How to Effectively Present the MLS Wholesale Exit Strategy to Sellers

How to Effectively Present the MLS Wholesale Exit Strategy to Sellers

Real Estate Coach · Derry, NH · Member since 2016 · 283 posts · 217 votes

Hey everyone, I often hear concerns from wholesalers about presenting the MLS wholesale exit strategy to sellers, especially when they think the seller could just hire a realtor and potentially make more money. It's a valid concern, and one that I've faced many times. Here's how I approach it:

  1. - Acknowledge the Seller’s Perspective: First, I make sure to recognize that the seller might think they could net more by going directly through a realtor. This helps to build trust and shows that I'm transparent about the process.
  2. - Highlight the Certainty and Convenience: I emphasize the certainty of closing with me versus the potential uncertainties of listing with a realtor. Sellers often value a quick, guaranteed close over the possibility of a higher, but less certain, payout. I reassure them that we can close on their timeline, typically within two weeks, which most realtors can’t guarantee.
  3. - Simplified Process: Another key point is the convenience we offer. We allow the seller to leave anything behind they don’t want to deal with, and we minimize disruptions by arranging only one showing. This level of ease is something many sellers find appealing, especially if they’re in a situation where they need to move quickly or don’t want the hassle of traditional selling.
  4. - Explain the Benefits of Our Strategy: Finally, I explain that by listing on the MLS as part of our exit strategy, we're simply maximizing the exposure of the property to potential buyers. Even though we're listing it, the offer we're presenting is still the best solution for their needs. It's not just about the highest offer—it's about the best offer considering their circumstances.

In the end, it’s not always about the money for the seller. It’s about the peace of mind, the convenience, and the certainty that we can provide. When you present it this way, most sellers understand the value we bring and are more than willing to work with us.

Hope this helps anyone struggling with how to position the MLS wholesale strategy to sellers!

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  • Chris SeveneyBusiness Member
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    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    2y
    Quote from @Jeremy Beland:

    Hey everyone, I often hear concerns from wholesalers about presenting the MLS wholesale exit strategy to sellers, especially when they think the seller could just hire a realtor and potentially make more money. It's a valid concern, and one that I've faced many times. Here's how I approach it:

    1. - Acknowledge the Seller’s Perspective: First, I make sure to recognize that the seller might think they could net more by going directly through a realtor. This helps to build trust and shows that I'm transparent about the process.
    2. - Highlight the Certainty and Convenience: I emphasize the certainty of closing with me versus the potential uncertainties of listing with a realtor. Sellers often value a quick, guaranteed close over the possibility of a higher, but less certain, payout. I reassure them that we can close on their timeline, typically within two weeks, which most realtors can’t guarantee.
    3. - Simplified Process: Another key point is the convenience we offer. We allow the seller to leave anything behind they don’t want to deal with, and we minimize disruptions by arranging only one showing. This level of ease is something many sellers find appealing, especially if they’re in a situation where they need to move quickly or don’t want the hassle of traditional selling.
    4. - Explain the Benefits of Our Strategy: Finally, I explain that by listing on the MLS as part of our exit strategy, we're simply maximizing the exposure of the property to potential buyers. Even though we're listing it, the offer we're presenting is still the best solution for their needs. It's not just about the highest offer—it's about the best offer considering their circumstances.

    In the end, it’s not always about the money for the seller. It’s about the peace of mind, the convenience, and the certainty that we can provide. When you present it this way, most sellers understand the value we bring and are more than willing to work with us.

    Hope this helps anyone struggling with how to position the MLS wholesale strategy to sellers!


    From a legal perspective, how can you list it on the MLS? This is the issue many have with wholesalers, what you are doing is marketing the property to the masses which requires a license (the I am marketing the contract I would love to see how a court would view that).

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  • Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
    2y

    You also stand out as a wholesaler if you emphasize the certainty of closing with your offer. I would say the least certain closing comes from wholesalers. 

    As a seller I would counter your “certain to close argument” with “great, I want a $20k, or higher non-refundable earnest deposit.” I’ll be happy to credit you $200 (1/2 percent) when we close in 30 days, earning you 6% on that money. 

    It's one thing if you're offering 90% of FMV. Otherwise I'm better off just lowering my price to a number still above your offer, or paying my realtor an extra percent to "handle it all".

  • Real Estate Coach · Derry, NH · Member since 2016 · 283 posts · 217 votes
    2y

    So not all states are created equal. In all the states where we operate, we have been vetted by the real estate commission and our attorneys to make sure we follow their marketing rules and guidelines.

    It's best to have everything vetted by a real estate attorney who can then ensure that the language used in your contract and MLS listing complies with local state laws. We don't typically market the contract itself as much as we market the property for a potential double close. We get the property under contract and immediately look to sell it to an end buyer upon closing.

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