Wholesaling

I am looking for some guidance regarding a marketing campaign to find good wholesale deals. We usually buy and rehab but lately becoming more interested in quick flips. Thanks in advance for any info you can provide.

Jon Holdman

Real Estate Investor · Wheat Ridge, Colorado

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Jul 12 '10, 07:38 AM

Investor Marketing forum

Wholesaling forum

You'll find a number of good strategies in those forums.

Jon Holdman, Flying Phoenix LLC

Patrick Karbon

Residential Real Estate Agent · Southfield, Michigan

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Jul 13 '10, 04:13 AM

Hi Brendan,

What area are you looking to flip in? Market's range across the country of different prices so the strategies may differ but the bottom line is you need to find motivated sellers who can sell for what your willing to pay (and keep enough room for your profit!!) I work out of Metro Detroit and have had HUGE success with Bandit Signs, Direct Letters and contacting landlords from Sunday Rental Ads. Flyering target neighborhoods is also usefull as long as you include something like "if you or anyone you may know is looking to sell"

Hope this helps and good luck!

Patrick Karbon

Eli Rozansky

Private Money Lender · Denver, Colorado

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Jul 13 '10, 06:40 AM

Brendan,

I don't have a good marketing campaign for you, but I would recommend looking into transactional funding for your wholesaling business. It loans 100% of the loan to cost and has minimal fees. It could be a good source of financing for you.

Ryan Wilkinson

Real Estate Investor · Southfield, Michigan

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Aug 09 '10, 01:57 AM

Your market is going to determine the best ways to prospect but here are a few ideas.
1. build relationships with REO agents in your area. A good agent who knows what you want and can get you properties straight from the bank can be a huge advantage.
2. cultivate private sellers. There is still an information gap ,usually, with private sellers so you can still buy low enough to create a spread for you to wholesale. Check out the marketing forum for ideas on how to market these people.
If you are going to wholesale you have to get properties at the source. I haven't found any sustainability buying from other wholesalers because they are extracting much of your potential profits when you buy. Not to say you can't find deals that way but its tough to consistently find good deals when you aren't the first one in the chain of sales.

Account Closed

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Aug 17 '10, 01:37 AM

If you're interested in wholesaling short sales what you can do is gain access to a lis pendens site in your area. This site will give you access to properties in your area whose owners are behind on their mortgage. Filing a lis pendens is the first step in the foreclosure process. Using this site you can browse which homes in your area whose owners are behind on their mortgage and fit your investment criteria. One can also gain this information for free by going to the county's clerk's office.

You can then approach the homeowner and offer to save them from foreclosure by doing a short sale. Once you gain their approval you can the start the process of negotiating the short with the bank. Once the bank approves a sale price you can then flip it to an end buyer using transactional funding and a double closing. Some transactional funding companies even offer down payment assistance for the end buyer.

I prefer this strategy because it takes less time and capital to wholesale. Also, the house is less likely to need much repair work done. If the house does need repair work that can be an added benefit to you the investor because that will bring the BPO down.