House for Rent...What to do?

Question

Hey everyone,

I was driving through my neighborhood today and realized there is a house for rent up the street from me with a phone number to call. I am very new at this, so what would be my next step as a wholesaler? Is a house that is for rent something that I should look into? Or only houses that need to be fixed up?

Any help is greatly appreciated it! Happy Friday to everyone!

Tyler Beeson

Tyler Beeson · Answer

Tj Hines, thank you so much! That's exactly what I need -- someone to give me a dialogue of what to say. I don't want to say the wrong thing right off the bat and burn a bridge just by saying something stupid. One way for me to build confidence will be to learn the do's and don'ts while talking to potential sellers and buyers.

I love the willingness to help on here. It's a fantastic community, and I'm very glad I made the choice to join.

Tj Hines · Answer

Hey Tyler,

Houses for rent are gold mines. Anytime you see a for rent sign in the yard, you must definitely want to get the owners contact info.

When you give the owner a call this is what you should say: My name is Tyler and I'm calling about the property you have for rent. Although I'm not interested in renting the house, I wanted to know are you possibly interested in selling your property. If he says yes then great. If he says no......no problem, remember he is a landlord which may mean he has cash to buy properties. You can simply add him or her to your buyers list.

So the answer to your question is yes.....you always want to follow up with for rent signs they are good to build your buyers list and who knows you may just come up on a deal that way.

Hope this helps!

Tyler Beeson · Answer

Brendan J., I'm glad I'm on the right track! Thank you for the quick response. I contacted the house's agent, and she sent me more info regarding the house. What is the next step towards getting the ball rolling? Do I look into the house further or just get right into negotiating?

Brendan J. · Answer

You're very much on the right path. You don't want the house that needs to be torn down, and completely rebuilt. But it needs to be distressed enough that it discourages a retail buyer from walking in and thinking they will just paint and carpet it. What from these photos discourages retail buyers the most? It's not the flaking paint, or pink carpet; its the open ceiling and the fact that there is no kitchen to speak of.

I think that 119k might still be high, but you can always negotiate with these guys.

That type of house is what you're looking for. It's already listed on the MLS, and with the right ones, you can still make this work. But the real diamonds are the ones that mimic this house in disrepair, but you talk the owners into selling before they would end up on the MLS like this one.

Tyler Beeson · Answer

Brendan J., what do you think of this property? It's not the one I was talking about in my original post above, but is this more along the lines of what you were talking about? It's not a horrible house and has potential, but seems to need some fixes.

Just curious what your thoughts are! Thank you!

http://www.homefinder.com/DE/Wilmington/7-Temple-Terrace-97202216d

Brendan J. · Answer

Tyler, it never hurts to ask. I'm guessing that unless he's absolutely sick of the property, he won't let it go at a rock-bottom price.

You're right about the nasty houses in the neighborhood. TALL lawns, broken glass, boarded up, etc. Find out who owns these buildings (ask neighbors) and try to get in touch with them. These are the people that can be worked/groomed into giving you some very good deals.

Start making a list of addresses and visit your county courthouse to look up ownership (public knowledge). Call or write letters asking them if they would like to sell.