All Forum Posts by: Andy W.

Actually sending someone to collections is fairly easy, I've had to do it maybe 10 or 15 times, although I didn't do it for rent collections. The trouble is, like Joe Kelly states, is that usually they take about 50% according to their contract. And out of all the people I've sent people to collections, I think I've maybe recovered about $100 out of more than $10,000. Mostly I do it just to put a mark on their credit, but I'm sure the people I send to collections don't care if they have a 300 credit score and could care less about a judgement in court, they still aren't going to pay. Unless you can find out where they work, then you can get their wages garnished.

And in the end I can write the loss off on my taxes, but basically I still end up eating the loss. People suck sometimes.

Awesome point on the loans, haha, I never thought of that one.

 So my industry is retail and service, and we've had to make ongoing changes to keep up, and I know in the next 10 years or so there will be more changes we can foresee. Beyond that, it's hard to predict what it will do, but we will be ready and open minded to roll with the changes. I see the direction my industry is moving, and although I don't like it sometimes, I have to follow the direction it's moving.

 My question to all the realtors, wholesalers, and brokers is, how do you see your industry changing in the next 10 to 15 years, and how are you making changes? Myself, I've heard it from a commercial lender and a residential lender pretty much say "realtors will be gone in 10 years". I'm sure that's a little bit extreme and that was paraphrasing, but I've also read it more than a couple times on some forum topics here as well. From what I see and hear from realtors also, they say our market (Idaho) is flooded with too many realtors. That's a separate question as well, is there a cap or limit on how many commercial or residential real estate licenses they issue depending on population of a certain county/town/state?

And yes, I would also like to deal with a realtor 99 out of 100 times if I had the choice.

Are you saying technically my deal was illegal? Or are you speculating it was illegal? Or are you saying it falls in to a grey area varying from state to state depending on laws pertaining to buying/selling a home without a real estate license?

If you are curious, yes, my wholesaler had a license.

The only thing I would say it to get the numbers for yourself and have a professional look them over. Technically, they can't give you false info and fake numbers, but they can inflate them within reason. I know my banker calls this "pump and dump". That 30% return might only be 20% or 22%, or even 18%.

I've only dealt with a wholesaler once, and they helped me out when realtors wouldn't. Bought a horrible (hindsight is always 20/20) 6 unit trailer park that turned out to be much more work than I thought. My first deal, was overly excited to buy, and found out later it had numerous issues including a well that was caving in. Called 2 different realtors, understandably they were no help, with the well having issues and 2 of the trailers unlivable (although people lived in them). I was over it and contacted a wholesaler. He was honest and upfront about the numbers, he made a great detailed listing, was just as professional as the realtors were, and in the end I made a little money when the deal was complete.

I can see where some people get a bad vibe, but you have to look at where they are good. Some of these places have serious issues, so realtors won't touch them. I'm guessing some of the owners who are selling just want to get out, at all costs, just like I did from my trailer park. It's not like they are selling a great condition home that you would see on the front page of a "homes for sale" magazine.

So many uninformed and uneducated opinions and predictions on here, although it's been clean debate for the most part, which is nice. Can one of the mods sticky this thread and we'll reread it in 3 years and have a good laugh.

I would spend about $100 and buy 5 or 6 books online about it. Read those books while your on the crapper, and like most people will tell you on here, go to some local real estate investing meet and greets, you'll meet a lot of people interested and working in real estate. Google up real estate wholesalers in your area, get on their email list, and try to do some talking with them. I haven't bought anything from a wholesaler (not yet) but I like to read their listings and go thru the numbers to see what they are offering. Go meet with them and get a walk thru of the house and talk with them some more about how the wholesale process works, although technically this is a waste of their time, but you'll be getting an education from them. haha. Sorry if you're a wholesaler and I pissed you off on the last part of this answer.