Joined up a few months ago but never introduced myself. I've always wanted to purchase long-term rental units, but have yet to take any action on that. I'm currently exposed to the RE industry through my business, where I assist home inspectors with their marketing needs. So, not investing directly, but the bug found a way to me anyways.
I am going to take the next month and learn what I can about the wholesale side of things, and find some sorry person locally to corner for a coffee. I've been self employed for the last two years, and two things I've found out is action beats uncertainty, and mentorship is a massive advantage when taken seriously.
I like the idea of wholesale real estate because it can genuinely help a person in a pickle get out fast, and move on with their life. Before I opened my own business, I managed a program that assisted people in getting into housing and we worked with a few investors, and I've seen first hand how someone's involvement in the RE industry can be fundamental in a family's success. (Edmonton AB area - if you recognize the name reach out!)
Although I love what I do (online marketing) the tides are constantly changing with different technologies and platforms changing their rules/algorithms, so when I look to the future I don't see this being "it".
My short term plan is to thoroughly research the industry and develop a small but working competency, then jump in and see what happens. Mid term plan is to get a license for access to the listings and (I believe) protection from mishaps in accidentally brokering a deal. Long term would be to transition from wholesale to buy/hold rental properties.
If you're in the area (Toronto/GTA) and experienced in whole selling and would be willing to share some experience in exchange for labor, please do not hesitate to reach out!
Regardless of local or not... looking forward to meeting people virtually. Thanks!
I like the plan Andrew! I don't know anyone doing wholesaling - otherwise I would definitely introduce you. Best of luck!
I second Ryan's point.
Wholesaling is much easier in the US than in Canada. (Although even south of the border it is far from easy).
Not saying it's not possible - but just letting you know the temperature of the water before you jump in.
@Andrew McBurney Wholesaling doesn't easily work north of the border due to Canadian (federal and provincial) laws. Like @Eric Delcol said, it's not impossible but you're not going to earn a living as a wholesaler in the GTA.
Also, wholesaling works in communities with distinct pockets of good, medium and bad assets. Currently, the GTA is market is on a tear (even though it has significantly cooled down over the past few months). Canadian lenders are also very rigid and that's why this model hardly, if ever, works in Canada.
Thanks for the input @Ryan Kirk and @Eric Delcol - appreciate it.
In my shallow research so far I've seen a lot of people mention similar sentiments in terms of Canada not being the best for it.
Even if it were to be a complete write-off in terms of making any deals, I think the knowledge gathered would help me form a better judgement as I move forward and forge a path.
@Omar Khan thank you for taking the time with a thoughtful response. I'll need to look into this much more closely. What you say makes sense, especially with Toronto area being so hammered. I appreciate the input!
@Andrew McBurney No worries. Didn't want you wasting precious time and money. This is, primarily, an American forum. Hence, most of the advice does not translate well into other countries due to the nature of the laws, market conditions/sentiments and the investing mindset of the population.
You could probably wholesale a few homes but you will end up grinding your gears for no reason. You will also not learn much (or you can learn a lot more through other means) by going down this route.
My opinion it is a waste of your time in Canada. Failure rate in the US for wholesaling is very high, near impossible in Canada due to the regulations, environment etc.
I wholesale in Canada. It's not easy to do.
There are lots of people looking for properties (but adding them to your buyers list can be hard because they don't know what wholesalers are).
The hardest part is finding properties at a steep enough discount. It can be done, but it's really not easy to do.
Welcome to BiggerPockets Andrew and good luck investing!
Thanks for the input and welcomes everyone.
I have opened up my blinders a little bit and am looking into BRRRR as well as a house hack to start. While I love the idea of wholesaling - I am not one to approach something "just because"... it needs to make sense.
Going to keep soaking it in. Appreciate the input - it gives me a lot of direction when researching this stuff! Back to researching.
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