Building Your Wholesaling Potential Without Breaking the Bank

When it comes to entering the real estate market, wholesaling houses can be one of the best ways for a novice investor to build their network while generating profits without a ton of cash. Below are some great no to low-cost ways to break into real estate:

Network, Network, Network

You can flip a property without actually having to spend any of your own money. How? By having the right contacts and connections. You will want to have as many potential buyers on hand as possible before you begin purchasing properties so as to avoid costly delays between the buying and selling processes.

Real estate investment clubs are a great place to start, as they usually require nothing to join and are the best opportunity to meet other people in the industry - especially investors looking for properties readily available to fix and flip quickly. You can meet other wholesalers there as well who can also serve as potential partners to help you establish yourself. Word of mouth costs nothing but is often the best marketing strategy.

Be the First to Find the Deals

Wholesaling is all about finding the best properties that can be bought as far below market value as possible. You have to be proactive in your research and look for opportunities outside of the popular listing arenas. By looking online you can find plenty of properties that are in the foreclosure process but not yet listed publically for sale; this can provide a leg up on the competition so contact the seller and make an offer. Also, you will want to look through local publications for properties listed for sale by owner as they properties are often at a discount compared to those listed through real estate agents. Look up recent sales on foreclosed properties and visit their locations in person. When houses are sold for well below their market value it drives the price of nearby houses down.

Market Yourself

Take inventory of your own strengths and capitalize on them. What makes you better than the competition? You can find plenty of ways to advertise your services that costs next to nothing. Simply posting flyers and signs around areas with high amounts of foreclosure or for sale by owner properties can lead to your uncovering prospects; at the very least this gets your name out there. Placing advertisements in local print or online publications of interest to real estate investors can also help build your contact list of potential buyers.

When it comes to wholesaling houses, the more effort you are willing to put in the higher your returns will be. Without the capital more seasoned investors have at hand, you will want to do as much of the work yourself to minimize your costs and maximize your earnings per sale.