Anyone Else Worn Out by Wholesalers Texts and Postcards?
Investor · Chattanooga, TN · Member since 2014 · 5 posts · 32 votes
Anyone Else Worn Out by Wholesalers Texts and Postcards?
Most Popular Reply
Real Estate Broker · Portland, OR · Member since 2019 · 4k+ posts · 2k+ votes
6y"Anyone Else Worn Out by Wholesalers Texts and Postcards?"
Not at all, I see them as an opportunity.
1) I call and say I'm a buyer, put me on your list.
2) I find the owners they've exploited and under-priced
3) I call the owner and say, here's the FMV and comp sales of your property and you're losing at least 20% you go with this offer. I then tell them that the guy that wrote is NOT going to be the buyer and he's given you $0.01 as earnest money.
4) I tell them since you don't have a listing, think about it.
120 Replies
- Member since 2019 · 5 posts · 6 votes6y
@Joe Cassandra
Thank You sir!
I’m a newbie wholesaler and seeing all this wholesaler bashing is very discouraging, like geez man why knock their way of getting to you guys level of investing. We start out wholesaling with the end goal to become a savvy investor. It’s just sad that these guys look down on wholesalers trying to get in the real estate investing game because their being persistent and these seasoned investors are annoyed by their marketing. You’ll be seen my marketing campaigns and text coming across your mail, email and text blast soon. Lol God Bless.
- Member since 2018 · 49 posts · 6 votes6y
Originally posted by @Dandre Davis:
@Joe Cassandra
Thank You sir!
I’m a newbie wholesaler and seeing all this wholesaler bashing is very discouraging, like geez man why knock their way of getting to you guys level of investing. We start out wholesaling with the end goal to become a savvy investor. It’s just sad that these guys look down on wholesalers trying to get in the real estate investing game because their being persistent and these seasoned investors are annoyed by their marketing. You’ll be seen my marketing campaigns and text coming across your mail, email and text blast soon. Lol God Bless.
Agreed! Like is this an investor forum or what??
Sounds like people complaining about their own industry! To which I say welcome to sales! Nothing happens until someone sells something. Every other company you work for has sales people and yes they're going to contact lots of people. Get over it. - 6yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Originally posted by @Dandre Davis:
@Joe Cassandra
Thank You sir!
I’m a newbie wholesaler and seeing all this wholesaler bashing is very discouraging, like geez man why knock their way of getting to you guys level of investing. We start out wholesaling with the end goal to become a savvy investor. It’s just sad that these guys look down on wholesalers trying to get in the real estate investing game because their being persistent and these seasoned investors are annoyed by their marketing. You’ll be seen my marketing campaigns and text coming across your mail, email and text blast soon. Lol God Bless.
Not arguing the merits here but to play devils advocate one reason you have polarizing views and maybe you can see it from this vantage point.
For folks that are beginning and think wholesale is how you begin.. they launch into it with very little REAL training. And now they are trying to do transactions with Sellers and Buyers ( that many times) this is their entire life savings.. So you have those folks going through some one starting out and their learning curve.. So a lot of mistakes are made.. and it just opens it self up to all sorts of potential issues of which many are bad to the seller and buyer all for someone going through their learning curve. And frankly probably not really caring a lot about what impact they may have on buyer and seller.. I mean just going into a deal with no ability to close and telling the seller your a cash buyer.. I mean really how is that justified ?
so that's where you get this back and forth discourse. So for the Real estate agents you have to remember they have brokers who supervise and manage them and then they are held accountable.. So granted many agents are not all that swift in the learning stage.. But at least they are doing it the way the law provides.
- Wholesaler · Manassas, VA · Member since 2017 · 33 posts · 32 votes6y
This is a fascinating thread!
I'm just getting into wholesaling, and it's very educational to understand all the pain-points here.
From what I'm reading... it's not really wholesaling that most of you object to... it's the behaviors (ex: lack of education, lack of etiquette, questionable ethics) that are the most annoying -- which I can find just about anywhere I go, and at every level of real estate investing. Anyone here ever have an inspector, appraiser, contractor, real estate agent, investor, or lender they'd be happy to never cross paths with again?
I'm not even sure that most of the behaviors that people here have been annoyed with are *bad* (that is, not malum in se, but perhaps malum prohibitum in certain cases)... but they definitely seem mis-applied. People constantly asking to help you solve problems you don't have (running around with fire-extinguishers during a flood, or trying to sell snow cones in a blizzard), or problems that someone else already solved for you.
