Seller or Buyer who should I find first?

Question

ive been working at getting a wholesale deal for months now with no avail. I get opposing advice like that one should work on leads to find distressed properties, get it under contract, and then finding a buyer; and then im told to find the buyer first, to find a local buy and flip investor and find distressed properties according to the buyers criteria. I am lost. What advice should I follow or is there any middle ground some of you could teach me. please help, I NEED to make a wholesale deal.

John Barrows · Answer

Hahahahahaha, you guys a funny...... Buyers will come out of the woodwork when you put the word out that you have a wholesale property. A seller is the easiest to find, just drive around, look at properties or RUN DOWN PROPERTIES. Bingo, you've got a seller. Many of the people giving advice have no concept of KNOCKING ON DOORS. If you read this message right, you've just been taught how to wholesale and find a property.

People use letters, road signs, car signs and many money spending marketing techniques to generate a piece of business. I've always found when I want a check, I go knock on a door... or find a run down property.... I get paid...

Todd Rasmussen · Answer

@Cirilo Villar

I've met three people in the last week that could buy any three deals you could find and close tomorrow. This area is full of money. If you get a real deal the buyer portion will be easy. For meeting buyers, just go to local REI events and meet people. The old guy that looks nearly homeless is worth more than you can imagine.

Lydia R. · Answer

@Cirilo Villar Preforeclosures are some of the most unmotivated leads out there. These people want to stay in their homes, they dont want to sell. By the time they realize that they have to sell its usually too late. You should definitely be looking at a different, more motivated category of leads. Divorce, probate, evictions & vacant houses are where you should be looking. Definitely quit chasing foreclosures!

Cirilo Villar · Answer

@Lydia T.

Well I was cold calling a pre foreclosure list of leads I had and also driving for dollars

Lydia R. · Answer

@Cirilo Villar Getting your first deal is the hardest part. But dont ever be so desperate to do a deal that you try to force a non deal into being a deal. Run your numbers and make the offers that make sense. Real estate is a numbers game, if you talk to enough people you will come across a deal. What kind of marketing are you doing right now?

Barry Pekin · Answer

@Cirilo Villar,

Seriously listen to these guys.  You have the best of the best already offering their advice.

Finding buyers is easy.  I suggest attending local REI meetings and let them know what you're doing.  Talk to them.  Get cards for as many as you can.  Then follow up with a call to go into more detail.  Let them know where you are in your wholesaling career, and find out where they are in there RE career.  Find out what they want.  Find out how they get funds.  Build a good solid list.

And always keep looking for sellers, too.

Jerryll Noorden · Answer

Finding a seller first does not equal dishonesty.

If it is, then you are also dishonest finding a buyer first when you have no contracts to assign. To a buyer you are then also a waste of time.

What you do, is do both. Actively try to get a contract signed, WHILE you get buyers on your list.

When you have a contract signed  (the right way), it is more than easy to find a buyer.

Hell, buyers beg me all the time to be on their list, without me even looking for them. Why? because they know I have the deals.

So.. when you have a deal, buyers will come.

Are you really going to say "nahh I'll pass" when you come across a home-run deal because you have no buyer yet?

You better not because I will ground yo-ass

Greg Dickerson · Answer

You should definitely focus on cash buyers first for a number of reasons. No buyer no deal. You can have all the great deals in your area but with no buyers you have nothing. Also when you talk to the seller you want to be able to tell them the truth and with confidence there you you can get the dream done. If you have no buyers you can not honestly assure them you will get the house sold for them.

You always want to be honest and tell the sellers what you do. That you find properties for investors for a fee.

All that being said you need to have at least 20 to 30 real cash buyers that have proof of funds and a solid track record of closing. You can find them at auctions, through Realtors, real estate investor groups and meet ups online and off, google search etc. You can ask title companies and closing attorneys who the cash buyer investors are that are looking for properties, research transactions and sort by cash and then multiple transactions by the Dane person or entity or buyer address.

Seller or Buyer who should I find first?

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