New to Real Estate · Tampa, FL. · Member since 2018 · 6 posts · 5 votes
Hello!
I would like to know what would be the first thing to do when I pursue my first deal. I am currently reading and listening to everything I can on wholesaling. I joined my local real estate investing group. In March I would like to do my first deal. What would be somethings I need to do first! I am SUPER EXCITED although really afraid at the same time!
Douglasville, GA · Member since 2017 · 45 posts · 29 votes
8y
Hello Shaneka,
For me I had to be able to walk a deal all the way through (on paper at least) from finding a lead to depositing the check then I felt that I could truly pursue a deal. It doesn’t have to be perfect but at least a path from start to finish.
Find a property
Find the owner
Calculate the MAO max allowable offer
Get offer excepted
Get a/b contract-original seller to you
Depending on local laws you have to work some version of the following:
Find your cash buyer
Get b/c contract- you to final cash buyer
Fund a/b deal.
Close a/b
Close b/c (can be the same day, same place)
Deposit check.
There are many different versions of this but you must be able to see your way through at least one way from start to finish. Then you can work on faster, better, cheaper etc. etc.
Douglasville, GA · Member since 2017 · 45 posts · 29 votes
8y
Hello Shaneka,
For me I had to be able to walk a deal all the way through (on paper at least) from finding a lead to depositing the check then I felt that I could truly pursue a deal. It doesn’t have to be perfect but at least a path from start to finish.
Find a property
Find the owner
Calculate the MAO max allowable offer
Get offer excepted
Get a/b contract-original seller to you
Depending on local laws you have to work some version of the following:
Find your cash buyer
Get b/c contract- you to final cash buyer
Fund a/b deal.
Close a/b
Close b/c (can be the same day, same place)
Deposit check.
There are many different versions of this but you must be able to see your way through at least one way from start to finish. Then you can work on faster, better, cheaper etc. etc.
Investor · Taylor Mill, KY · Member since 2016 · 2k+ posts · 964 votes
8y
Learn your market really well. In the areas you want to work, you should know what a 2/1 and 3/2 sells for when in great shape. You should know which areas have mostly renters and which are mostly owner occupied. And know rough estimates for rehab costs. For instance, around here $5k is a good, conservative number per bathroom rehab. Usually it can be done cheaper, but at $5k most of the time you will be a little too high, which is where you want to be. It is much better for your buyer to spend $25k on a rehab you said would cost $30k vs. them spending $35k.
Real Estate Investor · Philadelphia, PA · Member since 2014 · 19 posts · 5 votes
8y
Bob McGhee THANK YOU! successful people ALWAYS come through and help! I really glad I found this post; because, I’m in the same position and ready to start wholesaling. I needed some step by step details to find a path. Thanks Bob!