Wholesalers who are annoying you are doing so, because that behavior is incentivized and rewarded when they find the right market segment. Being consistent, persistent, following up and using multiple lines of communication to establish repeated contact are proven methods to reach people whose situation most real estate agents would walk away from, ... provided you are talking to the right population segment, which clearly several of them are not.
The mis-alignment of 'skillset' and 'market' is going to generate some negative impressions -- not unlike what happens when you ask the 'average Joe' what they think of their land-lord. "All landlords are just greedy, stingy, pitiless money grubbers who are trying to pick my pockets just for breathing!" ... as if landlords don't have their own lives on the line, their own bills to pay, their own business to run, their own needs wants and desires which are no less legitimate than their tenant's?
As a wholesaler, I'm trying to help people who are in bad situations, not annoy them or beat them into submission. In a way, I'm kinda glad to see that my 'competition' is so unfocused, uncouth, and overbearing (maybe it'll be a breath of fresh air when they run into wholesalers who care about them as a person, and sincerely want to help them get where they want to go?) -- but I'm also disappointed that they are the source of so much annoyance to others... and giving a bad name to the rest.
As a wholesaler, I have no idea how many times a particular potential seller might have been contacted, or if they are even still alive? The last thing I want to do is be an annoyance to someone.
I can't speak for all wholesalers... but if I knew of a way to avoid annoying people whose situation (timing, motivation, etc.) doesn't align with a wholesaler's skillset, boy howdy I would take it! Why on earth would I want to waste both my time and someone else's?
If, as a wholesaler, I can find you a deal that pencils out, would you walk away from it because you've gotten 7 calls today from other people asking if you wanted to sell X property, or because I might make more in the transaction (near term) than you do?
If 5-7 calls and 2-3 texts a day makes you crazy, might I suggest:
https://jollyrogertelephone.com/
So you at least can get some potential entertainment out of listening to some of them talk to a bot?
Happy investing everyone! - Member since 2018 · 14 posts · 1 vote6y
At the moment I'm studying to be a wholesaler. I honestly could take this thread as negative but I'm more inclined to try and learn how to be the best at what I'm trying to do. What are some of you suggestions for someone new to wholesaling? - Real Estate Agent · Houston, TX · Member since 2017 · 159 posts · 161 votes6y
Originally posted by @Daron Williams:
Im new to REI and and started investing in tax sales about two months ago.. i then learned about bp and have been watching podcast and reading every book i can. I wanted to get rentals but my credit is horrible.. i have raised it from a low 500 to over 610. But last week i started driving for dollars and researching properties that I could possibly wholesale so I don't wind up homeless. because I'm unemployeed because of the virus. I do cold call and have good conversations with people and i do direct mail but i have my nephew print them out and we mail them in envelopes.. just today ive had 3 calls from people from the direct mail and also have 4 people that i talked to that is okay with me trying to wholesale there house.. im completely honest with them and very polite. My problem is i live in a very small town and don't know any buyers. But i will keep educating myself and hopefully atleast get one deal so i can show my 80 year old mother that i can make it as an investor.. i love RE and wanted to be an agent years ago but i aslo had a drug problem and wound up with some felonies.. now im over two years sober and my family is proud of me.. i try to help the home owners not irritate them.. my dream is to be like several of yall thats on this thread but until i can buy my own property i pray i can atleast find a buyer for the leads i have coming in.. thank yall for all the education and information. I learn alot from yall.. i love biggerpockets and i love the idea of being a REI
First and foremost congrats on turning your life around man. That's a demon in itself that you have conquered but I'm assuming you're in Jasper which i know isn't the biggest market, but I would encourage you to try out several REI groups on FB. There are several ppl who invest in low volume market areas. Just find as many groups as you can and see which ones have the most activity and see who buys in Jasper. Good luck
- Member since 2019 · 8 posts · 1 vote6y
Are wholesalers serious about the $10 EMD ?? I just spoke with one and when he said that I laughed at him. Not to be mean but really??
