New Western
humble, TX · Member since 2016 · 54 posts · 7 votes
Hello everyone I'm new to Bp and I was wondering if anyone has ever used New Western?They help investors buy homes. Homes that once rehabbed will make both the investor and New Western money. Any thoughts?
This company sponsored one of Elizabeth Q's Dealblender meetups recently. I had a call with one of the guys that was present and he proceeded to "interview me" to decide if I qualified to receive a look at their deals. I told the person I spoke with that we're very busy and didn't wish to be one more name on a giant list of newbies that would overpay for deals. They also didn't seem to know how to source deal flow for developers and thus I passed on the opportunity.
In general most of the people like this sponsor meetings with newer folks because they generally don't know what they're doing and tend to overpay for assets. Net Worth Realty has a very similar business model in Austin. It's fine for some people I guess if you're not able to generate deal flow of your own or are fine with smaller margins.
In general trying to source fix and flip deals in Austin right now is a poor business model IMO. I'm sure there are projects to be found, but developing stuff from the ground up is a much better margin model, but it presumably does take more time and experience to execute on.
Or how about funding for flipping?
Full disclosure: I work for New Western.
We find properties that we know investors will buy, get them under contract, and wholesale them to our list of investors. They could be landlord/rental properties or they could be fix and flip properties. Typically the properties will need some amount of remodel or updating either way.
Trey Watson they don't have to be flips? What do you guy's make off the deal?
Your description of New Wesren is a bit off. They are not turn key providers, they are wholesalers.
They so far have shown me properties that need rehab and some are better suited for flips while some are better for buy & hold. Due to timing I have not purchased from them yet but they have shown me some good deals.
@Trey Watson I have an appointment for Thursday to talk with New Western. Looking forward to working with you guys. I am in N. CA but am looking at Austin right now.
@Erick Burgos Nice! So you are meeting with an agent in Austin or California?
@Trey Watson an agent in Austin. I wont be in town but getting set up to do it over the phone.
This company sponsored one of Elizabeth Q's Dealblender meetups recently. I had a call with one of the guys that was present and he proceeded to "interview me" to decide if I qualified to receive a look at their deals. I told the person I spoke with that we're very busy and didn't wish to be one more name on a giant list of newbies that would overpay for deals. They also didn't seem to know how to source deal flow for developers and thus I passed on the opportunity.
In general most of the people like this sponsor meetings with newer folks because they generally don't know what they're doing and tend to overpay for assets. Net Worth Realty has a very similar business model in Austin. It's fine for some people I guess if you're not able to generate deal flow of your own or are fine with smaller margins.
In general trying to source fix and flip deals in Austin right now is a poor business model IMO. I'm sure there are projects to be found, but developing stuff from the ground up is a much better margin model, but it presumably does take more time and experience to execute on.
@Erick Burgos I hope it goes well, they have a strong team out there.
@Bryan Hancock Fortunately or unfortunately, our primary focus is not new development. We spend most of our time buying single family properties in need of rehab.
While we do welcome new investors, a very large portion of our business is done with repeat and experienced investors.
One of the great things about New Western is that we don't just throw random email addresses on a list and blast out properties. The 'interview' you mentioned (I call it a meeting) is designed to disclose everything about our process/costs to you so that there are no problems/questions down the road. Yes, we also want to find out who you are and what your intentions are. Every agent does it their own way, but I often ask for a proof of funds at the meeting. This weeds out the people who will waste our time. Once they provide this, I put them on my list.
Real estate agents do this when taking on a new buyer, so what makes us any different?
Thanks for the information guy's. Will definitely take a look into it.
Eric how did the meeting go with new western?
Eric how did the meeting go with new western?
Hey Ryan! i know this is an old post, however, were you able to pull the trigger on a home by new western? I got in contact with one of their sales rep and i am curious if it is worth it.
I have bought my first house through New Western Acquisitions.
From what I have seen you won't get any homerun deal with them but I think it was a great starter deal.
Remember you won't get rich at your first deal you get rich because of your first deal.
I just bought a home in North Dallas from New Western. For my wife and I, it was a great experience. New Western is a wholesaler, so know the terms and expectations beforehand. You are responsible for the costs; they deliver you a house 'as is'. I looked at previous reviews on New Western and any bad reviews looked to be from individuals wanting to hold New Western responsible for areas that the individual should be responsible.
Jack Fanning was excellent and I highly recommend him. He was clear on the process and helped through the process. I look forward to working with Jack in the future.
Hi Nick,
Did you end up buying a property through New Western?
They're legit and are the largest wholesalers of RE in the US. They almost never have good deals
Hi Nick,
Did you end up buying a property through New Western?
