How to Find (& Work With) Real Estate Agents As a Wholesaler

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I know a lot of people think it’s best to keep real estate agents out of their wholesaling businesses. However, agents can be key if you link with the right ones. If you are a newbie, I would recommend you focus on finding motivated sellers. But if you have done a few deals, this could be a great strategy to increase your wholesale fees.

It’s easy to group a bunch of people together and say they are all bad — but I work with real estate agents in my wholesaling business who are investor-friendly, and they are GREAT. Finding the right ones will not be easy, but it’s totally worth it. By utilizing real estate agents, I make a extra $5-15k sometimes. And like us entrepreneurs, real estate agents do not work for free. I pay them their three percent. Sometimes I tell them to put their three percent on top, and other times I pay them out of my assignment fee. I notice when you do double closings, things go a lot smoother. If they are not familiar with assignments, I explain to them that it’s perfectly legal and I have a attorney we can use. It’s best to use your attorney even if you have to offer paying some or all of the buyer’s closing costs. There’s been times when their attorney won’t do assignments or do double closing.

Related: 3 Ways Wholesalers Can Protect Their Sellers (& Build Good Reputations!)

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How to Find Real Estate Agents to Work With

So where do you find these real estate agents without listing on the MLS? One great place is your local real estate club or meet up. You want to ask them, “Do you work with cash buyers?” If they say no, then you can politely end the conversation and move on. If they say yes, get their phone number and email. Let them know you buy and sell houses at a deep discount. And that you will send over some properties for them to look at. Be sure to discuss the most important thing to the real estate agent, which is their compensation. Depending on your spread, let them know they can place their three percent on top of your asking price or you will pay them out of the deal. Just be sure to talk about compensation to let them know they won’t be working for free. No one wants to work for free.

Another way is to network with a real estate agent and ask them to send you closed cash transactions in your city, zip code or area. Once you get that information, you can Google the selling agent to find their number. You can call the agent and say, “I see you have a buyer who purchased 123 Main St. I am actually selling the house at 456 Main St. Would your buyer be interested in that house as well? Also, could you put your three percent on top of the price?” Once they let you know their buyer is interested in subject property, you can tell them you have the offer to purchase contract and will do a double closing on this deal. If you are sending an email, put a disclosure on the bottom stating that the seller is selling the contract at the subject property. You do not want to mislead the agent and get in trouble.

Another free way to find buyers is to search your address in Zillow. Then look to the right and call those agents who advertise in that area. This works really well for low-end rental areas because the majority of sales are cash sales anyway. Like anything else, it will take work getting to the right agent. Just keep calling until you find the right match. If you come across an agent who does not want to work with you, simply say thank you for your time and move on. You don’t give up on dating from one bad experience.

Related: 4 Feasible Ways to Get Started in Wholesaling With Little to No Money

Conclusion

In conclusion, this is another strategy to put in your tool box. You don’t wont to be a one-trick pony. Also if you are in a state that is cracking down on wholesalers, then you might not want to do this — or consult with an attorney to use the proper language when dealing with agents. In my personal market, I do think this a great strategy because the majority of people think “real estate agent” when they want to buy a house. Real estate agents have access to people with a lot of cash that your average wholesaler might not.

Wholesalers: Do you work with real estate agents in your business? How do you find investor-friendly agents?

Leave a comment and let me know!

About Author

Nasar is a corporate failure who was saved by Real Estate. Nasar is now a Wholesaler, Rehabber and Landlord in the Charlotte area. Nasar may have just barely graduated college but can flip a house like an acrobat. Nasar's work can also be found at RealEstateDoru.com.

18 Comments

  1. Douglas Skipworth

    Great article, Nasar.

    The other side of the coin is that agents can benefit tremendously from working with wholesalers.

    Most investors want access to every deal possible and wholesalers oftentimes have the inside track on properties that agents don’t. As an agent, it is very beneficial to present deals to investors that other agents don’t have access to.

    Whether it’s an assignment or a double closing, as long as everything is properly disclosed to the buyers and sellers, wholesalers can be an invaluable tool for agents.

    Thanks for encouraging wholesalers to work with agents!

  2. Curt Smith

    Thanks Nasar. Why would an agent feed you a pocket listing that you buy at 60% of ARV? vs listing this house and getting 3% on another 30-40% higher selling price?

    I know that it’;s productive to get agents to feed you leads on expireds where the seller has too much debt to sell at what the market would offer. Thus making for lease option purchase or subject to if the monthly mortgage payment is much less than rent.

    But a wholesalable price from an agent fed deal? I don’t see that happening. How does it happen?

    • Nasar Elarabi

      Curt,

      It could be for multiple reasons. 1 it could be the house cant sell at retail due to it has alot issues which will make it tough to get a bank loan. So to save ever one heart ache and time, it would be best to call a cash buyer. 2. The seller needs money FAST and the agent has less work to do by calling a cash buyer. Those are just 2 reason however not every one is motivated by cash in some cases the time is better than money. I hope that helps and thanks

  3. david bokman

    My partner is an agent and without his assistance and knowledge plus access to MLS wholesaling would definitely be a challenge unless your already versed in the real estate community. Having a good agent who understands the market and trends is a vital piece to the puzzle if your trying to grow your business. Good article!!!!

      • Thomasine Scott

        Hi Nasar

        I’m a huge fan of your videos on youtube. I really enjoy them and I’ve learned a lot. Yesterday I listened to the bigger pockets podcast with you. Very motivating and really good info. Thanks for sharing so much with us newbies. I’m in a non-disclosure state (Texas). Is there a paid service that I can use for comps or is my only option an agent?

  4. NA Rodriguez

    Good afternoon,

    I’m a new investor in Houston Texas and need some advise on how to handle this situation. I have a client who lives in Mexico and owns a home here in Houston who is ready to sell. The situation is that the owner rented out their home to person “A” who was under a contract, paid their monthly rent through the bank and then moved out without informing the owner. Person “A” found another person to take over monthly payments and was pocketing the money from person “B”. The owners found out about this when the rent was not being paid in full any more and only the taxes where being paid. The owners finally got a hold of person “B” to find out what was going on and could not get any cooperation. Person “B” refused to sign a contract and pay the full amount of rent. Any advise on how to handle this situation or referrals to a company that could help evict these people would be greatly appreciated.

    Thank you in advance for any help with this matter.

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