Wholesaling - Buyers! They don't always have to be Investors.

[Israel Cantu]

Hi Guys, 

   I wanted to give a small nugget of advice to the new wholesalers on BP. Especially the "lone wolf" who wants to do it all on he's own. I started the same way and realized its so much easier when you have someone helping you along the way. But going back to my piece of information. At the beginning I used to offer more for a property than I was supposed to and had little luck selling it to the Investor community. However I quickly found out that some buyers are not investors at all. They can be blue collar workers who have saved to buy a house that they can do their own repairs on. So if you get stuck on a house. Do not be afraid to market it to Contractors, or HVAC workers or Plumbers. These guys are not investors but tend to be able to do repairs for less than most of us investors can hire it out for. Sometimes these buyers are willing to buy at a lessor discount than our savvy investor counterparts. Since they expect less returns on their money or plan on living in the house.

[Israel Cantu]

Hi Winston, 

    I still apply the same 60 % rule if the house needs some repairs and 70% if its in good showing condition. It really depends on how much your willing to give. Sometimes a deal is worth while if you make your whole wholesale fee but if you know that a blue collar worker will buy it from you CASH and doesn't care the discount is not as deep. 

- How I find them...well sometimes putting bandit signs or CL adds in Spanish will attract these kinds of buyers from out of the blue. Especially if you concentrate in a lower income neighborhood. Here in Houston, TX the Latino buyer market is huge and bandit signs and CL works very well.