Hello All, do any of you have any experiences you would want to share about working with New Western Acquisitions and NetWorth Realty?
I am new to the area and still getting settled but seeing quite a few postings from the agents that work for these companies. They seem to move fast and require on all deals a non-refundable 5-10% deposit.
@Russell Ali Both New Western and NetWorth and large legitimate wholesalers. The even operate here in the Dallas/Ft. Worth area too. I have purchased from both of them over the years. It is common to put $5K-$6K non-refundable down payment in order to secure their deals. But buyer be warned. With both companies their estimates for rehabbing a property is grossly underestimated. So I recommend you do your own due diligence and walk the properties before handing over that non-refundable deposit.
thank you Joe, getting into a new area I am starting to review and price out their deals while looking for vendors. I usually will knock doors myself and look through craigslist's but in Nashville area them seem to have many of the units. Thanks for your input.
Many of Networth's deals come straight from the MLS. They often put them under contract less than list price and their sale price will be the same or less than the MLS list price. Other times it will be more. In my experience they set the ARV based on a high end renovation but their rehab budget is based on a low end rental reno. I'm not saying they don't have deals but like Joe said, do you own due diligence for sure.
In my opinion, both companies cater to rehabbers who are willing to work on very slim margins. I'm not saying you will never find a deal from one of them but if it truly is a deal then there will end up being a bidding war and it will no longer be a great deal. This is based on my experience. Other's may have had a different experience.
I have not had the best experience here in Nashville with either, it seems a lot of their listings are coming from the MLS and they are double closing on the properties. The inventory is extremely scarce here, and independent wholesalers with less overhead might get you closer to your target. Your mileage may vary, and of course a valid deal that fits your investment strategy can be found in many different places, including these chain wholesale groups.
Reach out, let's connect. I'd be happy to share my list of independent wholesalers, and also forward any properties I come across after getting a better idea of what you are looking for.
Both Tim and Joe NAILED it as PC as they possibly could and 100% accurate! :)
I'll add that you'll be far better off getting on a lot of other wholesalers list and build solid relationships with them vs New Western or Net Worth. Especially for someone new, you won't be as pressured last second as they like to do and you'll make far less mistakes if you don't buy from either of these.
I have been on NWA list for about 5 years. I have seen 2 deals where the numbers were okay. Not good, just okay.