Wholesaling Newbie( Los Angeles, San Bernandino, Riverside )

6 Replies

Hello, I wanted to find anybody who has personal experience in wholesaling in the Los Angeles area. If found a few videos on YouTube of success stories and wanted find a mentor or somebody to guide me int eh right direction. I currently live in Sherman Oaks, CA ( The Valley ) and full time work as a body guard. I wanted to get into the business of wholesaling as a way to gain some additional income and also to get some basics on the Rel Estate game. My goal is to eventually obtain some rental properties down the road. As of now I have very little capital and was told that wholesaling as a start could help with my future goals. Any advice or guidance would be much appreciated. 

Thank you

Originally posted by @Brent Bastian :

Hello, I wanted to find anybody who has personal experience in wholesaling in the Los Angeles area. If found a few videos on YouTube of success stories and wanted find a mentor or somebody to guide me int eh right direction. I currently live in Sherman Oaks, CA ( The Valley ) and full time work as a body guard. I wanted to get into the business of wholesaling as a way to gain some additional income and also to get some basics on the Rel Estate game. My goal is to eventually obtain some rental properties down the road. As of now I have very little capital and was told that wholesaling as a start could help with my future goals. Any advice or guidance would be much appreciated. 

Thank you

 Welcome aboard Brent.

CA has some of the more strict laws regarding wholesaling.

I never understood how people can sign contracts to purchase with no money unless:
1. they are misleading the seller
2. seller gives their approval for the unlicensed broker to middle man the deal

@Will Barnard

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Excellent post Greg.

There is a lot of information out there regarding wholesaling. I agree that having a Real Estate license can add  a sense of competency to your business model. 

Good advice on having an attorney take a look at or point you in the right direction. 




Originally posted by @John Thedford :

CA has some of the more strict laws regarding wholesaling.

I never understood how people can sign contracts to purchase with no money unless:
1. they are misleading the seller
2. seller gives their approval for the unlicensed broker to middle man the deal

@Will Barnard

CA does have laws against brokering without a license so if you intend to lock up contracts and then assign them to a buyer you market for, you are breaking the law here. That said, there a numerous ways to make money at this without violating laws or misinforming sellers.

Finding a mentor is a great idea.

With that said, it is very common practice for people, especially gurus, to tell newbies that the best and easiest way to get started in real estate investing s through wholesaling and I could not disagree more. It is not easy, and while you don’t need good credit, you do need some capital. I have wholesaled many times and to be honest, I could not have wholesaled a single one as a newbie without the background experience and education I received by investing as a buy and holder, a flipper, and a developer. That experience along with my built connections allowed me an easier opportunity to wholesale. This is not say that a newbie can not start out in this arena, simply to say it will not be easy without the knowledge and education needed to be successful.

 

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