Where have all the good Wholesalers gone?

[Kahil Ortiz]

Hello BP!

My name is Kahil and i'm a investor in the chicagoland area. I'm currently partnered with a company that has specialized in commercial lending and now is transitioning into residential flips. To get straight to the point. Where are the 'Real' wholesalers? i've reached out to a ton of supposed wholesalers and have only connected with Two wholesalers who actually know what a good deal is(thanks again Larmon). The rest have been giving all sorts of unrealistic rehab numbers, false ARVs and sending deals from others posing it as their own smh. i know chicago's market is saturated right now and deals are difficult to come by, but i know there has to be more dilligent wholesalers than this. I have alot of weight on my shoulders as i am new at this company and my role is to find deals, off market deals in particular. Any help, advice, would be greatly appreciated. Thanks!

[Andrew Johnson]

@Kahil Ortiz The answer to your question is pretty easy if you read about wholesalers starting out. I seldom see the statement: "I want to have a career in wholesaling". What I do see are people saying they want wholesale to generate money to get into flipping or buy-and-holds. So if you split up the wholesaler market into successes and failures those "successes" will graduate to their preferred strategy. All that's left are failures and newbies. There's zero barrier to entry and you can put your marketing funds on a credit card to start if you want. There's no required education, certification, etc. and they specifically call part of their marketing "bandit signs". Okay, that last bit was getting hyperbolic but you get the point. There's no possible way to outsource your deal diligence (i.e. coming up with a valid ARV, realistic repair costs, etc.) to them especially when the spread is their profit. Odds are, by the time you get good at wholesaling and learned (through making a few deals) you will then have the capital to buy it, rehab it, and sell it yourself. So, reach out to 100 wholesalers and find the 2 that stuck it out in the market because they truly liked it and didn't want to "graduate" to flipping or buy-and-hold. My two cents...