All Forum Posts by: Jason Farmer

There are tons of exit strategies for a wholesaler, so this is really a broad topic.

But in my experience, i never tell the seller what im doing, here in So Cal, trying to explain to a home owner, that your a guy thats wants to take some of his hard earned equity and to put in your pockets, just for letting some other dude know you found him a propetry????

It wont go over too well for you...Some will bite, but most in my market will smell scam (simply because they dont understand)...

My advice to anyone reading this thread looking to be a sucessful and suffcient wholesaler, realize that your buyers and title company are your sucess....Your buyers keeps the wheel spinning. Connect with buyers that knwo what you do, that give you support, buyers you can trust. And buyers who have the cash, or the ability to get. If your buyers cant perform your business will die As long as your buyers know what it is you do, and you bring them good deals (because your not greedy) they will find a way to make it happend for you everytime. Real investors care about one thing and thats profit...I have only 2 buyers, and i have closed soooooooo many different ways, from simple assignments, doube close, LLC exchange...etc...As long as your buyer supports you, the seller dosent need to know anything....If you send leeters telling people you want to make an offer, or buy their property, be who you say you are...I have come to the honesty within myself that wholesalers are bottom feeders, when get the crumbs up from under the table, but here in So Cal those crumbs can turn iinto huge dollar sign..

Just my 2 cent...Never aimed to offend anyone...Peace and Love and Happy Investing

@Justin Finley 

You might need to go, and waste you money just so you can get the whole seminar faze out of your head completely....Theres no special trick or huge secrets anyone can tell you thats not already here on BP or youtube or google...Its 2014, this is the age of information...Than is a marketing genius, with alot of charism and confidence...I get it its easy to be drown in....These guys go from state to state sharing "the big secrets" which is always"the same secrets" which after time it menas "its no secret" with anyone willing to pay...

2 years ago, i knew nothing, had a 9-5 i hated, thought i need big bucks to invest....Fast forward to today, Investing full-time, tons and tons of knowledge and continuing to grow just from BP...I got my head into the computer and took control myself...Everything you need to know is free...

Just my opion, not intended to disrespect anyone else views....

@Danny Bower @Tim Leslie 

I use bulk mailing with the USPS, its cost $200 bucks a year, you have to send 200 pieces or more each mailing it was .29 cents but it just went up to .31 cents per stamp...I buy my paper at coscto, 5000 pieces for about $34 thats less than a penny per sheet, i buy my envelpoes at walmart, 100 envelopes for $1, thats 1 cents per envelope, and i just estimate what ink cost, i learned how to set my printer up to maximize ink usuage. And i pay roughly .05 cents per enveloped stuffed and folded...

I save alot of money doing it this way, but it is very time consuming starting out, its clock work for me now.But i does take some time still...

@Dan Costantino 

dont let this thread take you away from the original point @Michael Quarles said it perfectly, NCOA is all you need, you will still get mail returned but it will be alot lower in %.....

NCAO isnt that cheap, but its worth it, i 3 different levels of address verification software....And i dont get many returns..Its expensive,but its worrth it...It suggest a compnay named melissa data ( dont work for them, nor have i ever mentioned them) but they have a product called listware that intergrates with Excell...Its pricey but again it will get your mail to the correct place. There are few good compays also like peachtree data, but you can get really into it and run Deceased searches see if the owner is till alive, you can get deeper and do PCOA - Proprietary Change of Address. Which can go futher than NCOA......All these are great servies to use to get your mail more deliverable....Again this stuff can cost but its worth it. I use all of it....County records are usually very old and really out of date. Nothing is 100% but it can get you some where around the 90-95% range..

@Mark Dammeyer 

Yellow Letter can work, but buying them will take a nice chip out of your pocket. I personally have never used a yellow letter compnay, i can create my own letter plus mailing for less than .41 cents...Avergae cost for a yellow letter is over $1.00

It will take some of your time, but look at it if you sent 1000 letters it will cost you more than $1000 dollars, if you did it on your own it would cost less than half of that. But you might like to get it done with a simple click to a yellowletter company while you sit back and get phone calls....Its up to you...I send out out regular old letter on white copy paper, my trick is the envelope. I used nice pparty invite envelops that look like they might be getting a letter from their aunt Susie or somethin..., i dont personally think a yellow piece of paper with red writing will make some one want to sell. Its about getting them to open it..if there motivated, it wont matter if its pink,orage, blue, green they will call..

