what s the best way to learn the wholesale strategies. I need to put together some money through wholesaling.
I have Scott Rister’s course “Instant Cash Wholesaling Houses” which is good but you have to filter through ALLLL the fluff and wordy text. Everything you need is there to make money wholesaling houses (except good persuasion and negotiating techniques…he does throw you a couple though). I would also suggest another marketing book or course to get some leads.
You don’t need to buy a course to wholesale.
Look for investors in your area that buy assignable contracts.
Database each one by asking the following questions.
Can you pay cash?
How quickly can you close?
What is your target Loan To Value (LTV)%?
How many houses do you buy anually?
Whats the biggest re-hab you can do?
Get about 5 or more in your database then find houses in distress or a motivated seller
Find out the comparables for Fair Market Value on the house before going to see it.
Make sure the seller owes less than what your offering before you make your offer, almost guaranteeing you a signed contract if they are motivated enough.
Ask the seller what he needs to let this property go.
If your investors can pay cash and close in 5 days or less…
You say “I can pay cash and close in 5 days or less…would this work for you?”
If they agree at the price you offer, write up a contract with the buyer as “John Doe and/or assigns”
Attach a clause or an addendum to the contract with the following statement
“This offer is subject to said buyers investor partners right of approval within 14 days of execution of this contract”
Try to negotiate the lowest money down if possible don’t even mention a deposit.
Make your check if they MUST have a deposit out to a Title company that works with investors and can assign contracts (best to ask your wholesalers which title company they prefer first)
Then go to your database of investors and show them the information.
Make the investors fight over the contract.
If someone will pay you 3K for assigning it, and someone else will pay you 5K, who do you sell to? No-brainer there.
Once your investor comes in and wants the property, you will execute a release of rights contract found all over the web for assigning a contract for the negotiated assignment fee.
If you can’t find anyone to buy your contract, guess what?
Your “partner investor” didn’t approve.
Title company gives you your earnest money deposit back and you walk away free and clear.
Any questions??
ITS THAT EASY!!