They're legit and are the largest wholesalers of RE in the US. They almost never have good deals
I only follow them in AZ (and most of their properties are in Phoenix). I would agree with this, but it's difficult to say because deals in Phoenix are in extremely short supply, and thus I don't think it's common for anyone here to have good deals. In the two months I've been following their deals, I can't tell if the issue is them or this specific market.
They're legit and are the largest wholesalers of RE in the US. They almost never have good deals
I only follow them in AZ (and most of their properties are in Phoenix). I would agree with this, but it's difficult to say because deals in Phoenix are in extremely short supply, and thus I don't think it's common for anyone here to have good deals. In the two months I've been following their deals, I can't tell if the issue is them or this specific market.
It's specific to the market right now. At least in the normal fix/flip game, not high end deals, getting something at 85% of ARV minus repairs or below is pretty difficult right now. It can happen, it's just difficult
One thing I would say with regards to list price or what you see on zillow vs asking price from wholesalers, if you see something 50k over it's probably because the house was listed low and they went over list to get it. I do this all the time, a lot of deals I buy are over list. That's just the Phoenix market right now
They're legit and are the largest wholesalers of RE in the US. They almost never have good deals
You need to check out the CO office then!
I’m in sc upstate area. For the past two month I’m receiving their deals. It seems that they are targeting mostly flippers, and less buy & hold investors. The comps isn’t exact matches.. and when they post property as “sold” it’s only means is under contract, which I found few times didn’t really got sold. Also, all their properties are on-market. Maybe it’s because they are a new office in that area… they still learning the market. Other then that they are very nice, and communicate in a weekly basis. Also has a lot of competition, so you need to be quick with their deals.
I’m in sc upstate area. For the past two month I’m receiving their deals. It seems that they are targeting mostly flippers, and less buy & hold investors. The comps isn’t exact matches.. and when they post property as “sold” it’s only means is under contract, which I found few times didn’t really got sold. Also, all their properties are on-market. Maybe it’s because they are a new office in that area… they still learning the market. Other then that they are very nice, and communicate in a weekly basis. Also has a lot of competition, so you need to be quick with their deals.
Hey Bar! I am an agent with NW in NC, curious to know which office you are connected with. Thank you for sharing your experience with us, I appreciate you taking the time to do so! Glad I came across this post.
I will say, with what you are saying regarding the properties they are acquiring, it sounds more like a specific market issue. A lot of deals we are putting out are Rentals with solid comps in the areas. Flips are of course extremely common, and very popular. As a business model- you would want to focus manpower presenting the deals that you know are selling. Maybe Rentals/Land/New Builds aren't super common in that area, or no investors have been identified for a lot of the projects leaving them to lean on ole' reliable- their flippers. It's also sometimes the case that local comps just aren't that great, completely possible in many markets, gotta do the best with what you have, and investors can always check their own comps to arrive at their own numbers. Just my .02 cents. All NW offices operate on the same models, but management and employees are always different at every office; always creating some form of differences. Experience level make a difference as well, depending on the office it could be a newer one.
The deals we source are hunted down by our acquisitions teams, and sometimes that means we pick up properties that were on the MLS or through another wholesaler, of which will have some positive meat left on the bones of the deal. What we can get it for, dictates what we can sell it for, and sometimes that leads to very little profit for us, so that we can market it at a competitive level at the minimum. Company wide we sell one deals every 13 minutes- and most of those HOT deals will fly from us within 15 minutes of being sent out; those are the "great" or "good" deals we get our hands on. Some of our deals don't get sold, sometimes our numbers don't line up with what investors are looking for, and sometimes it's not the right property.
The beauty of NW is the size and speed of which we get access to things. In my market we are putting out somewhere between 30-40+ deals a month, that only we are selling. That doesn't mean they weren't available prior to us getting it, or if we don't sell, that it's back on the market. It means the thousands of investors we are working with in that market, have comps/tax data/pictures/and potential exit strategies, and we are putting our name and resources to it, to get a fast close in ideally 10 days-3 weeks.
Side-note: In my office we are feedback focused, we are very intentional about trying to get negative and positive feedback from our investors, the intent is to put out better deals, with better numbers, of locations that investors want that they aren't seeing many deals coming from. The only way we can do that, is when someone is willing to share how they feel. I would ask you to you contact your local NW agent, and share some of your thoughts with them- so that they may provide that feedback to the rest of the team, and potentially shift some of the focus towards rentals/land/commercial/ect. We can't read minds, and thus we encourage all our investors to be open and honest with stuff like this. Any other person who drops by this post who works with a NW agent, I encourage you to also provide feedback as needed to your agent, so they may serve you and your goals better.
Hope that may shine a bit more clarity to it for you sir. If you'd like to connect and chat more, please do so, and hopefully your local NW agents can put a deal in front of you that meets your buy box and you'd be excited to work on.
Cheers!