Wholesaling to large wholesalers

[Danielle C.]

Hello,

To start, I am new to this site and wholesaling. I am currently building a business and action plan. With that, I am going to have tons of questions, however I have seen that most on this site have been very kind to newbies. If you have any pointers or tips, please feel free to advise, even if I don't ask - I just may not yet know to ask the question. :)

On to my question... How many wholesalers sell to larger wholesalers? They have large buyer lists and are established. I have a few established, large wholesalers in my area who have huge buyers lists. I am considering contacting them and offering a certain percentage (perhaps 10%?) to them if anyone of their buyers purchase my property.

If it were a concern, I would even sign something that would prohibit any of their buyers from trying to backdoor that wholesaler. The way I see it, it’s profit they didn’t have and it’s greatly helping me sell. It’s also helping me to get started out, which is invaluable. I won’t depend on their buyers only and will continue working to create my own list.

So, how many of you currently / previously wholesale to other wholesalers? How has it worked for you? Any tips on what to say and not to say when initiating contact? The groups that I am aware of are well established for 10+ years in my area, so not stepping on toes is important.

All comments are appreciated!

Thanks,
Danielle C.

[Chris T.]

Just call them up and tell them about the property. They will either buy it or not. If they buy it, then you'll make whatever remains from the purchase price and sale price. Just like any buyer. You'll find out who the end buyer is after the sell and then you can add them to your buyer's list. You won't make as much of a profit selling to a wholesaler who is just going to wholesale it to someone else but sometimes when you're starting out it helps to have these big wholesalers to sell to just to keep you in business until you build up your buyer's list.

As to how you approach it, treat them like a buyer. If you start sounding all weird like you want something from them then they may stop listening and miss the point. Just tell them you have a deal for sale.