All Forum Posts by: Daniel Barba

@Stephen Morales that was great info, thank you for that 

Investment Info:

Single-family residence wholesale investment.

Purchase price: $50,000
Sale price: $59,000

First time investor was looking for an affordable property to buy and hold and start investing his money. This property was the perfect opportunity.

Investment Info:

Small multi-family (2-4 units) wholesale investment.

Purchase price: $225,000
Sale price: $239,000

Property manager has multiple units in the area, presented it to one of her investors and investor was ready to lock it trusting her property manager on the potential she sees on the Duplex

Investment Info:

Single-family residence wholesale investment.

Purchase price: $60,000
Sale price: $75,000

Developer in the area that is used to taking on big projects, saw potential in a full rehab property with ARV in the $180,000's

I’m currently wholesaling properties, sourcing deals directly from sellers and connecting them with investors, developers, and builders who see potential in the properties. It’s been a great way to learn the ins and outs of real estate investing while building strong relationships with contractors, private lenders, and other key players in the industry.

Ultimately, my goal is to wholesale while also flipping properties myself. Right now, I’m focused on stacking capital, growing my network, and refining my understanding of renovations and budgets. Some key things I’m working on to prepare for my first flip:

Building a solid contacts – Contractors, lenders, and real estate agents

Refining my rehab budgeting skills – Knowing accurate costs will help me stay profitable.

Understanding financing options – Working with private lenders

Learning market trends – Making sure I understand what buyers want to maximize resale value.

Preparing for the unexpected – Budgeting for unforeseen expenses to avoid major setbacks. Learn what those unforeseen expenses are and how to decrease the chances of ocurring 

For those who have made the jump from wholesaling to flipping, what are some lessons you wish you had known before your first deal? Would love to hear insights from those who have been through it!

Most of the property I wholesale are for investors that do fix & flips. I try to use at least 4 comps from the MLS of properties that sold with similar specs within the past 6 months in a mile radius. Sometimes I'm unable to find 4 good comps with those characteristics. If that's the case, what would be the best strategy to be able to provide 4 reliable comps?

I have a deal in Kerrville, TX. It's a large lot with a mobile home that's been sitting for over 45+ days, I've adjusted price, marketed in different platforms, I even listed in the MLS, but it has not moved. What's the best strategy to generate leads and get it sold?

I'm sure everyone that has tried to dispose a deal before has had investors challenge the ARV, with things like "your ARV is way off" or "I'm not sure where you are getting these comps from"

I understand most investors will automatically lowball ARV or use different comps than the ones I provide to justify a lower offer.

How do you handle this situation or what's the best way to comeback the pushback on the ARV?

Great question, Alex! 

When evaluating a property, the most important factors are its after-repair value (ARV), estimated repair costs, and what investors in your market are willing to pay. Looking at recent comparable sales in the area helps determine if a property has enough spread to be a good deal.

Once you find a property, making sure your contracts are solid is just as important as getting the right deal. Working with a wholesaler-friendly title company is key since not all of them understand assignment contracts or double closings. Your contract should include an inspection period to give you an exit strategy if needed, an assignment clause allowing you to wholesale the deal, and clear terms for earnest money. Verifying the title early is essential to avoid surprises like liens or disputes.

Hope this helps! Let me know if you have any specific questions.

For those who have flipped or renovated tenant-occupied multi-family properties, what’s the best approach to getting tenants to vacate? Have you had success with cash for keys, lease non-renewals, or other strategies?

Also, any legal or logistical challenges I should watch out for? I’d appreciate any advice or lessons learned!

Thanks!