All Forum Posts by: Jessie Dillon

join local FB groups for investors and post, and go to all the local REI meetups and talk to every single person :)

people teaching others how to do what they do, will never pose a threat to their own livelihood (re: competition). this is because for every 20 people who sign up for a course like this, maybe 1 will actually do something significant with it, and they won't be able to bring the special sauce that is pace morby (for example)'s personal touch. "no one can do it like you."

i don't think wholesaling is any harder than it seems. does it actually require some work? yes. but it's pretty simple. and it doesn't matter if markets are saturated. they're usually saturated with crappy wholesalers who don't even answer DMs. 

it's very possible that some who teach wholesaling, make more from courses than they do from wholesaling, but that doesn't mean wholesaling isn't profitable. if anything, to me that'd mean that they're just insanely good at marketing their course BECAUSE they're living proof of concept, and have higher profit margins on online courses (damn near 100%).

i just did my first wholesale deal kind of by accident, it was a JV deal and i walked away with $48,400 after investing about $4500, so it definitely 'works' lol. and i didn't buy a course, i JV'd with someone who did.

if the jail time was just for the marijuana thing and not for hard drugs, violence, or gang activity, etc., then i wouldn't worry about it. HOWEVER, i'd keep in mind what the others living in the home might think. will they feel unsafe or deceived if someone with a record is approved as a new tenant? could this lead to turnover in the other rooms? were any promises made to them as far as what qualifiers are used to fill the other rooms in the building?

doesn't sound totally out of the ordinary. i think most people charge the full first month's rent for new tenant placement, and nothing or a flat fee for renewals. if you like the company and trust them / believe in them, this should not deter you. hope this helps!!

hey danielle! i know someone who could be 'boots on the ground' for you in philly if you decided to invest there. i'm located in MA, and just started investing in chicago (closed on a 13-unit there in july). long distance has been good to me so far, as cashflow has gotten really hard to find in my area. would be happy to talk shop about long distance REI anytime or support you however you need! feel free to DM me. thanks!

started this year wanting nothing to do with wholesaling real estate, and just made $48,400.00+ on my first-ever wholesale deal... and i only did half the work! 

wholesaling has a bad reputation, for more than one reason. but like anything, it can be done WITH integrity, and WITHOUT integrity.

back in march, i met my now-jv-partner jon stratton from unlocked home project when he reached out about buying my vacation rental in NH (i had it listed 'for sale by owner'). he sold me on the idea of selling to him on 'creative financing,' so my first thoughts obviously were "how did you convince me to do this?" and "how can we work together?"

before even closing on the sale of that NH property, we kicked off a direct mail campaign together (4500 mailers), targeting the following list, in hopes of finding a good offmarket creative finance deal for *me:*

-owners of 5+ unit multifamilies in MA

-owned 15+ years

-with 50%+ equity

my job was to get the mailers out, take intake calls, and start learning about what each seller is going through, and jon and his team's role was to negotiate, get the property under contract, find the end buyer, and coordinate the sale. we got a solid 20-25 leads from this, and got 1 under contract. it wasn't ideal for ME because the sellers were not open to creative financing & i am not into heavy reno jobs, but it made for an amazing wholesale deal!

we did have some hoops to jump through during the closing process, so jon's experience came in clutch, and we walked away with an assignment fee of about $97,000 to split. while this was MOSTLY profit for us, we did have ~$1200+ in kickbacks to pay out, jon has a team to pay, and i'd invested about $4500 (and blood/sweat/tears) in the mailers. 

this deal was a huge win for everyone involved:

- the seller got exactly the price they wanted, no inspection, as-is, no realtor fees, and got to sell with 2 non-paying tenants still occupying the property

- work was created for jon's team, my assistants, the closing company, the attorneys...

- the end buyer negotiated some big discounts with us, and now has HUGE potential upside

- months of work will now be created for the end buyer's renovation team

- the non-paying tenants were offered cash to cover their moving expenses + then some

- 3 people got paid kickbacks for helping get this deal to the finish line (2 RE agents and 1 cold caller)

- 6 future tenants will have newly-gut-renovated units to live in

- the sellers will get to see this building live up to its full potential in 6-12mo, beautifying the town they live in...

the list goes on!

that said, is wholesaling part of my overall RE strategy now? maybe! my primary plan for this year is still to add 50+ rental units to my portfolio with 95%-passive equity partners, creating wealth-building opportunities for those who don't have the time/knowledge/confidence to do it alone, BUT... wholesaling fits into the plan like a perfect puzzle piece, to add cashflow while my value-add multifamily deals are ramping up (1-3y timeline). 

here's where i say thank you to my friends and family who hand-wrote envelopes for hours on end: THANK YOUUUUUUUUUUUUUUUUU loveyou

next up: another round of mailers!

NUMBERS DEEP DIVE FOR THOSE INTERESTED:

4 units that the owner started converting to 6

2 tenants occupying a portion of the property, both non-paying

under contract: 150k

end buyer's price: 250k

ARV: 850-950k once conversion to a 6-unit is complete

MY ADVICE FOR ANYONE LOOKING TO GET INTO WHOLESALING:

- don't be afraid of expensive markets. big prices = big profit margins.

- partner with someone who knows what they're doing! half of something big is way better than all of NOTHING!

- invest time into education. i'm loving jamil damji's new book on wholesaling.

I would not charge for the lawn or wood floor. If the fridge can be made presentable, I would not charge for that either. I guess if you're in an A-class area, the fridge is a MAYBE, but otherwise as a tenant I would think it was unreasonable to dock the security deposit for that. Especially if the tenant has been there for a long time. 

i agree with the person above, to have a new PM company go there ASAP. @detroit_investor on IG is the first person i think of who's a big shot in the detroit investing scene. maybe DM her and ask for a rec for a company! 

hey neighbor i'm in south/central MA! really only a RI landlord/tenant attorney can answer this question for you. there will be many little details/factors that change things. RI is not known to be a super tenant-friendly state so the answer may not be as bad as you expect. a good attorney should at least give you their 2 cents without charging you. as far as renting it in the future, at least the bedroom does need an egress window. could you get some quotes on having this done? you wouldn't have to legally convert the basement into its own unit if the lease states that they're renting a room in his home (vs renting a separate unit). 

1. How did you hear about BPCON and what motivated you to attend? I think on the podcasts, and I'd just started learning about RE when BPCON 2021 happened, so I was missing that one right as I was falling down the rabbit hole, so I knew I wasn't going to miss the 2022 one. What motivated me to go was, I knew a few other investors that were going that I wanted to spend more time with and learn more from. The speaker lineup was stacked with people who I really looked up to. I like traveling. And I wanted to bring my husband to hopefully fire him up about REI.
2. In what ways did BPCON contribute to your real estate investment goals? It gave me the push and confidence I needed to go seek out cash providers for my next few multifamily deals. I found a great partner right after and we just closed on a 13u together.
3. Were there any specific sessions or workshops at BPCON that you found valuable? The targeted networking groups. The lunch where you sit at a table labeled with what you want to talk about. The panel discussions.
4. Did attending BPCON help you make valuable connections within the real estate industry? It would've if I was better prepared socially. I didn't realize just how much value is in the networking. I'll be better prepared this time and go in with the purpose of meeting as many people as possible who fit xyz description.
5. Did you implement any strategies or takeaways from BPCON in your investment approach? Yes it opened my mind up to partnerships and that has honestly changed my life this year.
6. Would you recommend BPCON to fellow real estate investors, considering the investment of time and money involved? Absolutely. I'd say to buy the basic ticket (no extras), set an intention and come back to it every day (what do you want to get out of going), and network your head off.