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Hello All,
I am new to the REI world and have applied to be a franchisee for a house flipping company. The costs are not trivial, but they are less than you would pay for a nice used truck.
One of the main reasons I am considering this route is the leads that are provided. Without going into great detail, you are provided 50 motivated leads per month for 1/5th of the cost I have found from “retail” lead companies.
Another reason is I would like to hit the ground running. This franchise provides training and a CRM to get you generating revenue. The royalties are graduated, and the more deals you do, the more royalties fall. I don’t mind paying those fees if I can build a solid, long lasting business quickly.
I know I can piece together all these things by attending my local REI meetings and making connections there. My concern is the time it would take to grow these connections since I ain't getting any younger! I would love to hear from current franchise owners, be it HomeVestors, Red Barn, New Again Homes, Flip Cheap Homes, or any other flipping/wholesaling franchises out there. Thanks in advance!
Shane
@Shane Smith Not familiar with flipping franchises, but if you are needing marketing and lead gen this could be helpful. However if you need help with rehabs and contractors it doesn't sound like this would help you one bit. Usually most franchise models in other business environments have the whole package. From what you mentioned so far I don't see what they are doing other than giving you leads and CRM. That can be a tough part, but isn't close to half of the process. I'd ask for referrals, and reach out to some local folks and see what is working and not.
Best of luck!
Thanks for the response Chris! I forgot to mention they also provide coaching through your first 20 deals. I have joined a local REI group. They are a great bunch and have gave us solid advice. They have presented a couple of deals that, unfortunately, haven't worked out. We are going to keep plugging away though and appreciate the input!
@Shane Smith Hi, IM looking at a home flipping franchise too. The biggest reason is to learn without using my own capital. Has anyone done this?