Rental Property Investor · Brooklyn, NY · Member since 2019 · 106 posts · 47 votes
Interestingly enough, I’m getting a lot better deals on-market than I am getting “Off-Market”. I think wholesalers are getting a little crazy with their Markups, only looking at inflated ARVs in this current market, but not inflated construction cost.
Just my thoughts though, Anybody else experiencing the same thing?
Developer · NC · Member since 2019 · 211 posts · 112 votes
5y
Yep, i think most wholesalers just want to target newbies who think they are getting a "great off market deal." I really hope that new company Sundae puts a lot of them out of job.
Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
5y
If you are comparing off market deals from wholesalers only vs on market deals, yes, experiencing the same exact thing. Most wholesalers in my area are greedier than Scrooge! In many cases, they are asking for double or triple what a RE agent would make on gross commission and they have no fiduciary responsibility to anyone.
Developer · NC · Member since 2019 · 211 posts · 112 votes
5y
Yep, i think most wholesalers just want to target newbies who think they are getting a "great off market deal." I really hope that new company Sundae puts a lot of them out of job.
@Ley Nezifort Still lots of good deals coming through the market in my neck of the woods if you’re willing to do some work and can move quickly on your decision to offer.
For the first time ever in the last month and a half have had 4 supposed whole salers actively creating lists of buyers for my area, I’m really off the beaten path, but no action from any of them yet.
I think the whole salers thought they’d discovered a cheap market about an hour north of me, hence the flurry of activity, but the properties in the particular location go on market in as is condition and all need to be rehabbed but the tenants just trash them so anyone who knows the area isn’t going to fall for that.
Cincinnati, OH · Member since 2020 · 4k+ posts · 3k+ votes
5y
@Ley Nezifort, for what its worth, I am just not seeing any wholesaler deals. I have really pruned my email subscriptions, so not on many wholesaler's lists anymore, and those that I am still on tended to be those that had the most honest numbers. Therefore, I am assuming these same groups are not getting deals because they are not pulling ARVs out of thin air (on the high end) and under budgeting rehab, like I saw a lot of in the past.
Additionally, I think many owners, even distressed, are not selling because foreclosure moratoriums are still in play and the market is so strong that people that would normally go to wholesalers realize they can get more, at the same cash, quick close terms wholesalers are offering.
Regardless, I cannot say I am upset about seeing less terrible deals in my inbox. And as an owner, I have gotten far fewer unsolicited calls, texts, emails, and mailers from wholesalers trying to convince me to sell my property "at a great price".
Lender · Omaha, NE · Member since 2008 · 1k+ posts · 1k+ votes
5y
I have noticed wholesaler "deals" are definitely thinner now that at this time last year. We are still seeing fantastic margins on our off market deals though (generated via marketing, not from wholesalers).