Completed 1st Wholesale Deal!

[Andrew Casal]

Investment Info:

Single-family residence wholesale investment.

Purchase price: $186,000

Single family flip lead that turned into a wholesale. Originally my partner and I were going to split the wholesale, but partner wanted to do the flip so I received the full wholesale fee. Wholesale fee received $5k.

What made you interested in investing in this type of deal?

I am looking for leads both as an investor and as a realtor. Client was very adamant that they did not want to list the house and sell fast.

How did you find this deal and how did you negotiate it?

An ongoing Craigslist campaign

How did you finance this deal?

End-buyer provided deposit and obtained hard-money. No financing on my part.

How did you add value to the deal?

Outside and mechanicals were all in excellent condition but interior was very outdated. Final buyer just needed to update kitchen, paint, and replace carpeting.

What was the outcome?

Put under contract for $190k, negotiated down to $186k after first end-buyer backed out. End-buyer putting roughly $25k into house and will list for $265k when completed roughly 1 month later. Wholesale fee received $5k.

Lessons learned? Challenges?

My partner came up with the original offer of $190k and the client jumped at that offer right away. My initial thought was to be more aggressive with my offer as I have been learning from my mentor. I believe a lot of meat was left on this bone for this and it could have been a good opportunity to work on negotiation skills as well becoming more comfortable with making aggressive offers.