Wholesaling ins and outs

[Steve Franco]

Hey All,

New to real estate investing in Chicago and new this forum.  Searched through a few of the posts on this but there are SO many and it was hard to narrow down to the answers I am looking for.

A little about myself, I'm a firefighter/paramedic but will be leaving my job after 10 years as I just finished my broker training, waiting to take the state exam in the next few weeks.  I'm very interested in wholesaling, and I understand the basic process.  My questions are more in the details of it.

1:  How do you decide what areas to target? Where do I start?

2: How do you build your cash buyers list?

3: Should I find some deals before/during searching for cash buyers, or do I NEED to have the buyers before the deals?

4: Criteria. Basically how much equity should the seller have in the property, and how much of a spread between the ARV and the net to seller do I need to make it lucrative for me?

Thanks!

Steve

[Alex Bok]

1: How do you decide what areas to target? Where do I start?

- Would start where you are comfortable with but ultimately there are areas with more inventory which in turn increases chances of properties to get under contract etc. South side of Chicago, Joliet, Aurora are popular destinations in IL

2: How do you build your cash buyers list?

- A great way is to utilize the MLS since you are about to become an agent. You are able to either reach out to the agent who closed or search the back end and see the company name that closed and reach out

3: Should I find some deals before/during searching for cash buyers, or do I NEED to have the buyers before the deals?

- IMO the deal itself will allow you to find buyers in no time in this market. 

4: Criteria. Basically how much equity should the seller have in the property, and how much of a spread between the ARV and the net to seller do I need to make it lucrative for me?

- Free & clear or over 80% i would say for the seller but ultimately you are offering what is right and if you have MLS access a quick comp report would help