly with the seller to purchase the property.
Wholesaling Real Estate Mentoring Program
Wholesaling Real Estate Course
We all know it is the craziest real estate market right now! So are you looking for a wholesale mentoring program before you go it alone? Try Charrissa Crawley's "How to Make Real Money as a Real Estate Wholesaler" series. Here's a small sample of what you'll learn step-by-step:
Funding Deals and Lining Up Contacts: Learn where to get the money to do your deals (you will have access to Charriss'a personal transactional lender!) and how to line up and contact your team of experts who will be on your side as you go through the process.
Building a Buyers List: You MUST have a buyers list to be a successful wholesaler and actually make money! You will learn how to build a list 10 times faster than you ever thought possible. Charrissa has the process perfected, and now YOU can get the benefit of her time in the trenches!
Market Research / Where to Invest and Locate Deals: Learn how to select a market to start doing deals in. Most gurus out there won't share this information about how to determine the "right" market you are going to do business in, but this factor is a major key to your wholesaling real estate success.
Specifics of Wholesaling REOs versus Wholesaling Real Estate Deals from Motivated Sellers: Learn the difference between wholesaling REOs (real estate owned bank properties) vs. properties you put under contract with private or motivated sellers. Most wholesalers out there do not really and truly know how to wholesale REOs. They lump it all together like there is only one way to do a deal. There are several subtle differences in the way the REO wholesaling process is completed, and you will learn all of them. With this knowledge alone, you will be way ahead of 99% of your competition and on your way to REO wholesaling success!
Contract and Fors / Offers / Assigning Deals and Closings: You will not only get access to a member's area with all of the sample forms you need to wholesale deals, but you will also get access to a sample copy of all of these forms FILLED OUT, so you will know what the paperwork should look like and you can then fill the forms out with confidence. No worries on one of the scariest aspects of the wholesaling real estate business!
Wholesale Wrap-up / Case Studies / FAQ and Review: The last session will be for review and where you will go through it step-by-step and make sure you have answers to any questions or aspects of the business that you might not yet be 100% clearn about.
Click now if this sounds like the wholesaling real estate mentoring program for you!
Funding Deals and Lining Up Contacts: Learn where to get the money to do your deals (you will have access to Charriss'a personal transactional lender!) and how to line up and contact your team of experts who will be on your side as you go through the process.
Building a Buyers List: You MUST have a buyers list to be a successful wholesaler and actually make money! You will learn how to build a list 10 times faster than you ever thought possible. Charrissa has the process perfected, and now YOU can get the benefit of her time in the trenches!
Market Research / Where to Invest and Locate Deals: Learn how to select a market to start doing deals in. Most gurus out there won't share this information about how to determine the "right" market you are going to do business in, but this factor is a major key to your wholesaling real estate success.
Specifics of Wholesaling REOs versus Wholesaling Real Estate Deals from Motivated Sellers: Learn the difference between wholesaling REOs (real estate owned bank properties) vs. properties you put under contract with private or motivated sellers. Most wholesalers out there do not really and truly know how to wholesale REOs. They lump it all together like there is only one way to do a deal. There are several subtle differences in the way the REO wholesaling process is completed, and you will learn all of them. With this knowledge alone, you will be way ahead of 99% of your competition and on your way to REO wholesaling success!
Contract and Fors / Offers / Assigning Deals and Closings: You will not only get access to a member's area with all of the sample forms you need to wholesale deals, but you will also get access to a sample copy of all of these forms FILLED OUT, so you will know what the paperwork should look like and you can then fill the forms out with confidence. No worries on one of the scariest aspects of the wholesaling real estate business!
Wholesale Wrap-up / Case Studies / FAQ and Review: The last session will be for review and where you will go through it step-by-step and make sure you have answers to any questions or aspects of the business that you might not yet be 100% clearn about.
Click now if this sounds like the wholesaling real estate mentoring program for you!
A Quit Claim Deed
Carries No Guarantees
A quit claim deed is a legal document that helps to transfer your interest in the property to another individual. The person giving away the interest is the grantor. The person who accepts it is the grantee. The deed implies that the grantor simply transfers his interest but does not guarantee whether the grantor actually has ownership rights on the property. And, the deed does not guarantee that the property is free of debt or liens either. Since a quit claim deed offers no guarantees, extra due diligence by the investor is definitely needed. In most states, only the grantor and not the grantee sign the quit claim deed form. But there are some states which do require the grantee to sign as well. After the grantor signs the deed, a notary public should sign and stamp it so the deed is considered valid.
How Do You Find Wholesale Priced Real Estate?
wholesaling real estate
As an investor interested in wholesaling real estate, you are looking primarily for two resources to make this business run continually, and they are: 1. Motivated sellers and 2. Investor/ Buyers. One without the other makes it impossible to wholesale real estate, PERIOD! So how do we find the wholesale priced properties?
