Real Estate Sales llc - Flip Cheap Houses

[Jack Hritsko]

Hello everyone!

I am 19 year old college student very interested in every aspect of real estate investing. I honestly hated college after my first semester and that’s when I began researching other career avenues. I knew from a young age I wanted to be an entrepreneur, coming from a family of business owners. Over the past few months I have learned more just from YouTube, podcasts, books, and Bigger Pockets forum then I could have ever imagined. I have become obsessed with educating myself everyday though the sources I listed above and have been promoted an opportunity where I need the bigger pockets families opinion.

About 2 months ago a family member had received an email from Real Estate Sales LLC - Flip Cheap Houses. This is a mentorship program where I would be assigned one of the companies mentor/coaches who would teach me how to wholesale. I know the basics of wholesaling but I value the companies lead system more then anything. They have access to your county court house documents where you are encouraged to send out 200 letters a week to the leads you are given. On top of the seller leads you also are given a list of investors in your area who have bought and sold 2+ properties in a 60 mile radius, which is "your area".

Now into the numbers. The company has two options to start their program. (12 month)

1. $13,750 start up costs and 50/50 split of profits with your mentor

2. $18,750 start up and 80/20 split of profits with your mentor

The website “promises” $100,000 in wholesaling profit after the first year and if not, the mentor will work with you to complete the promised sales for free after the first year.

As a 19 year old who is desperate to get into real estate anyway I can, this opportunity looks promising. I’ve been in contact with one of the owners Amy Keith and have had several great conversations about her company. My parents are willing to take a chance on me because they see the passion I have to get started in real estate. They are willing to finance this opportunity for me and I need your guys/girls opinion of the legitimacy. Thank you!

[Michael Carbonare]

Don't do it!  Hold onto your wallet and run away.  We've reached the point where there are now more gurus selling their get-rich-quick crap than there are properties for sale in America.  Also, the myth of wholesaling does not often equal the reality of the strategy.  Sounds enticing:  buy property after property for .35 on the dollar, quickly flip it to someone else for a fast, fat profit.  Rinse and repeat. Oh, the joy!  Reality check:  how many homeowners are going to sell you their house at such a substantial discount?  What about the competition?  I have an investor friend who is a successful wholesaler and has been for many years.  We had lunch a while back, where he told me he drops 10,000 direct mail pieces each and every month.  Can you compete with that?  There are easier strategies for a n00b to start with. I'm not trying to discourage you, Jack.  I'm trying to save you $15K.