All Forum Posts by: Adrienne Bryson

I don't understand the question...  Are you asking if you can use docusign or something?

One of my leads is a fixer upper on a nice plot of land. How do I come up with a fair offer? Does the fact that there's acreage affect the pricing?

I'm sure there are always needy/desperate people...

There are always people in foreclosure, tax delinquency, inheriting houses they don't want/can't afford to keep, trying to get out of a terrible house/neighborhood...etc

What do you have against driving for dollars?  It's an easy, free (except for gas) way to get leads.  And if you know your area you can focus on certain neighborhoods, which is something you can't as easily do if you buy, for example, an absentee list.

There are tons of other ways to get leads though, it's just up to you whether you want to put in the time, do the work, pay the money...

Type "finding leads" into the search bar here on BP and find literally thousands of posts and blogs on the topic.

I'm not local to your area so I can't give you specific names, but I can tell you how I did it...

I downloaded some sample contracts from BP and used them as a template and wrote up my own contracts specifically tailored to my needs.

Then I googled "real estate attorney [my city]".  I contacted a few and let them know what I was looking for (let them know I am an investor into wholesaling wanting legal advice on my contracts).  One of them knew exactly what I was talking about and seemed overall very knowledgeable of real estate investing, so that's who I worked with.

@Riley Hinshaw I just responded to your other post about this... Anyway you DO NOT want to sneak around or lie to anybody.  You're asking for trouble if you do.  Be open and honest to EVERYONE you deal with, build rapport, earn trust, leave everyone feeling like they had a fair experience.  I absolutely agree with @Charlie Fitzgerald that dishonesty is not the right way to go about it.  I'm pretty sure those very tactics and mindset are the reason why people like Charlie, John, and others have a bad taste in their mouth when it comes to wholesalers.

Your seller has no way of knowing what you made off the deal unless you or your buyer tells them.  All they know is the number you put on the offer which will be the same number they get at closing.  You will assign the contract to your end buyer and that buyer is the one that pays you a fee.  Seller has nothing to do with that.

Go to the seller, negotiate down to good numbers, and put it under contract.  You are bringing a major convenience to the seller, in that he doesn't have to wait 6/12/18/24 months to get his house sold or worry about marketing to find sellers, he can walk away and have it off his hands in a matter of days/weeks.  There is a price for that convenience in the form of a lower selling price.

You approach it like any other wholesale negotiation.  Ask him what's the lowest he would take to get it off his hands today, and work from there to get the number to a place that works.

However this does not sound like a deal at those numbers at all...unless there is literally nothing that needs to be done (that's rare though even if it's something small, small things add up), then $520k sounds like a good price for a flipper.  You still have to drop your fee in there so it needs to come down to $510k at most if the house is completely rehabbed, updated, "move-in ready".

If it's not, which it's probably not...

$650k x 70% = $455k

$455k - $10k for minimal work = $445k

$445k - $7k your desired fee = $438k

$438 is the MOST you should pay, and that is assuming very light rehab.  It would probably be a better idea to come in closer to $420k in case there are things you missed/forgot to account for.

I will send you a request!

As it is now, flippers would have to do a lot of work to get deals.  It is highly time and energy intensive process to find leads and work those leads into deals... because you have to start from scratch sending out let's say 2000 letters, receiving 20 calls, then negotiating those to get 2 deals.  All that time and energy is exactly why investors are willing to pay wholesalers.

You are proposing something that would cut out all that work, so for $500 you get ONE contact that you already know is qualified.  You can simply go straight to them and buy them out...and since the wholesaler is out of the picture you potentially have $3k/$5k/$10k+ of additional wiggle room in negotiation.  I know if I were a flipper I'd definitely do that!

Peter, what's to keep flippers and others from going straight to you, rather than relying on wholesalers? No doubt $100 or even $500 for a solid lead is friendlier to a flipper's margins than $3000 or $5000 or $10,000 wholesale fee.

To answer your question, if you were up and running right now I'd buy a few cheap leads today! I think it's a great idea.

Makes sense, thanks Keith!