Wholesaling
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated about 8 years ago, 09/20/2016
Can You Wholesale off the MLS?
BP,
Quick question: Is it possible to wholesale deals off the MLS? I got the idea from listening to a few podcast this last week. I have been looking at a few properties in my area that have been on the MLS for at least 90 days but I don't know how you would deal with the agent. Has anyone ever done this before? Any tips?
#5 New Member Introductions Contributor
- Real Estate Agent
- Falls Church
- 1,747
- Votes |
- 2,396
- Posts
#5 New Member Introductions Contributor
- Real Estate Agent
- Falls Church
@James Danchus it is absolutely possible. This may seem over simplified but you have the price in your head you want to pay, and you negotiate with the seller through an agent. The seller will either accept or reject.
What is the average days on market in your area? What is the condition of the property? What is the situation of the seller?
If the house has been on the market longer than the average, it's most likely because it is priced incorrectly.
Hi James,
Did you hear that on Tom Krol's podcast? Great stuff!
Reach out to the agent and say something like "hey I'm an investor and I don't have an agent representing me. I'm interested in this property but I can't take it near the price your asking. Is your seller flexible on the price? "
If yes, send a your offer price and terms and say that she can hold your offer for 30 days.
Next or if no, can I send you my contact info and criteria so if you come across anything you could let me know?
Get her email in your database and ping her with your criteria once a month minimum. Repeat with more agents and eventually you'll have all these agents looking for deals for you. The profit margin may be a little less but as long as your ok to give 3% commission most agents will be ok letting you make what you need.
Good luck! Message me if I can help.
Thank you for the direct answer, Brandon. The house I have in mind is an older house (built in 1970s). The thing is that in this area there has been a A TON of development since and some houses are going within 5 days not very far away.
The house is old and it shows from the outside.
#4 All Forums Contributor
- Plymouth, MI
Sure. Why not. We wholesale all day off the MLS
Originally posted by @Joey Hamaoui:
Hi James,
Did you hear that on Tom Krol's podcast? Great stuff!
Reach out to the agent and say something like "hey I'm an investor and I don't have an agent representing me. I'm interested in this property but I can't take it near the price your asking. Is your seller flexible on the price? "
If yes, send a your offer price and terms and say that she can hold your offer for 30 days.
Next or if no, can I send you my contact info and criteria so if you come across anything you could let me know?
Get her email in your database and ping her with your criteria once a month minimum. Repeat with more agents and eventually you'll have all these agents looking for deals for you. The profit margin may be a little less but as long as your ok to give 3% commission most agents will be ok letting you make what you need.
Good luck! Message me if I can help.
Yes it was from the Tom Kroll podcast and that is what got me thinking.
Originally posted by @Account Closed:
@James Danchus. Yup, you can wholesale off the MLS.
If the listing is active, lets say yesterday or recent in an area you are local to. And I am taking for granted by "wholesale" you mean working it less than fair market value for the area with or without respect for the ARV. Agents list at market value which is current, which can go up or down.
The integrity of being licensed requires agents/brokers to present verifiable offers to sellers/owners per their contract to reject, counter, or accept, regardless if its a lowball offer. In either event, the license allows them to advise, consult the owner/seller, but in no way permits them to withhold verified offers. So for current MLS listings, you would need a verifiable POF and an offer contract.
If you don't have an agent, more than likely the seller's agent will see a possible negotiable double commission when you walk into their offices with a verifiable POF in hand. LOL! They may go thru the procedures, etc., but the Broker can't brush you off. Why?
The POF letter has a record. My experience has led me to see, when we use other peoples money and a seller's agent, etc., contacts the OPM (our money source), a record has been developed for the issuance of the money that may be need to be held back. Folks don't play with they money when a request on an amount has been made.
So if its active on the MLS, have verifiable POF. The most important thing is to know a buyer that will pay cash for it and what they will pay before you walk into the agents' office. Not an email blast shopping for a buyer.
If its been on the MLS for a while don't forget the MLS is retail prices. LOL! There is a member here that whole tails at retail prices, not wholesale!
If it has been on the MLS for a minute, put together a verifiable POF and get an offer in front of the agent. I done it 3 times based on my training. In all 3 cases the contracts were 10 days to expire so I contacted the owner/sellers, and in each the brokerage purchased the properties.
All I know is I had verified POF, the ability to fund the purchase, and the owners/sellers never seen my offers.
Great info Marvin. I'm brand new, so I am working with another wholesaler who is associated with an Real Estate Investment Company, so really the POF would be in his court.
Question: Do I need a POF to submit an initial offer? In which case I would need to go to my associate first and see what they would pay and whether he could get the POF.
I listen to his podcast. Which episode was it
Originally posted by @Account Closed:
I listen to his podcast. Which episode was it
I think it is episode 70 but it looks like he took it down.
Thanks brother but I finally figured it out. He did take it down I believe.
Originally posted by @Account Closed:
Thanks brother but I finally figured it out. He did take it down I believe.cu
No problem. The Investing Mastery Podcast is good too, Joe McCall talks about it a lot.