Where are all the cash buyers hiding?

14 Replies

I am fairly new to real estate investing and would like to know YOUR methods on finding cash buyers. I have a few but want to have a growing list of buyers to contact when I have amazing deals. What are a couple quick ways to find multiple buyers in your area?

Finding cash buyers is easy...once you have a great deal to offer them...

I see you're in Arlington -- I'd be willing to bet that there are literally hundreds of investors looking for great deals in your area who are in a position to pay cash.  And they're as easy to find as posting on Craigslist, posting here on BiggerPockets or visiting your local REIAs and networking with other investors.

"I am fairly new to real estate investing."

Make sure you understand and calculate what a deal is in a cash investors eyes.

If you do not learn that first and send them junk or try to talk them into marginal deals they will not speak with you likely ever again.

It's very hard to find good deals. 

This post has been removed.

Don't be too hung up on getting cash buyers, either.  Investors with hard money loans should be just as attractive to you.  Most hard money lenders can close in 10 days or so.

Originally posted by @J Scott:

Finding cash buyers is easy...once you have a great deal to offer them...

I see you're in Arlington -- I'd be willing to bet that there are literally hundreds of investors looking for great deals in your area who are in a position to pay cash.  And they're as easy to find as posting on Craigslist, posting here on BiggerPockets or visiting your local REIAs and networking with other investors.

Thank you for the quick response. I will be attending my first REIA event tomorrow in Washington, D.C., this will give me a little more insight. My plan is to network with multiple investors, maybe find a mentor.

@Ashley Swift   Too funny since I keep saying "where are all the wholesalers" 

@Ashley Swift  

Very simple to find Cash Buyers, or buyers that can easily get hard money loans.  It is as simple is going to Meetup.com and look for investor groups.  I haven't looked in your area, but I bet there will be more than a few up there. 

Originally posted by @Marylyn B.:

@Ashley Swift   Too funny since I keep saying "where are all the wholesalers" 

 I AGREE!!!  @Marylyn B, I am not a Realtor, but I am seriously thinking about going to school, just for the fact of being able to get my hands on properties at a reasonable price.  I am also considering of starting a business in which distant investors can contact me on buys they want to make and not know if the property is worth the price they are paying or the condition of the property?   What I would do is to hire a home inspector to do the home inspection/termite, take plenty of pictures of the property, get estimates for repairs on the property, and go "Pro" here to get the property analysis report, on rather it is better to rent it or flip it.  Charge like $750 for it all.   Think of the advantages it would give me alone?  I do know of a broker I could work for at a reasonable price. 

Originally posted by @Joel Owens:

"I am fairly new to real estate investing."

Make sure you understand and calculate what a deal is in a cash investors eyes.

If you do not learn that first and send them junk or try to talk them into marginal deals they will not speak with you likely ever again.

It's very hard to find good deals. 

 Typically a buyer would want to buy a wholesale at less than 75% of the homes value, right? What are other aspects I could make appealing to a buyer?

Originally posted by @Doug McLeod:

Don't be too hung up on getting cash buyers, either.  Investors with hard money loans should be just as attractive to you.  Most hard money lenders can close in 10 days or so.

 I am currently researching the process of hard money lenders. Is that a step I should take before or after contacting other buyers? It is still a bit confusing to me. 

Originally posted by @Edward Briley:

@Ashley Swift 

Very simple to find Cash Buyers, or buyers that can easily get hard money loans.  It is as simple is going to Meetup.com and look for investor groups.  I haven't looked in your area, but I bet there will be more than a few up there. 

 Thank you for your response, I will definitely search for investor groups on meetup.com. 

@Ashley Swift  you wrote:

 Typically a buyer would want to buy a wholesale at less than 75% of the homes value, right? What are other aspects I could make appealing to a buyer?

Sorry, but not quite. To know if you have a deal you need to know its ARV (eventual selling price once fixed up) and the cost of the rehab. Both of these are difficult numbers to estimate. The rule of thumb is:

price to rehabber = (70% * ARV) - rehab

Hmm, seems like you need better search skills. Try reading the sticky topics at the top of the BP Wholesaling forum. 

Originally posted by @Jon Holdman:

@Ashley Swift you wrote:

 Typically a buyer would want to buy a wholesale at less than 75% of the homes value, right? What are other aspects I could make appealing to a buyer?

Sorry, but not quite. To know if you have a deal you need to know its ARV (eventual selling price once fixed up) and the cost of the rehab. Both of these are difficult numbers to estimate. The rule of thumb is:

price to rehabber = (70% * ARV) - rehab

But how do I find the cost of the home's potential value? Would a zestimate help or should I just hire a home inspector to give me a summary of the homes problems & check to see how much the home has sold for?

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