First, find the MOTIVATED SELLERS. It's really just that easy, find motivated sellers and you have found all of the deeply discounted real estate you will ever need. Motivated sellers are a unique breed of seller of real estate because they HAVE TO SELL their property FAST! There are a lot of different reasons that a seller is motivated to sell such as:
* Divorce * Foreclosure * Illness * Inherited an unwanted Estate Property (Probate deal)
* Loss of Job * Sudden Job Transfer * and MORE
You are really just looking for motivated sellers and NOT the real estate itself! If seller is NOT motivated to sell at a deep discount, there is no way that you are going to talk that individual into selling their property at a 40% to 60% of it's current fair market value! NO WAY AT ALL and wholesalers need to be buying at these values to make a TRUE wholesaling real estate deal work!
There are many different ways to locate MOTIVATED SELLERS, and most of the methods of attracting motivated sellers revolves around the each wholesalers marketing strategies and the many different types of advertising campaigns that are implemented and run simultaneously, such as:
* Direct mailing postcard campaigns * Internet Network Marketing * Classified Advertising
* Bandit Sign Campaigns * Internet-based classified advertising
* Billboards (advanced marketing technique) * TV (advanced marketing technique)
* Radio (advanced marketing technique)
There are a lot of different ways to make your phone ring with motivated sellers. The pros know that you do not chase motivated sellers around, you make them come to you and beat on your door. But one thing is for sure, if they don't know that you want to buy their property, they will never call you! So there is no real magic for attracting motivated sellers other than good old fashioned marketing and advertising. Many wholesalers do nothing more than send postcards and place bandit signs and they do 2-4 deals every single month of the year. Find the MOTIVATED SELLERS, and you have found the wholesale priced properties that you need to be SUPER SUCCESSFUL at wholesaling real estate!
First, find the MOTIVATED SELLERS. It's really just that easy, find motivated sellers and you have found all of the deeply discounted real estate you will ever need. Motivated sellers are a unique breed of seller of real estate because they HAVE TO SELL their property FAST! There are a lot of different reasons that a seller is motivated to sell such as:
* Divorce * Foreclosure * Illness * Inherited an unwanted Estate Property (Probate deal)
* Loss of Job * Sudden Job Transfer * and MORE
You are really just looking for motivated sellers and NOT the real estate itself! If seller is NOT motivated to sell at a deep discount, there is no way that you are going to talk that individual into selling their property at a 40% to 60% of it's current fair market value! NO WAY AT ALL and wholesalers need to be buying at these values to make a TRUE wholesaling real estate deal work!
There are many different ways to locate MOTIVATED SELLERS, and most of the methods of attracting motivated sellers revolves around the each wholesalers marketing strategies and the many different types of advertising campaigns that are implemented and run simultaneously, such as:
* Direct mailing postcard campaigns * Internet Network Marketing * Classified Advertising
* Bandit Sign Campaigns * Internet-based classified advertising
* Billboards (advanced marketing technique) * TV (advanced marketing technique)
* Radio (advanced marketing technique)
There are a lot of different ways to make your phone ring with motivated sellers. The pros know that you do not chase motivated sellers around, you make them come to you and beat on your door. But one thing is for sure, if they don't know that you want to buy their property, they will never call you! So there is no real magic for attracting motivated sellers other than good old fashioned marketing and advertising. Many wholesalers do nothing more than send postcards and place bandit signs and they do 2-4 deals every single month of the year. Find the MOTIVATED SELLERS, and you have found the wholesale priced properties that you need to be SUPER SUCCESSFUL at wholesaling real estate!
Wholesaling Real Estate Home Study Course
Wholesaling Real Estate Course
Freedom to focus solely on wholesaling real estate comes with a price. As an entrepreneur you will have the freedom to work in any manner you choose. You will have the liberty to do what you want, when you want to do it. Nobody is going to tell you what to do on a daily basis or micromanage your every move. No boss, no timed lunch break, and no Saturdays if you choose not to work on Saturdays. It can be an exhilarating feeling for a lot of people, however it does come with a heavy price. You will most likely be trading-in a steady pay check for an unpredictable one. Likewise, you will no longer have anyone to bail you out should things not go as planned.
Complete control always comes with a price, and that price might be a lot of your time spent trying to figure things out. Well at least you will have Saturdays off right? Well, don’t count on it for the first year or two at least. In fact, you may even have to rename Sunday to Workday. If you only implement a few key elements from this course it will still make you some extra money this year, however this was not my intention for writing the course. The course was created to show you how to build a wholesaling business which will help you achieve your long term financial goals. I am a builder of businesses and this is what I enjoy to do more than anything else in the world. I want this to be your primary goal because anything else is an underachievement and there is nothing worse than an underachiever. Get more info here on the Wholesaling Real Estate for Quick Cash Home Study Course
Complete control always comes with a price, and that price might be a lot of your time spent trying to figure things out. Well at least you will have Saturdays off right? Well, don’t count on it for the first year or two at least. In fact, you may even have to rename Sunday to Workday. If you only implement a few key elements from this course it will still make you some extra money this year, however this was not my intention for writing the course. The course was created to show you how to build a wholesaling business which will help you achieve your long term financial goals. I am a builder of businesses and this is what I enjoy to do more than anything else in the world. I want this to be your primary goal because anything else is an underachievement and there is nothing worse than an underachiever. Get more info here on the Wholesaling Real Estate for Quick Cash Home Study Course