Finding a buyer first?

Finding a buyer first?

Member since 2022 · 33 posts · 5 votes

Hello,

I'm new to wholesaling. Just learning at this point. Is it okay to find a buyer first? What happens if you get a property under contract but aren't able to find a buyer?

Thanks for your help

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Real Estate Consultant · USA · Member since 2014 · 1k+ posts · 751 votes
4y
Quote from @Karl Washington:

Hello,

I'm new to wholesaling. Just learning at this point. Is it okay to find a buyer first? What happens if you get a property under contract but aren't able to find a buyer?

Thanks for your help

 @Karl Washington a lot of wholesalers say "if you find a good deal, it's easy to find a buyer". I prefer to find buyers first, for 2 reasons.

1. You are looking for properties that you know your buyers will want 

2. It's less stressful knowing you have buyers waiting for the deals you are looking for.

If you happen to find a deal that none of your buyers want then you could always joint ventuire with another wholesaler

so your first 2 activities should be 

1. build a list of buyers

2, build a list of disposition wholesalers

See this reply in the discussion

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  • Real Estate Consultant · USA · Member since 2014 · 1k+ posts · 751 votes
    4y
    Quote from @Karl Washington:

    Hello,

    I'm new to wholesaling. Just learning at this point. Is it okay to find a buyer first? What happens if you get a property under contract but aren't able to find a buyer?

    Thanks for your help

     @Karl Washington a lot of wholesalers say "if you find a good deal, it's easy to find a buyer". I prefer to find buyers first, for 2 reasons.

    1. You are looking for properties that you know your buyers will want 

    2. It's less stressful knowing you have buyers waiting for the deals you are looking for.

    If you happen to find a deal that none of your buyers want then you could always joint ventuire with another wholesaler

    so your first 2 activities should be 

    1. build a list of buyers

    2, build a list of disposition wholesalers

  • Contractor · Scottsdale, AZ · Member since 2010 · 2k+ posts · 3k+ votes
    4y

    As a wholesaler ideally you should have a dozen buyers or more "in your back pocket" when you're searching for deals.

    If you get a deal under contract where the numbers actually work, you'll probably be able to scramble and dig up a buyer before the end of your due diligence window, but that type of uncertainty can be stressful.

    Start building your buyers list now. Learn what those buyers are looking for. Keep an organized list. And follow up with those buyers often to confirm they are still actively pursuing deals.

  • Andrew SyriosPro Member
    Moderator
    Residential Real Estate Investor · Kansas City, MO · Member since 2014 · 10k+ posts · 5k+ votes
    4y

    It's good to find potential buyers (i.e. build your buyers list) but virtually no one is just going to take your word for it that the property that you will get under contract is going to be a good one. They'll want to see and evaluate the deal you bring them before making an offer.

  • Member since 2022 · 33 posts · 5 votes
    4y
    Quote from @Jim Pellerin:
    Quote from @Karl Washington:

    Hello,

    I'm new to wholesaling. Just learning at this point. Is it okay to find a buyer first? What happens if you get a property under contract but aren't able to find a buyer?

    Thanks for your help

     @Karl Washington a lot of wholesalers say "if you find a good deal, it's easy to find a buyer". I prefer to find buyers first, for 2 reasons.

    1. You are looking for properties that you know your buyers will want 

    2. It's less stressful knowing you have buyers waiting for the deals you are looking for.

    If you happen to find a deal that none of your buyers want then you could always joint ventuire with another wholesaler

    so your first 2 activities should be 

    1. build a list of buyers

    2, build a list of disposition wholesalers


     Awesome thanks for help 

  • Flipper/Rehabber · Wilton, CT · Member since 2015 · 4k+ posts · 4k+ votes
    4y

    You don't need to find buyers first. AT ALL.

    You just need to find a good deal. I do this all the time, so no one can tell me that you need to find buyers first.

    I would arguably question any buyer that signs up to your list when it is obvious you have never done a deal yet. Most likely those "buyers" are hungry desperate wholesalers trying to JV with you.

    Nahhh...

    Go get your homerun deal and the buyers will come bro!

  • Wholesaler · Tampa, FL · Member since 2022 · 14 posts · 6 votes
    4y

    @Karl Washington

    My suggestion is to first complete the list of your buyers and see exactly what they want.

    When you find a buyer, there are people who have good deals on Facebook and you can easily make a JV with them.

    actualy you hitting two birds with one stone.

  • Member since 2021 · 77 posts · 34 votes
    4y
    Quote from @Scott E.:

    As a wholesaler ideally you should have a dozen buyers or more "in your back pocket" when you're searching for deals.

    If you get a deal under contract where the numbers actually work, you'll probably be able to scramble and dig up a buyer before the end of your due diligence window, but that type of uncertainty can be stressful.

    Start building your buyers list now. Learn what those buyers are looking for. Keep an organized list. And follow up with those buyers often to confirm they are still actively pursuing deals.

    Thank you for this, I have had the same problem i got alot of contracts but it has become stressful, so i am going to take this advice


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