All Forum Posts by: Andrew Mazzenga

Its a very good Point. however, dont i as the wholsaler want to maintain control of the transaction and set the price for the end buyer as apposed to let him/her give me a price? i mean if that were the case, what would their motivation be to go to the wholesalerin the first place? wouldnt they just bring their cash straight to the source in order to get a greater net figure as an end result?

Hello friends,

I have begun to put a buyer list together, its a little tougher than i intended but i think i will get to where i want to be if i keep plugging away at some different ways to get buyer lists going.

My question is, when i am finally comfortable with the buyer list i have created, I will begin to look at some FSBOs in order to be able to position myself to make a strong negotiation. i think that i will gain some confidence by just going out there and throwing some numbers around to see what sellers threshold is as far as how much i can bend them. I think this will give me a little more confidence when i actually analyze the subject property i want to put an offer on and come up with the proper numbers. this leads me to the question...how should i go about determining a "highest price i am able to go as the wholesaler?

Also i think that i will be able to add value to myself if i am able to put together a subject property general info packet for my buyer list. i would include pictures, neighborhood and school demographics, comps pulled from MLS and an estimate of the repairs and costs that would need to be done to the property to bring it to its highest value ( i would bring in a 3rd party contractor not involved in the deal or an inspector). I know that if i was on the other side of the fence as a property flipper i would appreciate this info... is this too much, am i thinking too hard about this?

Thank you so much for anyone that responds to these posts, you guys are such a huge help for people like myself who truly want to learn this business!!!

Andrew

thank you everyone for your advise! i truely appreciate it. building this plan has proven to be extreamly daunting and i am just now realizing how much of this industry i am ignorant about. as a matter of fact i was at my desk last night untill about 2am getting ready to pull my hair out bc i am unhappy with the progress i have made over the past 4 monsht on my plan. i feel like i am spinning wheel at this point. couple of other questions-

do you think thatr it would be worth it to hire a consultant to help build my plan and / or give it more strucrure and direction?

in wholsale deals, i understand that i am bringing 2 parties together with a prenegociated contract to purchase a home at a discounted price and using the negociated equity to more or less make all parties happy at the closing table- the problem is finding both parties- shall i develop a buyer and seller list? and get the 2 parties together that way? or is there a better means to find buyers? and negociating with sellers?

Hello,

I been interested in flipping properties for years, being raised in a family residential developers and mortgage brokers and bankers, i have seen the best of both worlds in real estate. and i have grown to be fascinated with the entire real estate industry which is why i am building a business plan to realize and develop my dereams of starting a real estate investment business. my even seeing the worst of the real estate market i am still fascinated and see unlimited potential to make money in this industry.

I began my plan in january of this year, and i am giving myself until year end to finish it. the motivation for the plan is to develope my ideas the correct way and also to attract capital investors in the future. i do not have very much capital at all to start, and i know that i will have a hard time finding an investor willing to put up cash to somone that is new to the game and does not have much skin un the game so i decided that i will begin by wholsaling contracts which has little barriers to entry and will allow me to put some money away so i can invest what i have built along with a capital investor to purchase properties to flip outright in cash. after i have done a handfull of thease flips i would like to phase in a few a propererty here and there to purchase, upgrade and rent in order to see the property cashflow.

I began my plan strong, gathering residential demographics, studying the real estate trends, looking at RE law, trying to come up with reasonable forcasts and projections....and the list goes on..... while working on my plan last night i became frusterated because of information overload, I have decided that i need help doing this. i have information everywhere and my brain is all locked up at this point.

Im curious if anyone else has come across this problem and if so, did you use a consultant of some sort to put you on track and to give your plan more structure? there is just so much info to find, process and anaylize... it seems to daunting to somone that thought they knew the industry but is quickle realizing that i have barly hit the tip of the iceburg...

Thank you in advance for your input and advice!

I have been building a business plan to start a real estate investment company for the past few months, i have been doing my due diligence in just about every aspect of the real estate industry as well. I believe that i will need to start by wholesaling properties in the Philadelphia region in order to build some capital to begin my venture and begin to search for capital investors a little bit down the road which will ideally lead to flipping properties and then to buying and renting properties out.

I have been having a hard time finding out about the laws around these wholesaling deals. Do i need to be bonded and/or insured to do these, and also i feel like i would need a real estate license since i am all but brokering a deal between two parties. Also do i need to start an LLC or and S-corp for thease type of deals? or am i able to just go to the closing table as an individual? This may be a stupid question but its worth the time to ask.

If there is a website that i could refer to i would be a happy camper. I have been a mortgage loan officer for about 4 years so i know that there are strict laws around real estate at the moment. the very last thing that i want to do is get tied up in a legal matter that i cant get out of.

Thanks so much for your time and input in advance!!