Why Wholesaling Real Estate?
Why is real estate wholesaling the vehicle of choice for making a quick buck in real estate? There are so many reasons to consider “wholesaling” as the absolute best way for a new investor to make an absolute fortune in real estate!
The most compelling reasons are:
1.) Zero risk
2.) The investor does not need money
3.) There are no rehab or repairs or contractor nightmares to deal with
4.) There are no tenants to destroy your property and your sanity
5.) No ownership of any real property (no taxes, no utility bills, no maintenance account, etc.)
6.) You don’t need good credit
7.) You don’t even need a job
8.) And there are several more … but you get the idea!
I started wholesaling homes in 2001 and, to date, I have wholesaled over 450 homes, all within a 20 mile radius of my home. I consider myself an expert on the subject. I love this business and can’t imagine wanting to do anything else for a living ever again!
Here’s a quick overview of the wholesale system:
1.) Find a motivated salesperson who sells at a big discount
2.) Put your home under an assignable sales contract between the two of you.
3.) Find a motivated buyer / investor who wants to buy the house from the motivated sellers
4.) Assign your sales contract between you and the original motivated seller to your new motivated investor / buyer for a fee (assignment fee).
5.) Go to the closing and collect your fee (allocation fee)
6.) Repeat often!
That’s! This overly simplistic, but real chain of events can easily be learned by anyone! You could have completed the above deal with no money, no credit, without even a job! The deal had no risk to speak of! I never took possession of the house, the interest passed directly from the original owner directly to my investor / buyer and around me!
If the house needed repairs, guess what, my investor / buyer will be the one to do the repairs, NOT ME! If the house is to be rented to tenants, that load is also the new owners’ luggage and not mine.
What I probably like the most is the fact that I didn’t need any of my own money to structure this deal! Now, you may need a small deposit to keep the house when you write the sales contract with the motivated seller. I usually give a deposit of $ 100.00 or less (security deposit) to make the sales contract legally binding, and that’s it! That is all the money I will need to put this deal together! On many occasions I have put in only $ 1.00 to secure the sales contract! Motivated sellers don’t look for big deposits!
These are not conventional agreements, in which we are the end users of the properties that we are hiring. We are not going to the bank to try to get a mortgage on these houses. Therefore, we will never need the traditional 10-20% initial deposits that conventional buyers must deposit! The guy who is doing that in this example deal is our investor / buyer! Is it starting to make sense?
Look, I’ve done this over 450 times in 7 years! I have an exact science that I adhere to too! I’ve built a “wholesaling / flipping machine” that keeps churning out deal after deal for me.
How much do these assignment fees pay? Well, I have an average of $ 7,500.00 per offer! Now let’s put this dollar amount into perspective: 1 offer per month at $ 7,500.00 = 12 offers per year = $ 90,000.00 per year 2 offers per month @ 7,500.00 = 24 offers per year = $ 180,000.00 per year 3 offers per month @ 7,500.00 = 36 offers per year = $ 270,000.00 per year 4 offers per month @ 7,500.00 = 48 offers per year = $ 360,000.00 per year.
A professional wholesaler can easily make 50 to 75 a year. A part-time wholesaler can easily make 6 offers a year with no problems (1 offer every 2 months!) That’s still an extra $ 45,000.00 per year! What would that do for the average American’s lifestyle each year?
I know of no other company that has Zero RISK involved in the learning curve period, that has the ability to shed this type of income! Is incredible!
I finished high school with a “C” average and never got a college degree. So I am a normal guy, with a medium intelligence. If I can do this, I bet you can too! Some days I still can’t believe how profitable this business is! I personally know several other wholesalers in my market who make over $ 500,000.00 a year selling full-time wholesale homes! That’s more than most surgeons and the president of the United States earn! Incredible, isn’t it?
Who should make a living wholesale? Well, ask yourself the following questions and see how you do it:
* Am I the type of person who likes to chart my own paths in life?
* Am I a leader and not a follower?
* Am I the type of person who likes personal challenges?
* Do I usually finish what I start or give up when I hit the first hurdle?
* Can you imagine yourself having and doing the best things life has to offer?
* Do you want to retire before your head?
* Do you want more time to enjoy family, friends and life?
If you answered yes to most of these questions, you are a strong candidate for the real estate wholesaling business model! If this is the first time you’ve heard of “real estate wholesaling,” then you owe it to yourself to learn more about how you can start using this investment system to change your financial forecast right away.
Real estate wholesaling, real estate wholesaling, real estate wholesaling, say it over and over again until it gets etched into your subconscious mind! It’s the lowest risk, fastest paying style of real estate investing any new investor could ask for!
Visit: WholesalerSmarts.com for more information on Wholesale Homes.
“Life is great!”