I'm a fairly new investor in Atlanta, truth is i haven't done a deal yet. I'm pretty cash poor right now but i have managed to get up some pretty goood marketing (bandit signs, mailings etc.) and i've had a pretty healty response ( to say the least). Truth is i just wanna wholesale some properties (65% LTV of course) but i need investors that will buy them QUICK and minimize my risk. I dont wanna lose my leads to someone else. Or any recommendations on how to find buyers would be gratly appreciated. Thanks in advance.
No i don’t have any nder contract BUT I’m prativer of fake it to you make it! Basically i’ve talked to most of them and i know i could have at least 6 under contract by this time next week. plus another 50 leads this month alone.
I hate to be even the slight bit negative but i gotta ask. Does wholesaling really work? it seems that everyone wants to start out wholesaling, i dont have a problem with competition ( i think it makes you better) but can i really look to make 10,000 dollars+ per month?
It’s great to be skeptical of anything that sounds too good to be true, but the short answer is, “Yes, wholesaling works. Yes, you can make a great income from it.”
Having said that, it’s not an easy business. At least, it’s not an easy business until you have a complete protocol in place, including a long list of investors who are ready to buy your properties.
Once you have the marketing machine tuned up, know how to pre-screen your leads so you’re not wasting time looking at houses you will never control, master the art of getting houses under contract, and then have a built-in list of buyers to take that contract off your hands, there’s no reason you can’t gross $10K per month. If you’re doing one deal a week and making only $2,500 from each one, you’ve made your number. As you buy properties “better” and prove that you’re bringing solid deals to the table, you might do better than that per property.
Now, your marketing costs will eat up some of that, but you can still make a good living at that rate. And of course, eventually you’ll take the next step in your career, either retailing the properties yourself or providing the hard-money financing to buy the houses you control (earning you another 20-30% per year on your capital in the process).
Have you ever successfully wholelsaled a house? If not, what roadblocks are you facing?
First of all, thanks for the response mercury, us newbies really appreciate any advice we can get. ;D
To answer your question, not yet. I haven;t wholesaled a property yet. The reason is…well i don’t like excuses (you can be at makein excuses or good at producin results but not good at them both, right) but if i had to give a reason I’d say?
Something between Paralysis of analysis, and as much as i hate to admit it, fear. I’m 21 and still in college so i dont have a lot of money. I dont want to get a contract signed and then have the deal fall through because i couldn’t perform my duty or i didn’t get an accurate ARV or repair estimate. Especially since i’m young, i dont wanna develop a bad rep. Havin said that I’m going to get my hands dirty ASAP, better to learn from mistakes than regret missed opportunities. I’ve been stuudy REI for close to 2 years and i KNOW I;ve got the basic concepts down i just gotta execute. I deserve to be succesful so whats stoppin me, nothin but myself. whats the worst that could happen?
The worst thing that could happen? Hmmm…I dunno. You get rich?
;D
I appreciate your candor in sharing that there’s a bit of analysis paralysis and fear here. It’s natural.
Lemme ask you this, though. Have you ever even talked to a property owner about selling a house? Are you working “pretty” houses or “ugly” houses?
If you have yet to even talk to a property owner, that should be your first step, even if you have no real intention of trying to control the property at this stage. Just getting out there and talking to some sellers will give you some momentum. Then, once you see how easy it is, you’ll take the next step and actually write up a deal or two. Then the fun begins!
It sounds like what you need is a good ol’ fashioned mentor. If you haven’t been to a GA REIA meeting, that might be a good place to start. Or, I bet you could post here–“MENTOR NEEDED”–and you might find somone willing to work with you and provide the encouragement that you need to get your first deal done.
Of course, there are “mentors” out there who charge a lot of money, and some of these are well worth it. But I don’t think you need to pay for this mentorship just yet. I bet you can find someone who will work with you and help you get that first deal done. As you said, “What’s the worst thing that can happen?”
I started out lookin at “pretty houses” i actully had a leas/option deal with a buyer ready to put 10 grand on the house but the seller fell through. I decided to focus on “ugly” houses right now, with the intention of wholesaling for some much needed cash. I’ve visited several houses and talked to several potential investors who would buy from me just haven’t pulled the trigger yet. Maybe i do need a mentor, thanks for the advice. Matter of fact I’m going to make a promise to myself. By the end of march i will have posted a succes story detailing my first succesful wholesale! I think thats enough time. Thanks again and good luck to everybody.
Hmmm…not sure I see the difference between asking for advice here or in person. I guess it opens up the door to many so-called professionals who want to sell their “training services.”
Without rules, this site beomes a free-for-all advertising foodfight. Go to www.landlord.com and look at all of the advertising junking up the discussion forums.
You can use the Networking Ads on this site for free…or you can send PMs to each other.
Hey ArcAngele,
I’ve been reading this post for a few days and did some calling around to some of the investors I work with and I’ve gotten 3 responses. E-mail me and I’ll give you the details. By the way, I was an investor noob once myself and I can tell you that you’re in the right business. You just need to build up a good network of people and that takes time, and don’t be afraid to seek professional help (lawyer) they have been invaluable to me. PM me about those properties though and hopfully I can be of some help.
;D Thanks everybody for your responses, i really didn’t expect to get so many :o. I see now that what they say is true “If you have a good deal someone will buy it”! I will be gettin in touch with everyone who has reached out to me soon. Just let me tie up a few loose ends (i.e. my failed partner) and i look forward to succeding myself while helping others. This little forum has been a great confidence booster and eliminator of fear, whoever invented this is a genius!
Hey i dont know if the moderator or the poster erased the last post. But i would appreicate if it was reposted. I didn’t get a chance to write down Shane’s number. I did get your web address though. C’mon moderators ease up
No, the moderators will not “ease up”. This is a discussion forum not a sales marketplace.
“Shane” can send you an e-mail or a PM with his contact information. His post broke several forum posting rules and was “zapped”. I have almost locked this thread several times but have just made a lot of modifications and deletions instead. I highly recommend that you take your commercial enterprises to the “Investors Networks Ads” or the “Real Estate Classifieds”.
:-X… ::)Well “Keith” thanks for NOT locking this forum. I learned some things and i think thats the purpose. Not sure about my “commercial enterprises” I thought it was “networking” ???. Doesn’t matter, thanks again to everybody, even the moderators keep up the good work. 8)
No Profanity or Name Calling - if you disagree, that’s fine, but do so in a professional manner.
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I draw your attention to numbers 3 and 4…'nuff said.
