How do you go about this and what tips do you have for working with agents remotely to wholesale a property
That's a difficult question because it's pretty general. It would be easier to answer if you had more specific details on your mind so as not to confuse the issue.
I understand how tough this is for you starting, so I'll give a general answer that will hopefully help, and if you can clarify your questions, I'll be happy to answer them later.
That said, there are things you know. Like I know how to surf.
There are things you know you don't know. Like I don't know physics.
And there are things that you don't know you don't know. I can't give an example because I don't know what I don't know.
Seems like you're feeling like the last one. Am I right?
So, here are a few basic things about wholesaling that can help you stay focused and not overthink.
Most people have it all backwards.
This is how most people approach wholesaling:
- Find the properties.
- Find buyers for the properties.
But this is how the most successful wholesalers do it:
- Find the buyers.
- Ask them what they want.
- Find what they want.
- Sell them what they want.
If an investor says that they purchase 3/2s in 92122, find them 3/2s in 92122.
One way to find more deals is by using different tactics than the competition.
For example, everyone and their mother wants 3/2s with 1200 sqft. So, there's a lot of competition.
But what if you searched for 2/1s with 1200 sqft where the buyer/investor could easily add a bathroom and a bedroom?
The seller can't charge as much because fewer individuals are in the market for two bedrooms. But even with your $10K wholesaling charge, your buyer/investor would still make far more than purchasing a 3/2 where the rate was increased from competitors.
Now, if you're looking for the perfect spot to start your investing journey and learn everything there is about wholesaling houses, check out that book store over on BiggerPockets. They carry all sorts of awesome books - even ones with really cool methods like BRRR (you know what I mean) and wholesaling!
And here's my most important piece of advice: don't just read these responses and the recommended books, take action every day starting today.
Every day, pick up your phone and call people.
Start out with a few real estate agents. You want to find someone who deals with investors because you are looking for help from them as well!
Just be aware that a significant percentage of them are going to tell you wholesaling is illegal and that you need a license. Of course there are some laws you need to follow, but it's legal in every state but Illinois.
The National Association of REALTORS has a video about it's legality on their site: https://www.nar.realtor/window...
So, if you get a real estate agent that says it's illegal, just move on to another.
If you can find a good real estate agent that works with investors, they'll bring you deals.
Then start calling property managers and ask them if any of their clients have said that they want to sell.
The point is that if you polled all of the successful people on BiggerPockets, I bet that they would tell you that taking action is crucial and it's unfortunate how many people let worry get in their way.
Likewise, they'd caution you about "Analysis Paralysis," which is essentially spending so much time looking for the perfect solution to a problem that it becomes impossible to find one. I'm absolutely guilty of this too and it actually slowed me down.
I should have known not to procrastinate.
If I had taken simple, imperfect action, instead of overeducating myself, when I started back then, who knows what success might’ve been waiting for me?
And people fool themselves by thinking they're "just learning" when they're really using education as a reason to fear moving forward.
Only a clueless agent is going to let you tie up a property with a " ash offer" and no legit POF in Your name. Tip.....the MLS is a Retail market and hundreds of agents/buyers have already looked at whatever listing you are going after.