"wholesale" deals that aren't!
Hello everyone. This is my first blog "post". I am an active, well, actually very active real estate investor. I use every resource I can to find the next "big" deal. I look at 1,000 deals and buy 5. I have noticed an increasing amount of junk listings on sites like craigslist. It is bad enough when realtors auto-spam us with listings we don't want, now we have to slog through literally hundreds of posts for the same bad deals.
There are tons of "noobs" out there who have bought some of the worst possible properties (for pennies on the perfect condition "retail" dollar) and are marketing them on the internet like they are a gift from heaven to the real estate investor. They may have been a fair deal (if you like doing complete rehabs) when the new seller bought them from the auction. But they have been vacant for additional time and any disrepair situations have become worse. (I always say that the houses don't fix themselves)
I love when they add "ARV" and "ROI" and "will rent for" statistics to the ads. A real investor doesn't take someone else's numbers and use them. A real investor either knows his market and his numbers or investigates.
I will end this post with a thought- anyone who posts a property in a real estate for sale ad as 'wholesale deal' on a free public website, if not offering anything that is wholesale or a deal.....
what is your opinion?
bobby....
Comments (3)
Bobby, if your property is listed on craigs list by someone else or a "junk" listing, then it's a good bet it is on other free sites.We have this happen all the time,usually by another agent wanting buyer leads. Once a week, we have to do searches in our listing zip codes to make sure someone has not "scraped" out site. What's so sick is we can all make money in this market by doing it the right way.
Mike Morrison, almost 15 years ago
Mike Jakobczak, almost 15 years ago
Hey Bobby, First of all, love the article. I wanted to post something on this because I love calling out the "so called Wholesalers". It drives me crazy when I see a property that is advertise as a wholesale deal and 9.9/10 times it's a complete waste of time to even click on the ad. I don't know who buys and encourages them to continue. I find that the professional tend to not need to advertise to public free sites. They have a database of buyers. They have a great record of successful deals and investors are on wait for the next deal on the books. I can't speak as a professional wholesaler because I don't do much wholesaling. It takes me many hours to search through properties and areas of interest to find a great deal. By the time I set up a power team and check my numbers I have the property in contract at a great price, I tend to close the deal myself, because I know my numbers and there's a great profit to be made. But when I do offer properties to investors, by the time I send out the deal, you have all the facts which you will double check. Contract bids, appraisals, ARV, Closing, hold and buying cost, etc. This is what I like to see, so it's what I offer to the buyers. Seems to get great feed back from the investors that have looked or bought some of these deals. It makes me want to focus on wholesaling because I think there's too many "junk wholesale" deals out there. Great article!
Mike Jakobczak, almost 15 years ago