Why Do Most Wholesale Deals Exclude Home Inspection & Appraisals?
Seriously!
How much Dough does it really cost to run a Home Inspection Report? $3-$400 bucks?
And...
How about an ‘As-Is’ Appraisal?
and maybe also an ‘ARV' Appraisal?
...another $3..$4...$500 bucks tops???
It seriously blows my mind how I have never seen even One ☝🏼Wholesale Investor ever produce a Home Inspection Report or any type of Appraisal on their deals... yet many wholesalers feel perfectly able to sleep at night with a $2.... $3....$5,000.. capital gains check safely tucked away under their pillow while the risk remains with the poor uneducated soul that just bought that deal...😥...
I’m not here to bash on any wholesalers within Our Come-Unity, but I AM suggesting that maybe it’s possible to create a New Wholesaling Business Philosophy where Wholesalers can partner with what I call “Small Money Investors” who’s small funds are specifically tailored towards funding simple Due Diligence processes with the intent of earning a healthy annual return.
In Theory:
By Producing a Wholesale Deal
‘With’...a Home Inspection Report in hand, and
‘With’...an As-Is Appraisal
and the ‘ARV' Appraisal in hand.
It’ll show an new level of trust & confidence in the buyer that this wholesaler is different than all the rest... You’d create a new wholesaling niche that would separate you from other competitors out there...
And People like ME would become Loyal ongoing customers that would easily buy every single one of your deals as fast as you can get a hold of them...
With all that upfront work...couldn’t you justify a higher commission? say a minimum of $10,000 per deal or more? (That way you make enough profit to pay back the small money lender).
I would Pay it...☺️
After traveling across 50 states and seeing the different REIA clubs and wholesalers nationwide and being a speaker in a few... I've always wondered WHY?
Why has no one done this already?
To those thinking about being future Wholesalers in the industry perhaps think of this as a Potential way of doing future business and Maybe... just maybe... You’ll set a new
Standard and change the entire industry brand
to the next level of Deals...
Sincerely,
Your Friendly Hawaiian in Denver
Afa
P.S. if I were you I would get a home
Inspector that is ridiculously meticulous in their report like 10+ pages and 400 picture type report...
P.p.S.s I would find the President of the Chapter of Appraisals in your Area 😉
Triple P.S. grab their resumes proving over 10 years in the game... and show those credentials to your Future Buyer like ME!
Aloha