Looking for my first deal

[Simcha Davidman]

So I've been scouring the real estate websites for deals in New Jersey. (Although I want to work my way up to larger properties other states, right now, I want to be hands-on in order to learn as much as possible, as quickly as possible.) Loopnet, NJ MLS, zillow/trulia, and a bunch of others. I've spoken to a couple of agents, and I have not found anything that will provide sufficient return.

And this week I had a thought (more than one, but one relevant to this discussion!), and I figured I'd run it by this community before I waste my and others' time.

What about wholesalers?!  I've been listening to a number of podcasts, and I get the impression that wholesalers do a lot of the legwork to find great deals, and then they need buyers to sell to.  Should I just try to contact some wholesalers?  Or is it more complicated than that?

Thanks in advance!

[Lynne Jacob]

I'm a longish-time investor and never knew anything about investing strategies until a few months ago when I decided to learn and do it as a second business.  I'm starting with wholesaling ... and I love it!!!  Yes, it's time intensive which is why it's so worth your time to pay someone to do it for you.

What I'm learning while doing it, though, is priceless.

It would seem to me, though, that if you want to stay in your area you can find properties simply by driving around a different area every week (or day, depending on your time investment). Find properties you're looking for that need work. There's a reason why the landlord gave up caring about keeping the property looking good. S/He's probably already got one foot out the door and is just waiting for someone like you to come by and offer to buy it at a reduced rate; because after you pay contractors to bring it up to a good standard you still want to be within the FMV/ARV.

For you, though, the biggest thing is vacancy rate and income.

Nonetheless, if I were you I'd be happy to pay a wholesaler.  It's the difference between someone bringing a deal to you and you deciding if you want it or not; and you scouring the neighbourhood.

Whichever way you go ... enJOY it!