After some market research done on ListSource, I have narrowed my wholesaling venture down to two zip codes. The first one is Redwood City ,CA (94061 - a local market) and Fort Worth, TX (76180 - a virtual market). The research I conducted was targeting properties with high equity (99-100%) and absentee owners across the U.S. Do any experienced wholesalers, cash buyers, rehabbers, or really any other players near one of these markets have any advice? I would also like advice on whether or not I should pursue the hottest zip code (TX), or just stick to my local market for wholesaling. If virtual, any advice on getting boots on the ground and a system in place?
I've been in real estate for over ten years now and part of our business is wholesaling. Based on personal experience, I would start local before doing anything virtual. Once you learn the business and have more experience, you could then grow into other markets. Again, this is just my personal opinion based on my time in the business.
I do want to say that it's pretty awesome you spent that much time doing your research, good for you.
@Braden C. Thanks for the advice! Any other pointers for starting out in wholesaling? I am going to put a system together with an experienced entrepreneur once I'm on summer break.
@David Reo I’d be interested if you find anything in Fort Worth.
@David Reo Sorry for the delayed response. You're already on the right path and setting up your systems before you dive in is going to make your life a lot easier and a lot more likely that you'll get a deal faster. Wholesaling to me is simply turning over lots and lots of rocks and then finding something good. You want to look for properties that have problems and then offer the owners a solution. Don't pigeon hole yourself to a certain property criteria or a specific marketing funnel. I see new wholesalers all the time who say they only want to look for 3/2 houses in a certain zip code. It makes no sense to limit yourself. We've done vacant land, multi family, condos, trailers, single family homes and even co-ops. If you have a good enough deal, it doesn't matter what type of property it is, you can sell it. Same thing with marketing, don't listen to anyone who says you should only send direct mail, or only do SEO, or only do bandit signs, etc. They're just trying to sell their product(s) and don't have your best interest in mind. We have several different lead funnels and they all make us money, the ones that lose us money get thrown out if we can't fix it. Feel free to DM me and we can chat on the phone if you'd like.
@Braden C. Awesome advice! I will make sure not to get too focused on one channel of marketing. I sent you a message, and I look forward to connecting!