Just my experience

I account it to not having serious cash buyers, that you know and have worked with. I have 2 cahs buyers and i know exactly what they want, where they want it and how much theyll pay for it. So i only target those areas. I never say anything about repairs, or ARV, i give them an address and aprice. As TRUE investors they do their own due diligence and get thier guys to inspect the property. Neither of my buyers can give 2 cares for my estimates on repairs or ARV...As my only role is to bring them off market deals at a discount....

Theres bad whoelsalers, thier even worse cash buyers, who want a steal, i reahced out to a new buyer and this guy is trying to give me a $1000 fee on an equity deal with over 85k in it...We spend double that just marketing every month....It can both ways guys....

REI is cut throat and everyones out for their piece of the pie...Its just the way it is...And now that the internet has taken over and we have info at our palms, theylle be even more and more mess in the business...

I dont know why every time i read a your post i just hear kevin trudeaus voice 

@Jorvon Smith 

Im a Cali raised kid, but i get around, the midwest is where it all happens for me, i love investing there, i dont know if its the crazy weather or slow paced living...But one things for sure, be careful who you take advice from...Some people in this thread dont like competition, so they will tell you anything to keep you out their backyard... 

Anyone can sell their own real estate, anyone can negotiate their own terms and their own deal.  Investors without licenses do it all day everyday. Theres no difference than tieing up a property in Ohio (that you dont own) and marketing on BP and other sites as a property your selling, offering managing services, etc looking for a cash buyer..It dosent make any difference because you have a linsence.   Your acting as a wholesaler and usuing your lisence to justify it...@Jorvon Smith theres guys out here that do this..

Dont act as a realtor or broker or any kind of licensed real estate individual...Do things right and stay true to yourself, you'll be golden. I can get inot legal stuff but its a waste of time. Dont be bullied....

@Armegi Gil 

You did well on your first deal..23k is nothing to frown on...The So Cal market is just tough. Theres no special trick, no special wording, first class stamps, hand written, blah blah blah. You just have to get your letter (rather its yellow, green blue, or soaked in gold) there first...There's no way to predict rather somene will be motivated. Just get your letters out. You can be more targeted that will help, But if your not reaching those numbers, you wont get those calls. I get a high call back %. But my budget a month now (as i grew) ranges from 2k-3k...I make my own letters. 1000 letters cost me about $420 bucks, to print, fold, stuff and mail....

i would suggest (if you dont already) get you and LLC with a local number and send nice professional letters out in your areas, San Diego is much like Oragne county (where i wholesale) They are more upper class, and they want to see those letter heads and nice typed letters. Im upfront and honest, i tell them its a small family business, and we work form our home offices...

Personally id love to hear more about online marketing, my experience was awful, it was like a convention of tire kickers, whoelsaers acting as buyers, send my deals out, adding 10k on top...a 200k deal ended up at 275k after it was daisy chained. I put money into it, but it just didnt work out...I had to change my number 3 times...It was the worse experience for me...

$680 dollars produced you 23k......(you did that)....not many people on BP can say that....My first mistake after my first deal, was straying from what got me there in the first place. Perfect it, put some money into it, think about, strategize, and push those letters out...Your 23k above all your competition now...

Just my thoughts

I have boots on the ground, i live and wholesale in CA, but i moved my system to Kansas. Its working great. I found a wholesaler form BP who is a great negotiater, hes very smart, and he understands wholesaling. My job is to get the phone ringing, i market, I send the letters, postcards, web marketing, and his job is to take all the calls, from the 1st convo to the closing table. We have 1 phone number we use on the maliers it forwards all the calls to both our cells phone, (he picks up the calls not me)and every call is automatically recorded. So we both know when someone called so theres no behind the back type mess. I can log on and hear every convo...i can see every missed called, etc....

Its been great so far, hes a great guy, and we make a good team. The spreads are not as good as LA but its money. And im happy....I will be honest theres is one secreat im using...I find people who are great at one thing and lazy at another. I dont want someone who wants to work as hard as me....LOL He's my buddy so i can say this about him and he wont get offended because im sure hes going to read this...LOL

But he's salemans of the year, he can sell you your own shoes off your own feet.... but if it were up to him to get the phone ringing hed never get a call...But on the opposite i love marketig its my strength and i HATE talking to sellers in other markets...So there no me with out him and no him without me...Awwwww  LOL   Its easeir than you think if....But boots on the ground is important...