- New to Real Estate · Jasper texas · Member since 2020 · 59 posts · 37 votes6y
Originally posted by @Effram Barrett:
Originally posted by @Daron Williams:
Im new to REI and and started investing in tax sales about two months ago.. i then learned about bp and have been watching podcast and reading every book i can. I wanted to get rentals but my credit is horrible.. i have raised it from a low 500 to over 610. But last week i started driving for dollars and researching properties that I could possibly wholesale so I don't wind up homeless. because I'm unemployeed because of the virus. I do cold call and have good conversations with people and i do direct mail but i have my nephew print them out and we mail them in envelopes.. just today ive had 3 calls from people from the direct mail and also have 4 people that i talked to that is okay with me trying to wholesale there house.. im completely honest with them and very polite. My problem is i live in a very small town and don't know any buyers. But i will keep educating myself and hopefully atleast get one deal so i can show my 80 year old mother that i can make it as an investor.. i love RE and wanted to be an agent years ago but i aslo had a drug problem and wound up with some felonies.. now im over two years sober and my family is proud of me.. i try to help the home owners not irritate them.. my dream is to be like several of yall thats on this thread but until i can buy my own property i pray i can atleast find a buyer for the leads i have coming in.. thank yall for all the education and information. I learn alot from yall.. i love biggerpockets and i love the idea of being a REI
First and foremost congrats on turning your life around man. That's a demon in itself that you have conquered but I'm assuming you're in Jasper which i know isn't the biggest market, but I would encourage you to try out several REI groups on FB. There are several ppl who invest in low volume market areas. Just find as many groups as you can and see which ones have the most activity and see who buys in Jasper. Good luck
Thank you i just reactivated my facebook a few days ago just to be able to connect to REI groups.. im going to probably have to travel to Beaumont or Lufkin to find deals that buyers will jump on
- Wholesaler · Manassas, VA · Member since 2017 · 33 posts · 32 votes6y
Originally posted by @Christa McClain:Are wholesalers serious about the $10 EMD ?? I just spoke with one and when he said that I laughed at him. Not to be mean but really??
I know wholesalers who are able to put down $10, or $50, or $100 as EMD (Earnest Money Deposit) -- are you still laughing?
Why does it matter to you how much it is, if the seller and wholesaler agree to it? Especially if the wholesaler is up front with the seller about what he/she intends to do with the property/contract. - Member since 2019 · 8 posts · 1 vote6y
It matters to me because they offered that to me as terms for buying MY property and I find it ridiculous. So yes, I’m still laughing. How desperate.
- Rental Property Investor · Honolulu, HI · Member since 2018 · 335 posts · 251 votes6y
@Jay Hinrichs Do you think its possible to just sell one by one and keep rolling them all over into a DST using a 1031. Then when you have enough equity in that same DST trade up for a bigger multi family??
- Rental Property Investor · Fleming Island, FL · Member since 2019 · 85 posts · 104 votes6y
@Todd Wilson
Get your real estate license and do it legally.
- Investor · St Petersburg, FL · Member since 2014 · 231 posts · 221 votes6y
I haven't gotten worn out by the postcards yet. I don't get that many, and they go straight to the trash. But yesterday, I got a text asking to buy a property from Robert. You may notice, my name is not Robert. I've had the same cell phone number for 20 years, but Robert has been giving it out for a long time. I get a lot of spam for him, actually. CBD products, "personal enhancement" products, collection calls. Now wholesalers have found it...
- 6yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Originally posted by @Daniel Kong:
@Jay Hinrichs Do you think its possible to just sell one by one and keep rolling them all over into a DST using a 1031. Then when you have enough equity in that same DST trade up for a bigger multi family??
dont know have to ask an accountant.
- Wholesaler · Manassas, VA · Member since 2017 · 33 posts · 32 votes6yOriginally posted by @Christa McClain:
It matters to me because they offered that to me as terms for buying MY property and I find it ridiculous. So yes, I’m still laughing. How desperate.
Hey, you do you -- laugh all you want, it's a common reaction to change/novelty/difference.
"… he let them laugh, and little heeded them; for he was wise enough to know that nothing ever happened on this globe, for good, at which some people did not have their fill of laughter in the outset; and knowing that such as these would be blind anyway, he thought it quite as well that they should wrinkle up their eyes in grins, as have the malady in less attractive forms. His own heart laughed: and that was quite enough for him." - Charles Dickens
Good on ya for knowing what works, or doesn't work, for you -- I think I'll pay more attention to the folks who I have seen make a successful business with small EMD for wholesale deals.
Happy investing! - Investor · Granger, IN · Member since 2015 · 195 posts · 129 votes6y
Troy Albers Rental Property Investor from Fleming Island, FL
replied 1 day ago
Get your real estate license and do it legally.
