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Updated over 2 years ago,

User Stats

45
Posts
26
Votes
Kyle Reece
Pro Member
  • Real Estate Broker
  • Plattsburgh NY
26
Votes |
45
Posts

Out-of-State Wholesaling Problems

Kyle Reece
Pro Member
  • Real Estate Broker
  • Plattsburgh NY
Posted

I started wholesaling in the Tampa MSA last year OOS. I started off looking for a local investor that I could partner with that had the local knowledge and could visit the properties to make sure the condition matched what the seller said, get a rehab estimate, and take pictures. I found a local investor and deals started coming in, this first batch of mailings was just a proof of concept and a trial with the partner I found before going full bore. By the end of the year we were slated to make a profit of $60-80k split 50/50. However due to some probate issues, that got delayed and my partner and I had different ideas about how to handle sellers and properties once we had them under contract. So we parted ways, but that deal we were waiting to close finally did, but my partner kept all the money and tried to hide it from me.

At the beginning of this year I started up the wholesaling again under a business name and LLC to start building the brand. I was still looking for a local partner but with little success. I connected with a realtor from Bigger Pockets to get comps and pay him to visit the properties and take pictures/videos. Well I got a SFR under contract recently and could not find a buyer. I had two buyers make offers but none would sign a contract. The deal was a good flip or even a wholtel. At the end I found a new investor that said he had access to private money that was looking to flip. two days before closing and go radio silent. I know the deal was a good deal but I couldn't get anyone to buy or partner.

The first partner screwed me out of $40k that I needed to take to court, the second partner was stuck by analysis paralysis always worried about not getting the homerun deal and that if they jump on one, they may miss the big payday, so instead they never jump.

What am I doing wrong? Should I try to build my buyers list? Everyone keeps saying how hard it is to find a deal and if you have a deal buyers will come. Well I missed the memo somewhere. I'm open to any advise.

  • Kyle Reece
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