Real Estate Professional · Miami, FL · Member since 2016 · 58 posts · 12 votes
Hello,
My team is looking for wholesalers in the southeast florida region. This includes Miami-Dade, Broward, and Palm Beach counties. If you, or someone you know has the ability to provide solid deals via wholesale, please contact me either by replying to this post, or message.
Wholesalers tend to underestimate rehab cost and overestimate ARV. Solid wholesalers are hard to come by. Investors do not mind paying an assignment fee, especially if the deal makes sense. We are transparent and practice the highest degree of ethics. Also any wholesalers reading this, feel free to put my email on your buyers list.
Investor and Commercial Real Estate Agent · New York City, NY · Member since 2013 · 109 posts · 67 votes
9y
Real wholesalers don't start out as wholesalers. They start out as rehabbers who either gets a lot of deals and must let go of some deals or who got tired of rehabbing and just decide to wholesale the deal.
Look for active rehabbers and propose to them that if they have deals they can't tackle (either too busy, short on funds, etc) that you would be willing to buy it from them and they make a quick buck.
Real Estate Professional · Miami, FL · Member since 2016 · 58 posts · 12 votes
9y
@Greg Grant I understand that it is not easy to find the deal. However, if you have the systems in place you shouldn't worry about trying to scrape every dollar off each deal.
Transparency for a wholesale dealer can actually work in their favor. Investors see value in transparency.
It can lead to a fair compromise, that suits both parties. I am actively looking for wholesalers that want to do business the right way.
Real Estate Agent · Fort Lauderdale, FL · Member since 2016 · 14 posts · 7 votes
9y
Josh Malenfant thank you for this post! I'm a wholesaler in the South Florida and would love to work with you the right way. That's the only way I know how to do business.
Investor and Commercial Real Estate Agent · New York City, NY · Member since 2013 · 109 posts · 67 votes
9y
Real wholesalers don't start out as wholesalers. They start out as rehabbers who either gets a lot of deals and must let go of some deals or who got tired of rehabbing and just decide to wholesale the deal.
Look for active rehabbers and propose to them that if they have deals they can't tackle (either too busy, short on funds, etc) that you would be willing to buy it from them and they make a quick buck.
Real Estate Broker · Naples, FL · Member since 2013 · 9k+ posts · 6k+ votes
9y
1st of all the state has closed loopholes that the unlicensed brokers use to broker real estate. They can no longer simply assign contracts without being a broker. See 475.43. Using contracts as a scheme to circumvent licensing laws no longer works and the contacts are voidable. Even if you put down earnest money it doesn't matter. See 475.43.
Add on top of that the lack of accountability from non-licensees, lack of training, lack of insurance and the question is WHY would you want to deal with most of these people. Here are some rules for guidance if you are dealing with an unlicensed broker practicing real estate:
BEFORE you deal with any unlicensed broker consider these ideas:
1. Always require WRITTEN comps that can be substantiated
2. Always require WRITTEN bids from LICENSED contractors
3, Always require WRITTEN comps to substantiate ARV
4. NEVER pay a non-refundable fee
5. Always correspond via email so there is written record to bring suit in the event of misrepresentation.
6. Always demand to see a copy of their contract.
Remember, these are middlemen trying to play RE agent without a license. Make sure they provide GOOD comps. Make sure if they are representing an ARV value make them provide ARV comps. If they make claims about rehab costs, make them provide WRITTEN bids from contractors. They are brokering real estate so make them PROVIDE good quality information like you could get from a licensed broker. Many of these unlicensed brokers simply make up figures that sound good but cannot back them up.
Unlicensed brokers generally have no insurance. From personal experience most just pull their ARV out of thin air. Lets see: claim it costs x and it will sell for y. If someone uses an agent, an agent won't provide or should NOT provide the BS an unlicensed broker does. They should not or do not provide rehab figures (to protect themselves). They should tell a prospective buyer to get their own bids. They can provide comps in some situations on an updated unit vs an original unit. Agents have something to lose, can be fined, and have their license suspended or revoked. Unlicensed brokers, acting as fringe operators skirting the laws have nothing to lose. They are acting as an agent without the laws, ethics requirements, education, and insurance that are vital IMO.
Real Estate Professional · Miami, FL · Member since 2016 · 58 posts · 12 votes
9y
@Nick C. Theres always other avenues. This is just one medium that may have potential in finding the needle in the haystack.
@Jonathan Marcus I appreciate the response. That is a great idea.
@John Thedford I appreciate your very detailed response. I am well aware of not using the wholesalers ARV estimate. The farming market data my team compiled, already has our ARV range for the type of properties we are considering. We use our ARV to determine if it is something looking further into.
I appreciate you bringing up the unlicensed broker ordeal. I will consider that when working with wholesalers. Some of the wholesalers I have received inventory from have licensed brokers on their team. That is something moving forward I will ensure is in place. Thanks for all of the advice.
@Jarvis Frazier Thanks for replying to my post. Please send a private message to discuss further business.
Wholesaler · Fort Lauderdale, FL · Member since 2017 · 10 posts · 3 votes
9y
We are just breaking ground on our investment business and looking to begin with a solid foundation of wholesale properties. Perhaps, we could format a beneficial relationship where we could learn from from you and we could all make some money at the same time. We are solidly honest and have a good business sense. And, we would truly value the close contact of your experience. Let us know.