I'm considering quitting my full-time job, serving on the side to pay bills, and dedicating 30-40 hours a week researching deals and cold calling. What is the time commitment required to be a successful wholesaler? (I would consider success 80k in a year).
With no real estate experience, your chance of failing/bailing out/quitting after a few months is about 95%. There are more wholesale wannabes now than there are potential wholesale properties.
@Adrian Gudino What's interesting about wholesaling is you can go your first 3 months with no deals and then all of a sudden get 3 deals in month 4 that bring in $50k.
This is such an open ended question which makes it hard to give a real answer. Whatever time you expect to dedicate (e.g. 30-40 hours), I would add +25% to that number for your first 6-12 months.
@Adrian Gudino This question is similar to one I get all the time, "how many letters do I have to send before I get a deal?" It's impossible to answer because there are so many different variables. If you work really efficiently and are super focussed, you could spend less than 10 hours a week. On the other hand, if you lack focus, don't have a plan, and basically just throw stuff against a wall to see what sticks, you could spend many hours with no results.
If it was me, I wouldn't quit the FT job just yet. Spend a few hours a week learning what wholesaling actually is and see if it's right for you. There's no doubt you can make money but most people give up before ever seeing that first deal.
I wouldn't quit just yet. I'd keep the job and start marketing on the side and trying to pull a couple of deals out while you're working. You really could potentially do 80k really quickly with just a couple of big deals or you could work 80 hours a week and come up with nothing. Spend the time learning your area and talk to other investors.
Extra YES to all the above. I started learning how to wholesale In January. Spent every day, still do, looking online for deals and/or driving for dollars. My biggest challenge has been in locating property that investors are interested in. And of course locating investors or buyers. I too was ready to quit until I closed my first deal. Gave me a little bit of motivation to keep trying. I'm retired, so I really have nothing else to do, but if I had W2 job, there's no way I'd quit and do wholesaling, I'd go hungry. Plus it takes a LOT of time, dedication, determination, most of all patience. Take away any one of these, you're sure to fail. I'm working my 2nd deal now, it's been nearly two months, not even close to closing. So to address your question, do what you can as often as you can, learn as much as you can. But don't quit your full-time job.
If you'll notice on BP. You'll see a lot of people say "New to Wholesaling". Reason is most people quit, you'll see very few seasoned wholesalers.
WAIT WAIT WAIT...
Everyone just stop.
Let me paint a picture for you here.
I used to be a robotics researcher, scientist and engineer.
I have worked with NASA, IHMC (The Institute for Human and Machine Cognition), and IIT, Istituto Italiano Di Tecnologia.
I have worked with the brightest minds on this planet. Not an exaggeration, 100% fact. Extremely intimidating. We invent technologies you only thought possible in the movies.
To give yo an idea of the scope how serious and impactful our work is:
The dude in the vid is paraplegic, and there you see him walk again.
Now, why am I telling you this?
So 2 things.
1) No one can answer the question of how much dedication or time you need to put into it.
A guy like me is not the same as 97% of the people out there on BP.
The amount of hours it takes YOU to become successful is not the same as the amount of hours it would take ME to become successful. So don't ask that question. I am bigger better smarter more driven than you or anyone on this damn board. Whether this is true or not is COMPLETELY irrelevant. It is ME that needs to believe it and make sure this is and stays true. Period. Understand that!
Ego much? Friggin DAMN STRAIGHT I got a damn ego. Everyone should!
You just need to be honest with yourself and ask if that Ego is deserved and justified. If not, make sure your ego is aligned with your abilities and skills. Then there is NOTHING wrong with having a damn ego!
2) You are setting yourself up for failure.
You are asking what is the minimum I have to do to make it.
Is there anything else I can do to become successful. How can I do the most I can possibly do to become successful.
See the difference? It is a mindset change when you see the load you need to do differently. Instead of asking, how much time do I need to work on my business so I can be successful I asked the question:
How much do I really need to sleep before I get screwed, or do I really HAVE to take breaks to shower poop or eat? Is it REALLLLY Necessary?
This is MY story:
I quit my job FIRST, and only after that, I decided to check what Real Estate Investing is about. It was do or die for me. There was no plan B. I had to step up. Do I recommend that to anyone? Of course not. I did it this way because despite my huge ego, I KNOW my worth I know what I can do and accomplish and I have already accomplished more than most people on this planet ever wil. Do you REALLY friggin think "Real Estate Investing" is going to beat me? Oh please bish! Oh HELL no!
Mindset is important.
And to show you what MY mindset and my damn ego as done for me? Want to know where a guy with a mindset like me has done in 1.5 years?
I am not talking out of my butt. Success is a mindset thing, not just action thing or counting hours working.
Hope this really sets a lot of you in the right direction as this is something I CONSTANTLY see. You all REALLY need to start becoming smarter, more intelligent, more analytical, and THINK about things before you just do crap just because 300 other clowns are doing the exact same thing.
Love me hate me, don't care, just take my advice and start changing your life and become successful through a logical and analytical system. Not by luck!
I would definitely keep the job for a longer while you learn the business. It takes some capital upfront for marketing, unless you're hustling (ie. door knocking, cold calling) for leads. As far as time goes, I would say if you're doing it yourself, it could very well take 40 hours plus building lists, researching, taking calls, making calls, going on appointments, etc.