What's the most effective way to do this?

Question

Hello, All.

For those of us wholesaling properties, what are the best resources out there for you? What are the most effective ways to find motivated sellers, interested investors, etc.? What's your process?

Thanks for your help!

Mohammed Rahman · Answer

Hey @Oladimeji Sonibare - I've worked with a few different wholesalers and a lot of them have mentioned they spend a decent chunk of money in marketing (they're focused in LI and NYC not sure if that's the areas you're also focused on).

In terms of finding interested investors to assign the contract to, it's relatively easy as people are always looking for deals and don't mind paying a fee if the numbers make sense for them. You can network with a few agents that work with investors (I am an investor and an agent too, happy to help out feel free to DM me).

The hard part is finding the actual deals, not the buyers for your deals.

I know another active wholesaler that is also in the forums @Jean Tranquille who might be able to chime in; we bounce deals off of each other and I'm happy to connect any of your deals with my buyers if the numbers look good.

Jean Tranquille · Answer

It's  a good question but it all depends on who you ask, some will tell you to buy a list off   Prop Stream or any other website but the thing is 99% of other wholesalers are doing the exact same thing. Like @Mohammed Rahman said to me " you've got to be doing what the other 99% won't"  Sometimes the list you pull of absentee owners are also investors that’s growing their portfolios. And the list for distress property is not 100%. I've pulled a list  when I google the house or pass in front of it. It doesn’t look distressed. I’ve got a neighbor 3 houses down from me. His house is in terrible shape from the outside. Roof is falling apart and has a blue top to cover it. That’s not all overgrown trees and three cars in the driveway are covered with trees and dirt. But yet if you look that house up in any website most of us say it is not distress. I spoke with the owner. He's not ready to sell yet so I’ll probably hit him up in a few months. Also others will tell you to build a website where deals will come to you. I agree it's pretty smart instead of you doing all the hard work you let people find you. But for me I think the website is kind of a long term thing. You’ve got to decide how long you want to be wholesaling for. I’m me just doing it till I get enough capital to invest. I know it won’t be much for the New York city market but I’ll invest out of state and grow from there. But here’s what I do: drive for dollars and cold calling, (gonna start doing door knocks) I’m doing property on market (MLS) it is less stressful and u just set the type of property you want and when one hit the market you get a Notification. From there you run the your number to see if it a good deal like @Mohammed Rahman said “ it all a number game.” but there's a lot that goes into wholesaling most people don't tell you about. The numbers will determine if you've got a gold mine or a pile of dirt. you have to have some knowledge about running comps and After repair values(ARV). also it's good to have a second opinion from people who are more experience than you. go out there meet people download meet.com and meet like minded.

Dom Battezzato · Answer

Hey Oladimeji,

One of the most effective ways to drive motivated sellers to you in to own real estate on google. What I mean is rank highly on the first page of google with your website so motivated sellers find you. Motivated sellers, just like we do with anything, go on google to find cash buyers. How is your website?

Oladimeji Sonibare · Answer

You're always of great help, Mohammed. Thanks for the reply. This definitely helps but my biggest concern with wholesaling is that I'm not sure how to accurate estimate the ARV of the property without having to pay contractors and/or appraisers to tour the property. How else can I be sure that the numbers make sense? Is there an alternative to that?

Dom Battezzato · Answer

Hey Oladimeji,

If you're just starting out attend real estate meetups in your market to gain some knowledge and cash buyers. To find motivated sellers a credible website is the best way for motivated sellers to find you. I don't recommend driving for dollars and spending lot of money on marketing.

Aisha Smith · Answer

Thank you for all of this great info @Mohammed Rahman @Jean Tranquille @Dom Battezzato

I have joined so many meetups for NY/NJ and am on every FB page known to man lol. I am ready to start and have one part of the process that I am still confused about. I'm sure more will come up.

I have been told 2 different things regarding the contract process (to be assigned): 1 the seller must have an attorney and that you cannot go into a contract with the seller. This process has to be done attorney to attorney  & 2) you can have the seller sign an appropriate contract directly.

I spoke to a RE attorney who said that it isn't required for the seller to have an attorney but is customary in NY and that the seller's attorney will write up the contract between you and the seller and your lawyer does the contact between you and the end-buyer.

What are your experiences please.

Oladimeji Sonibare · Answer

Thanks, man. I’ll keep all of that in mind.

@Dom Battezzato

Oladimeji Sonibare · Answer

@Mohammed Rahman

What's the most effective way to do this?

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