If you’re a wholesaler, having a rock solid buyers list can be a tremendous help once you get a property under contract. Like I mentioned in my last post– one of the easiest ways to alienate the investors on your list is by repeatedly sending them deals that do not fit their criteria. To prevent this from happening, I recommend pre-screening your potential buyers in order to find out exactly what type of deals they are looking for.
Following is a list of questions that I always ask investors before I add them to my buyers list:
- Are you a cash buyer? If not, what type of financing will you be obtaining?
- What neighborhoods do you prefer to buy in?
- What price range (ballpark) are you looking to buy at in those particular areas?
- Are there any parts of town that you will not buy in?
- Is there a minimum number of bedrooms and/or bathrooms that you require, or a minimum amount of square footage?
- What type of construction do you prefer (wood frame, concrete block, etc.)?
- Do you only buy single family properties, or are you also interested in multi-family?
- Are you looking for properties to rehab and resell, or do you plan to buy and hold?
- Are you willing to do full rehabs, or are you looking for cosmetic fixer uppers only?
- How soon are you looking to buy, and how much time do you typically need to close?
By pre-screening your investors and asking them these ten questions, you will be able to get a very clear picture of what it is that they are looking for in a deal, and will reduce your chances of burning through your buyers list by sending out deals to your investors that do not fit their buying criteria.
Photo: Chris Griffith