Starting in wholesale real estate

9 Replies

Hello all,

I hope this is not a "stupid" question. Prior to starting my wholesale real estate venture, I will like to know if I will need an/a EIN or Tax ID number and also a website prior to marketing?

Any advice will be greatly appreciated

A website is not needed before you start nor do you need a EIN or Tax ID. 

The main thing you will need is to learn how to fill out a SPATB (something like this contract link). And how to assign that contract with an assignment form (something like this contract link). 

How to market to find or go out and find motivated sellers. Basically someone who really wants to get out of their house fast. 

And you must find someone with cash to assign the contract you have to. 

This is for wholesaling properties however, if your interested in rental properties, ignore this. 

No and no...

Great questions I was interested as well.

@Gregory Guillet There are no stupid questions, as you can see another member benefited from your question. 

If you are doing business in your own name you do not need a new tax ID number. Technically you already have one. It is your social security number.

Tax ID numbers are easy to get you can apply on line for free and get one instantly. Keep in mind you want to apply directly to the IRS. If you Google search ads will come up to get one, but they are for intermediary companies that charge a fee.

Would wholesaling be under "real estate" or "other" when signing up EIN?

Originally posted by @Daniel Choe :

Would wholesaling be under "real estate" or "other" when signing up EIN?

 I have this same question

I usually use other and put in Real Estate when I apply online. Have done this for several clients who

deal in all sorts of RE and haven't had any problems.

@Robert Padilla I spoke with an attorney and learned that the EIN description is pretty much insignificant and that "Real Estate" was just fine. However, when applying for an LLC the description should be more detailed.

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