new to rei but have my first lead

hello I am very new to rei. I have already purchased a course but it hasn’t arrived yet. I have a lead on a property that needs paint windows and carpet. As far as I know seller has just begun looking into selling. Without any course to help me how should I approach seller and what info should I ask for. I have a investor that can close quickly( I spoke to him once only).
Should I contact seller directly and then do my due diligence.
Or should I just hand the lead over. would that be a good way to get in good with investor.
Any advice would be greatly appreciated. I’m going for it all!
Thank You.

WHAT SHOULD YOU DO?? It depends on your financial position and your credit scores. Have ever gotten pre-approved for a mortgage? Do you want to purchase the property and rehab, or sell to an investor for a fee. The ability to make money in this industry is knowing (the day you buy) what you can sell for. You make your money when you BUY.


You don’t haved to worry about getting a loan or purchasing the property as suggested in the above post…

This is what you do. You approach the seller and use the following acrononym:

-W- hat is the propery the worth?
-O- How much do you owe?
-W- How much do you want?

You can then take it from there… Ask him the famous line:
“If I could pay cash and close quickly, what would be the lowest you would take”?

If you can get a the seller to let you buy it at a low price, then you may be able to ‘wholesale’ it to another investor…

-Get your purchase contract signed
-Open escrow as an ‘assignment’
-Find your ‘wholesale’ buyer, collect your fee and ‘assign’ your escrow to him or her.
-Contact escrow and let them know you are ‘assigning’ the escrow.
-Contact the seller and tell them you are going to be closing in your partners name. Which theoretically you are, you are getting paid on the front end and your ‘wholesale buyer’ is getting paid on the back end.
-Go to the bank and cash your check!

I would recommend you purchase Steve Cook’s course on this site on ‘wholesaling’. It will explain more in depth on how you can wholesale with no money, no credit and no lenders! This is the fastest and best way to get started in this business. Once you establish some cash-flow, you can start ‘retailing’ properties to end-users.

Happy Investing!

Jeff Adam

Hey Jeff

That’s the simplest most clear cut answer I think I’ve ever read! :rotate: :elephant: :dance:

So here are my questions:

Does it matter who you flip this to? I keep running into rehabbers, not that thats a problem, just wondering

Should you have your escrow people lined up first? Or can you use your partners escrow people? How do you even open escrow? :-[

All of this is done over the phone is that right? Well aside from the signing of course

I think thats it for now…thanx :slight_smile:

You can flip this to whoever you like. Sometimes I will paint the outside only, clean up the yard and sell it to an end-user. This is what I refer to as “Wholetaling”. Meaning, the price is between a ‘retail’ price and a ‘wholesale’ price. You should look on the internet, do search for “We Buy Houses” on Google and you will see a whole bunch of serious real-estate investors. Call some up in your area. You can ‘wholesale’ your deals to them.

In terms of what escrow to use. You should use your own so you have control. You should also try to negotiate a discount with them for volume, like $400.00 - $450.00 per deal. And yes, you can do this over the phone.

Best Riches,
Jeff Adam