Im not making 50k a month yet but Im doing OK. If I were in your shoes I would diversify my strategies a bit, I am doing a decent amount of flips (Ive closed 7 in 2007 for around 130k), I am not doing alot of wholesaling because I have found that my profits are much larger if I rehab myself.
I dont pick up a hammer, but I do have 6 full time guys working on my rehabs, and once you get your systems down decent you can accomplish alot in a very small amount of time 5-7 hours a week. Depending on the amount of deals available in your market adding a few flips might not be a bad way to go. Our market in Michigan is one of the worst in the nation and I am still doing decent. If your avg wholesale commission is 7 k then you need to do 7 deals a month, which is very feasable if your market will bear it. But you only need to do 2-3 flips a month to surpass 50k. It would have been next to impossible in our market to make that flipping when things were “good” because the competition drives price up.
Also instead of hiring an an assistant or partner you could hire people to do EVERYTHING that you dont enjoy doing, so that you can focus solely on real estate investing. This strategy has worked phenomenal for me. I only do what I am good at finding deals, finding buyers and selliing. Nowdays I dont do anything that I dont want to, I can pay people to do everything.
As far as doubling your marketing, i am guessing that the law of diminishing returns will kick in eventually, I have never sent out a postcard, or anything for that matter. I have people call me with deals solely from networking. So if your doing so well with mail, and I am doing OK with networking, then if you combined the 2 I bet you would do awesome. (though I’d say your doing great)
As far as wholesaling being a job, I would agree that it is a job if you dont love what your doing. Anything that you have to do, that you dont enjoy is a job. Life and marriage can be a job if you dont enjoy it even though they may not pay. I have tried to make wholesaling and selling real estate more enjoyable by getting fun things to drive, I know it sounds lame but you spend alot of time in the car as an investor or realtor. I bought a convertible vette, and harley for the summer, and a lexus for the winter beater. There has never been a single summer day driving around with my top down, doing what I love, that I have said “I hope I dont have to do this again tommorow” .
Theres a saying “You are EXACTLY where you want to be”. Many would deny that they would want to be poor, overweight, broke or unemployed, but guess who got them there, yep that person in the mirror. Your circumstances don’t define you, but they do show exactly who you have chosen to be.
I think what Roger was refering to was a business, a good business should be duplicateable and function with or without you. It would be difficult to wholesale homes without participating but there are ways to make it very easy. Focus on a strong buyers list, once your good buyers list is in place you essentially become a property match maker. Build a huge networks of contacts that know that your the “Go To” guy for buying real estate or at least you know people who can buy.
Because of networking I dont need to send mailers, or even many offers. Realtors and investors call me when they see a good deal coming. I can either buy them myself for rehab, or wholesale, or sell them to other investors as an agent.
I would like to ad more but the babies waking up.