Real Estate Investor · Belton, MO · Member since 2011 · 15 posts · 0 votes
With me being new to the wholesaling side of investing, what are you buyers out there looking for so I can be efficient in supplying quality properties?
I know the numbers working is probably the biggest issue, but after that what are the keys you look for.
Thanks
Wayne
Hey Wayne,
Welcome to the business! Yes the numbers is the biggest thing but at what level? For example all of the buyers in my area will no by cash past $100k so if the numbers work but the property is $200k then it may be an amazing deal but I have know buyers. So learn the cash limit in your area. Another thing you have to realize is that investors have different interest some rent some rehab when get a property you have to analyst it and figure out your target buyer. Is it a great rental or rehab? Rehabers typically like less maintenance properties, close to turnkey condition. Rehabers like(well most I have experienced) like nothing but equity and went the flips complete they usually like to be at least at 85% value. As you grow you will learn you market mines is nothing but rentals. Very rare someone is flipping rehabs I am watching may season investors even getting stuck on rent to owns.
Like you said, the numbers are the MOST important part of a deal.
Every buyer is different, it is important that you learn what they're looking for in an investment and keep notes. When you find a buyer to add to your network, ask them what they are looking for and where they'd like to buy. Some buyers may like heavy rehabs in the north part of town, while others might like turnkey rentals on the south side.
I've found that my buyers really like that I handle the communication between all parties (seller, buyer, title). Buyers also like a small DD package when I offer my deals (comps, ARV, repairs, photos, tax info). Buyers love broom-swept properies after the seller vacates. It is also nice if the buyers can look at the property without the current tenants being there.
Yes, the due diligence package is huge! Too many wholesalers are just throwing spaghetti against the wall to see what sticks.
If you waste a buyers time, they'll be hesitant to look at your deals.
Don't pad numbers, buyers see through this
My buyers like pictures, the more the merrier
Just search 'wholesaler' on this site and read... then read some more. You'll get the idea. Buyers are looking for quality, not quantity.