It's legal where I live and in damn near most of the country, I would have a hard time sourcing properties if not for wholesalers finding them for me.
Christa McClain
replied 2 days ago
It matters to me because they offered that to me as terms for buying MY property and I find it ridiculous. So yes, I’m still laughing. How desperate.
Not Desperate. You know a lot of off listing real estate is a negotiating game right? I have bought a lot of houses with no EMD. And everyone of them closed.
- Flipper/Rehabber · Phoenix Arizona · Member since 2020 · 1k+ posts · 686 votes6y
Wholesalers dropping like flies in Phoenix, ask a wholesaler about ethic's!!!!
There will be laws against this action shorlty.
Get this one, I used to have contest with an agent to see how many of their sign we could gather in a week!!
I should get a vote from everyone of you for doing that!!!
- 6yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Originally posted by @David Avery:
Wholesalers dropping like flies in Phoenix, ask a wholesaler about ethic's!!!!
There will be laws against this action shorlty.
Get this one, I used to have contest with an agent to see how many of their sign we could gather in a week!!
I should get a vote from everyone of you for doing that!!!
you guys are the reason they now put them 15 feet up on the pole :) and or buy bus bench advertising or buy radio spots or buy the HWY signs and TV spots .. i have seen all of those lately..
- Member since 2018 · 49 posts · 6 votes6y
Originally posted by @Jay Hinrichs:
Originally posted by @David Avery:
Wholesalers dropping like flies in Phoenix, ask a wholesaler about ethic's!!!!
There will be laws against this action shorlty.
Get this one, I used to have contest with an agent to see how many of their sign we could gather in a week!!
I should get a vote from everyone of you for doing that!!!
you guys are the reason they now put them 15 feet up on the pole :) and or buy bus bench advertising or buy radio spots or buy the HWY signs and TV spots .. i have seen all of those lately..
===
Wow. I wonder if "open house" signs are strictly legal on the corners where I see them. But in any case agents taking down wholesaler signs seems like bad karma.
- Rental Property Investor · Tampa, FL · Member since 2020 · 77 posts · 42 votes5y
Originally posted by @Deanna O.:
Originally posted by @Todd Groom:
@Mark Przybysz I’m tired of the calls. And like I can almost be ok with a call one time. I’m nice and tell them I’m a buy and hold and never sell. What I hate is when the same person calls me every week. And I tell them over and over I’m not selling. That’s when it gets annoying.
Annoyance, or opportunity? There is actually good fun to be had with unwelcome callers;
If it's one particular wholesaler, pick an unreasonably high "make me move" price. I suggest 50%-100% over high FMV. Fake delight; "Sure! You know, I've been thinking about what it would take for me to sell that property! It's easy to manage, I like it and I don't really need to sell, so the price is $750k. I'll be using my own Realtor for the deal, of course. I really hate to disturb the tenants, so you'd need to deposit 10% earnest money up front in order to view the property, and I'll want to compensate my tenants for the inconvenience by paying for them to have a night out on the town, so about $250 of that earnest money will be a non-refundable viewing fee. Also if I sell this property, I'll have to line up a 1031 purchase for tax reasons, so it could be in escrow for quite a while until I find something else I REALLY like. You know, something that makes sense financially. Based on the current market, I'm guessing that could easily take 6-9 months. Does this sound like something you are interested in?" (if he calls back raise the your "asking" price by $10k each call).
That SHOULD get you on his "greedy whacko nut job" list. If not, there are a lot of fun scripts from the bad old days of telemarketers ("Wait! How did you get this number? Lieutenant! Trace this call!").
lol yes I have done that a few times. I have done it to the point I let a guy come out and actualy walk a property I had that belonged to a hoarder. Paid $30 k for this thing needed about $50 k rehab. Told him $120 cash its yours. not sure why but he never called me back again lol.
On another note it did pay off recently I have to confess. We bought a home advertised $70k seller dropped to $60 we offered $53 cash deal and got it. Had it a few weeks just didnt have time with a dozen other purchases. Laying in bed one night got a call wanted to buy the hoarder house. Told them, no but I have another give me $60k cash takes it. They googled it and accepted the offer on the spot. 3 weeks later had $60k. Hardest $7k (had cost in it) we ever made. Well, before Uncle Sam takes his cut.
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