All Forum Posts by: Dustin P.

You won't be getting 1% rule in most of Phoenix, but should be able to get .75% if you find a good deal. Although rents are increasing a good amount right now.

Coolidge/Casa Grande you can get 1% however

I'm already starting to see Zillow owned houses on my Zillow searches popping up as "Hey, we think you'd love this one!" haha

Not difficult but hard on your knees and very tedious. For how cheap it is to get tile laid (Because it's essentially unskilled labor) I wouldn't do it myself personally

I'm sure you walked it beforehand, did it feel like 900 square feet or 1800 square feet? Did the wholesaler present an appraiser's sketch or some sort of drawing to show the 1800 square feet?

If not, I probably wouldn't have put a down payment down.

@Donald Kellogg Thank you for the mention and I appreciate you working with us!

@Shiv Jey Let's connect this week

I would look into what people are buying for in your area and back into your numbers. That deal is 75% of ARV minus repairs which would be scooped up in a heart beat in Phoenix. But in other markets this may not be the case.

Percentages are very market specific and there is no such thing as an across the board 70% rule.

You don't, you pay a real estate attorney to do it

It shouldn't matter as long as the deal makes sense. If the deal doesn't make sense they should have never put the property under contract in the first place.

I reduced the price once on a property by 3k because they didn't like how much I was making on it. Per the contract I could have just kept their down payment if they didn't perform and resold the deal to someone else, but I'm not in the business of taking down payments and I wanted to salvage the relationship. 

Pigtail with copper wiring. It'll be double the cost of your normal switches/outlet change outs but still not a big deal overall. 

IMO I would start by bird dogging for an established wholesaler in your area. Starting out you're not going to know how to determine value, how to estimate rehab costs, how to locate motivated sellers, etc. You don't want to get a property under contract just to have to cancel and waste the seller's time because you didn't get it at the right price.

Contact a local wholesaler and ask to be mentored by them. Drive around neighborhoods and look for distressed / vacant houses. Get a pre-foreclosure list and start calling people. Once you find someone who is motivated and understands that you can help them sell their house for cash (Obviously let them know your intent to make a profit) then set an appointment and let the wholesaler run it. See how he evaluates ARV, rehab, how he talks to the seller, how he makes sure it's a win/win for everyone, etc.

Wholesaling correctly is very complicated, expensive and time consuming. You shouldn't jump straight to getting properties under contract if you don't know what you're doing.