So I'm getting the system down and have started to get motivated seller leads. But I'm not able to put a place under contract because I just don't have the right key players.
So I want to put this out to all the virtual wholesalers out there. What key players do you need in order to get a place under contract.
I don't have someone who can walk a property to get an estimate.
I don't have someone who can help me negotiate the property in person.
Who do I need to team with in order to make this happen. Essentially what are those roles called and are they typically other investors, real estate agents, etc.
Doing this virtually is a bit confusing at first, but I think I've got the ball rolling up until this point, but need a few more pieces to secure a deal.
Thank you for all your help.
There are plenty of people who regularly virtually wholesale places. Technically, you don't need anyone on the ground to wholesale a property; however this is often very difficult. After you find a property without anyone who has an interest in the property you just need to get the owner(s) to sign a contract with an option. Then you can market the property and sell it.
So the only people you need are a motivated seller, a buyer and a closing company familiar and willing to work with wholesalers. This is the bare minimum; however I would recommend adding more members - someone to negotiate with the buyer and someone to take pictures of the property. Its hard enough to explain optional contracts to owners in person, let alone over the phone. I wouldn't worry too much with finding ARVs and estimated repairs, if your target is experience flippers and landlords, they should have an idea of how much they are willing to pay based off pictures.
If you've found the right place for the right price, you have several options:
1. Make your own team, salaried employees to negotiate and walk the property, however these systems are difficult to build however this will give you a good amount of profit
2. Partner with a local wholesaler to put the place under contract; however you run the risk of getting cut out.
3. Partner with a flipper on the property, but again this runs the risk of you getting cut out
4. Sign the contract with the owner and hire someone to take pictures, this will make you the most amount of profit
If you can do option #4, this will be the most amount of work, but is how most larger virtual wholesalers work - hire someone who knows nothing about wholesaling to go and take pictures, then get the owner to sign an optional contract.
My suggestion would be to call some reputable closing companies and see if they work with wholesalers and flippers, they could probably give you insight into the character of the people who might be interested in your deal and connect you to someone who is interested. Also they shouldn't be too interested in cutting you out, they get paid the same amount whether you are part or not part of the deal. They will make more money if its a double closing.
Atleast in PA, unless you record the optional contract, there is still a possibility someone else can buy the property despite the fact you have an option to purchase. Unless you are making a good amount of money on the deal, its not worth taking costly legal action. Most wholesalers just forgive, forget and move on.
Best of Luck!
State laws will vary. It may or may not be legal depending upon your contract in the state where the property is located.
just sell you leads @John Thedford being in BC the laws wont reach him.
So MR @Jay Hinrichs IS FUNNIN with me this morning:)
Good thought though. Do US states have the power to reach outside of the US and go after scofflaws?
@John Thedford Nope why do you think the Nigerian prince scam is so prevelant.
Originally posted by @Elizabeth Wilson :
@Jessey Kwong - If you aren't familiar with @Haim Mamane Palman , check him out on his website (http://thevirtualwholesalerguy.com/) or find him on YouTube - The Virtual Wholesaling Guy. Knows his stuff - Highly recommend.
Best of luck! Let us know how it goes.
Thank you for referring me this!
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