Beginner of wholesaling

10 Replies

@Skylar Martinez the best recommendation I have is to take action. I know there is a lot of information on how to wholesale real estate out there and that it can be overwhelming to figure out where to start. At it's basis, wholesaling is connecting with sellers. So the best action to take is to get in touch with those sellers by whichever strategy you are most comfortable with, i.e. cold calling, direct mail, text blasting, bandit signs, pay per click, etc. 

In our current market, if you find a deal you'll have no issue finding a buyer.

Man that’s a hard question to answer. The better question is how long have you been researching it and what exactly do you need help with?

@Skylar Martinez  I don't want to confuse you with too much information since you're just starting off, so I'll give you two sets of action steps and let you choose based on your situation.  '

Option A: If you have money to pay for marketing

1) Pull a list of motivated sellers & skip-trace them to get their contact info. Motivation can be either emotional distress, situational distress or both. An example of emotional distress would be a seller from a probate list (meaning the owner of the home just passed away and now the family is in charge of liquidating assets). Situational distress would be a seller on a pre-foreclosure list (this would be emotional distress as well). 

There are so many different sites to pull lists from and then skip-trace them elsewhere, however you can use a site like batch leads to just do both in one spot. 

2) Choose your marketing campaign. 

Cold Calling, RVM (Ringless Voice Mail), SMS, Direct Mail, etc. There are a bunch of ways that you can market to these specific leads and then other ways that you can bring in leads without lists too such as bandit signs, PPC (pay per click), FB adds, however these also bear a cost. 

Driving for dollars is another great method but it also bears the cost of gasoline and wear & tear so I'll include it in this option as well.

- Eventually if you stay consistent and keep drilling down on those leads you WILL get a deal. I promise you. Just have an abundance mindset and don't get discouraged throughout the process and one will fall in your lap eventually. 

HOWEVER, when you do get a deal - you must be prepared to sell it. So make sure throughout this entire acquisitions marketing process, you're also reaching out to Realtors that have recently listed/sold flips on the MLS to establish a line of contact so that when you do have that deal, they'll feel inclined to present the deal to their buyers. You can also google local flippers in your area and reach out to them to see what they're in the market for. Do these two things on the daily.

Posting your deals in a local FB group also works wonders for getting them sold. 

Option B: If you have absolutely no money to pay for marketing

The easiest way to get a deal with no money is to simply build your buyers list using the strategy I just mentioned above, and then reach out to other wholesalers in your market and ask them if they need any help moving some of their inventory. 90% of wholesalers who are focused on acquisitions (getting the deal) drop the ball when it comes to dispositions (selling the deal). You can find them by simply calling those "We Buy Houses" signs you see around your market or googling how to sell your home fast in your area. You'll find some, trust me. 

If you can provide value to them by moving their deals, they will have no problem cutting you some of their assignment (wholesale) fee with you. Granted, your profit margins will be lower, but a small piece of the pie is better than none at all. 

This is an extremely watered down explanation of the business but this will definitely get you headed in the right direction. You can also check out some of these guys on social media as they're great resources for information on wholesaling:

Pace Morby, Brent Daniels, Max Maxwell, Jamil Damji, Steve Trang, Chris Jefferson. That's just to name a few, there's plenty of others I haven't mentioned but these are some of the bigger guys with great value and a lot of content. 

Imperfect action is better than perfect inaction. Don't worry about being perfect in the beginning, and don't over analyze your approach. You're going to stumble along the way but the lessons you'll learn will be worth their weight in gold. Just remain consistent and you'll have a deal in no time. 

God luck!!

Well - three main things should be considered. Time, budget, and a plan. You can’t do one without the other. Do you have all those three?