I have found many great properties.
Trying to wholesale has been tough.
I have meet with many, many buyers etc., but just can’t seem to get a deal to actually go through.
How long did your first wholesale deal take to land? What are the best tips?
what obstacles are you running into?
what part of wholesaling is tough for you. The finding buyers part, assigning part, talking to the seller part. Like myself, Im starting to birddog and wholesaling after. I not driving yet,so I have walk and find deals or look online.But if you really want to wholesale, you’ll get through it. Or find a mentor to walk you through a few deals. Good Luck :bigthumbup
If you are finding it tough to wholesale deals then you aren’t finding good enough deals. Assigning contracts to investor buyers should be the easiest part of a wholesale deal. A few years ago i could flip a house at 70% minus repairs to any investor in the city now its probably 50% minus repairs. The biggest obstacle for you is to ask your buyers what percentage are they looking to be when they are buying property so the next time you are negotiating you know where you need to be.
He is correct. If your buyers are good cash buyers your numbers are wrong
Well, I thought I was finding good deals and good investors, but it seems that they just are not buying at all.
It is like everyone went to freeze mode the last few months!
Stanfield,
It took me many years to finally get going in the business, and this is because I tried going about
it by myself. That’s all I knew to do…
But after I decided that I needed “Help”, I bought courses, got on forums like this and did what you
are doing now, asking for help, met with local investors, and just got out there, I closed my first
deal in less than 3 weeks.
There comes a point where things start to really come together and you get clarity on the exact
steps that you need to take, and you start closing deals…
So my best tips is to focus on what you want to focus on, which it looks like it’s wholesaling. So
do that. If you’re having trouble finding buyers, but you’re getting GOOD deals, focus on getting
buyers and get good at it! HTH
Buyers are out there! The market is not in “freeze mode”, it’s just that you’re not getting
the right buyers, you’re getting tire kickers. If you have good deals, buyers are out there.
What’s a good deal? It doesn’t have to be 60% or less, unless you’re selling to a rehabber,
but a good deal could be 85% to a retail buyer, or even 100% but on terms…
My point is that don’t generalize what the market wants… Locate the real buyers in your
area, and ask them what they want. Different people will want different things…
From my experience I have found that buyers don’t buy for only 2 reasons:
#1 The Prices are too high
#2 They don’t trust you
#2.5 Rarely happens, they don’t buy because they’ve already got too many homes. Maybe 5% of the time
You don’t know what your real problem is or where it’s hidden. You have to identify those problems and then you can seek for solution which is rather easy to get.
Struggle and struggle…as alwaysz
Marketing and sales. It is very competitive selling houses right now even if you have great deals. You must out market your competitors to get your phone to ring and study selling techniques to close deals. And if you want repeat customers you must deliver great deals. If you are forced to choose between making a few thousand dollars or defending your clients from bad deals you must choose the latter. You will make more money in the end because of your great reputation, increased volume, and you will be a better salesman because of your increased confidence due to supporting a noble cause. Remember, a wholesaler is providing a service for an Investor not the other way around.
One thing we started to do with our buyers is actually pre-qualify them. After a year of dealing with more than our fair share of tire kickers, we decided there had to be a better way.
You see, people like to be led. Therefore, it is smart to ask some basic questions when a buyer calls about one of your properties.
- Have you ever purchased a property before? (lets you know if they have any experience)
If not, explain why or why not this particular deal may be good for them. Does it need a large rehab that only a seasoned investor can handle? Or is it a turn key rental?
- Do you have access to cash, or do you need hard money lending, etc.? (this can quickly disqualify a lot of people who don’t even have the money to buy)
Let’s you know how quickly they can buy. Or do they plan on having their dad help them pay for the property? You can very quickly gauge a person’s savvy when asking this question. Help them get lending if they want it, but move on to someone who can by with cash now if you have another buyer.
- What do you plan on doing with this property?
Do they plan on renting it, retailing, rent-to-own? Find out their exit strategy and explain why or why not the property fits their needs.
Next, explain that you will meet them at the property if they fit the criteria and to bring along their contractors for their own estimates. Tell them you have a lot of other people looking at the property, and it is first come first serve. Explain the amount of deposit you expect if they decide to move forward. Only show one property at a time. People will not know what to buy if you are giving them 3 flavors. Hope these tips help!