Starting a Wholesale Campaign - What do you wish you knew?

Question

Hey Everyone,

I've been mostly a lurker on this site up until this point.  I have been absorbing a lot of information with regards to wholesaling over the past few months and decided to just start taking action.

I forced myself to start making actual concrete plans (which I'm finding out is way different than the "I'm in the reading and learning phase" plans) by purchasing a direct mail marketing list for the South Jersey market (using Finding and Funding Great Deals, thanks, @Anson Young that book really is amazing).  Because of the information from a lot of the resources found here in the forums and on BP in general, I believe I have almost everything in line to start fielding calls.

So to all, you experienced wholesalers, what do you wish you knew before you got started wholesaling?

Also, if anyone in the South Jersey area has any input I would love to hear from you guys.

I've specifically been driving for dollars in Willingboro, Woodbury, Sicklerville, Collingswood, West Deptford, Deptford, Audobon, Oaklyn, and Haddonfield areas recently.   I have a huge list of mailers to send out eventually based on driving for dollars in those areas, but I want to get my feet wet talking to motivated sellers before I commit to a large marketing campaign.

I've seen a lot of construction projects in progress in those markets, specifically, in Audobon. I didn't look at the actual construction number permits but based on driving around that market definitely seemed the hottest with construction and updating properties.

Hopefully that Eagles Super Bowl magic continues around the area as I get started! I'll try to update with some results as I go.

Thanks!

Mike

Michael Rajnherc · Answer

Hey guys, thanks so much for all of the great feedback. If I can summarize the points that I think I am hearing with some shoutouts sewn throughout, it sounds like what would be most recommended is to have, in essence, a concise and informational pitch about my brand prior to mailing so that I am prepared for any brokers or agents that reach out for a quick turnaround (@Jonathan Phillips) and to break my budget into smaller "test" campaigns (@Grant Rothenburger) to get actionable data off of each scheduled mailing process. Apart from that, be ready to take action rather than simply get caught up in the indecisive middle ground (@Joaquin Rosario).

I've already started to build out a network of brokers that I have connected with and have been keeping in touch with them as I go, but if anyone has any insight into the best way to capitalize on those connections apart from waiting and hoping to get lucky with a good deal, I would be really curious to hear your thoughts.

The feedback that I have gotten has been incredible, and I would really appreciate any more thoughts or advice that might be out there.

@Mike Taravella - will absolutely hit you up shortly once I get the points listed out above concluded so we can brainstorm and help each other grow!

Dave Rav · Answer

Best of luck with everything!  I see you're hailing from Philly, and though I am more a Steeler fan, I have a place in my heart for the city and region.  I graduated high school in the area and my parents live near there.

Anyways, my best piece of advice is to jump in!  You can only do so much reading and the like.  Too many folks get stuck in the "learning phase" which leads to analysis paralysis, self doubt, or intake of too much information (be it positive or negative - which overwhelms or douses your flame).  Get enough education to be dangerous (LOL), and do the thing!

As an investor with some experience, about 15-20 transactions under my belt, I too am venturing out into wholesaling.  I'm finding the RE market cycle we are in adds a degree of challenge to this method of investing.  But we need to remember two things - RE is region-specific/each local market is different, and we should do things that separate us from the competition!

Best of luck!

Grant Rothenburger · Answer

@Michael Rajnherc One mistake I made was spending all my budget on one big mail campaign. In hindsight, it is best to start a smaller campaign that you can mail to three times or more (if you're on a budget like I was).

Jonny Phillips · Answer

It is helpful as well to establish relationships with brokers and agents. There is always times where they have sellers looking to close fast with cash and limited contingencies. You just have to understand your value to those you're looking to connect with.

We have a packet prepared for brokers. It is 17 pages total (think PowerPoint, not a novel) It's simple but it explains

-Who are we?

-Our business model

-Sample scope of work

-Taking the next steps

You could create a very similar packet to establish credibility among sellers.

Account Closed · Answer

Hey Michael,

We manage a few properties in the SJ area and are looking to for deals also! add us to your buyers list and lets connect!

Jonny Phillips · Answer

@Michael Rajnherc just keep in touch. Don't wait for people to bring you business. Go get it. Try to touch base with each broker or agent at least once a month just to remind them that you're still buying deals and ask if they have anything available or anything coming up

Anson Young · Answer

Thanks so much Mike!!  That means a lot!!

Joaquin Rosario · Answer

Hi @Michael Rajnherc,

Excellent job on just taking action. For me thats the biggest key is getting out of that analyzes paralyzes mode and just taking massive imperfect actions.

Have a blessed day.

Stephen Kappre · Answer

Looking forward to hearing how things work out for you. I love watching things unfold and look forward to your future posts.

Starting a Wholesale Campaign - What do you wish you knew?

Most Popular Reply