how do you work with Agents when your Wholesaling houses.

Question

I am an upcoming wholesaler and I am working with an Agent that is willing to help me find off market properties to wholesale. The only problem is that the agent does not know much about wholesaling. How do I explain this process to the agent. I already have a buyer in place that is looking for a specific property and i think that the agent could be a good asset in helping me find these properties. This is my first time working with an agent and I am kind of confuse myself. Can somebody please help me out with this situation.

P.S. do I use the same real estate purchase and sale agreement I would use with a motivated seller or would i just use an assign of sale and purchase agreement.

Mitch Messer · Answer

Hi @Cameron Johnson. How will your agent help you find these off-market properties, exactly? Not saying it's impossible, but unless this agent has some special hook-up, I know of no particular advantage that an agent has over anyone else in finding great wholesale deals.

You're going to need a well-developed marketing strategy to attract sellers with problems. No agent is going to take the place of that.

Mike Cumbie · Answer

Hi @Cameron Johnson

When you find a house that can't be wholesaled (The owner wants close enough to retail that you will never make it work) you push it over to the agent. This gives the agent a lead that they can put on the MLS and try and get the most money for the seller that they can. Now when it comes to what you get out of it, generally that is "comps". When you find an off market lead you ask the agent to run you a set of comps. They give you the comps and you go make your pitch. If it doesn't work out then you can throw the lead to the agent (Once you build a relationship they will happily sit and wait on the side till you are done before going in).

As far as the agent finding you leads that is generally not done a lot because they can list it themselves. That's not to say that throwing a lead your way that doesn't want to list or that there is no agency with couldn't happen, just in general we would just go for listing it ourselves.

Hope it helps some.

James Green · Answer

@Cameron Johnson, non-investor Realtors (meaning they themselves don't actively invest) don't find off-market properties. Finding off-market properties is the role that a wholesaler plays. Also if they were to find an off-market property why would they share that info with you vs a cash buyer client?

JD Martin · Answer

Finding homes to market is part of an agent's job working with/for the broker he/she is working for - why would they jeopardize their regular job to give you a lead that should belong to their agency?

how do you work with Agents when your Wholesaling houses.

how do you work with Agents when your Wholesaling houses.

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