CREATING A WHOLESALE BUISNESS

[Vanesha Bowden]

Hi, everyone , I'm trying to pursue Real Estate Wholesaling and I've tried the basics. I cant seem to get it off the ground. I want to make at least 2 deals per month. Any advice.

[Brian Schmelzlen]

It would be helpful if you say exactly what you have tried when you say you have tried the basics.

Have you tried driving for dollars?

Have you purchased a list?

Have you run a targeted direct mail campaign for 3-6 months?

[Caleb Heimsoth]

The first step is learning to spell business correctly. Lol. Joking aside, you need to have a goal and money to do that level of deals.

Wholesaling is very difficult to do consistently. You need consistent deal flow. Spend a lot on direct marketing and have consistent buyers list

[Vanesha Bowden]

Originally posted by @Brian Schmelzlen:

It would be helpful if you say exactly what you have tried when you say you have tried the basics.

Have you tried driving for dollars?

Have you purchased a list?

Have you run a targeted direct mail campaign for 3-6 months?

Hi, Brian, Thank you so much for responding. Yes, I have tried driving for dollars . I've purchased a list from listsource and ran a direct mail campaign for around 5 months. I've used yellow letters, postcards, bandit signs, etc. I've tried mailing to absentee owners and pre foreclosures. I've also tried craigslist and I'm working on social media advertising. I'm updating my websites and I've joined local REI meetings but I cant seem to land anything.

[Vanesha Bowden]

Originally posted by @Caleb Heimsoth:

The first step is learning to spell business correctly. Lol. Joking aside, you need to have a goal and money to do that level of deals.

Wholesaling is very difficult to do consistently. You need consistent deal flow. Spend a lot on direct marketing and have consistent buyers list

  Hi Caleb, thank you so much for responding. Yes I corrected it lol, I believe I was typing to fast.  I'm working on building a better buyers list and I've started a direct mail campaign for 500 absentee owners, I send out yellow letters and postcards etc. Not to many responses.

[Caleb Heimsoth]

you’ll need to mail consistently 5-7 times and to likely widen your list 

[Brian Schmelzlen]

Originally posted by @Vanesha Bowden:

Originally posted by @Caleb Heimsoth:

The first step is learning to spell business correctly. Lol. Joking aside, you need to have a goal and money to do that level of deals.

Wholesaling is very difficult to do consistently. You need consistent deal flow. Spend a lot on direct marketing and have consistent buyers list

  Hi Caleb, thank you so much for responding. Yes I corrected it lol, I believe I was typing to fast.  I'm working on building a better buyers list and I've started a direct mail campaign for 500 absentee owners, I send out yellow letters and postcards etc. Not to many responses.

Do you also target your list based on equity?  Absentee owners with large equity in the property might be more responsive.

[Vanesha Bowden]

Originally posted by @Brian Schmelzlen:

Originally posted by @Vanesha Bowden:

Originally posted by @Caleb Heimsoth:

The first step is learning to spell business correctly. Lol. Joking aside, you need to have a goal and money to do that level of deals.

Wholesaling is very difficult to do consistently. You need consistent deal flow. Spend a lot on direct marketing and have consistent buyers list

  Hi Caleb, thank you so much for responding. Yes I corrected it lol, I believe I was typing to fast.  I'm working on building a better buyers list and I've started a direct mail campaign for 500 absentee owners, I send out yellow letters and postcards etc. Not to many responses.

Do you also target your list based on equity?  Absentee owners with large equity in the property might be more responsive.

Yes, I choose 70% to 100% equity. Will I need to choose a different strategy or a different marketing area? I'm unsure of what I am doing wrong.

[Caleb Heimsoth]

You’re likely doing nothing wrong. You just need to mail more and to a larger list

[Jay Hinrichs]

Originally posted by @Caleb Heimsoth:

You’re likely doing nothing wrong. You just need to mail more and to a larger list

Caleb if you read the NPN threads you will see them talking about the lack of product.

the fact is markets cycle.. and many who did well wholesaling years ago in the bottom of the trough there just is not the inventory there to make it a viable strategy today.. not to mention how hard it is .

In my mind this is a testament to real estate firming up and bouncing back.. no need to wholesale the house put it on MLS and get top dollar.

of course you will always have your hoarder houses or weirdo's who are afraid of real estate agents..  

But as I stated this is no 2010.. this is a new day..

the big wholesalers that provided inventory to my turn key company I was funding in Orlando or instance they are out of business.. so it the turn key provider.. simply not enough inventory for that model to work.

now to be fare they are real estate brokers which in most instance the law demands.. and so they just switched to  traditional real estate

this is why wholesaling as taught by guru's can be a dead end street.. once it peters out like now.. what do you do?? 

[Caleb Heimsoth]

@Jay Hinrichs that’s a valid point.  As to what I’d do now, you take the buckets of money you made wholesaling and go buy rentals.  If you don’t have buckets of money left, I guess you become a guru?

[Chrissy Parsons]

@Venesha Bowden You might try mixing up your target audience. If your market is competitive, the same absentee owners you are mailing to might already be getting several offers a month. Consider working with a list broker who can suggest segments like Seniors with 20+ year Ownership. They are very often ready to downsize or transition to assistance.

[Vanesha Bowden]

Any new ideas on how to start pulling in deals?