Beginning wholesaling career

[Jason Lee]

Hello BP, I am a beginner investor looking to specialize in wholesaling and buy and hold. My goal is to generate revenue through wholesaling to then reinvest in buy & hold situations and build my rental portfolio that way. I’ve been reading forum posts, books & watching as well as, taking notes on numerous webinars and YouTube videos to better my understanding of the business.

The problem is I’m dying to just get out there and take action already, but I’m unsure of what my first step should be and how it should be taken. I was thinking, as my first step, to make some business cards with my contact info stating that I’m looking to buy homes in the neighborhood etc. and handing the cards out to anyone that may know someone looking to sell their home quickly. Do you guys think this is a good first step? If not, please inform me of a more suitable first step & possible steps to complete following that.

Any advice is much appreciated!

[John K.]

@Jason Lee

If I could go back to Day 1 of my journey into wholesaling, I would not focus on finding a deal, I would focus on finding buyers. There is nothing more disheartening that getting  a home under contract, only to discover you have no idea if it will sell, and to whom. If you know who your buyer is, you will know at what price you need to offer, to get any deal done. 

As you go along on this journey, you will realize that finding opportunities is not nearly as difficult, as finding qualified buyers. 

I would attend local meetups and network, don't be a fly on the wall. As you talk to investors that are attending, find out if they will work with a wholesaler or not, some will and some won't. For those that do, ask them general information on what they like to buy. If they are willing, get their contact info and their authorization to follow up, in a few days. I would use the follow up to really dig into their wants and needs, rather than trying to tie up their time at a meet up. 

I would research the different investment strategies of Real Estate, so I would at least have a general understanding of them. This would allow me access to those investors that don't just play in the most common arena's. The best thing you can do for yourself, is appeal to all types of investors. This allows you to pursue those properties where it's not likely that there will be a great deal of equity, thus eliminating the common investors.

I would research and see if there was a niche in my area, that is seemingly untapped by other wholesalers/investors. This would provide me with the path of least resistance in the marketplace, hopefully giving me a leg up. 

I would study the neighborhoods to the point of exhaustion. While it's easy to say that I will work the most popular area's, you will be one of 100 that is already doing that. This will make it hard for you to come out of there with a deal. If you have networked at local events, you will most likely find those investors that don't just look in the hot spots, thus giving you a path less traveled. 

Hopefully that gives you some direction on your journey. 

Best of Luck!

John