All Forum Posts by: Michael G.

Antonio - You sound brand new to Wholesaling.

Please excuse me if what I'm about to state seems obvious but I cant tell where you are in your wholesaling business.

Have you built a buyers list? @ the very top of the wholesaling forum is a sticky entitled Buyer's List "How To".

Its a good read and will essentially give you a crash course on one of the main staples of a wholesalers business which is finding buyers for properties you put under contract.

In fact, the entire wholesaling forum would be of great educational value to you if you are a newbie.

IMHO @ a very high level your wholesaling business should look like this...

1) Market for wholesale properties. (probate, REO, craigslist, FSBO, bandit signs, etc.)

2) Put wholesale property under contract.

3) Consult your buyers list of cash buyers for interest in heavily discounted wholesale property.

4) Assign your contract to cash buyer / rehab investor from your buyers list.

5) Repeat.

There is plenty of detail in-between but you will learn as you go.

I dont know about any other wholesalers but it took a while for me to get this right. It sounds simple but I had to keep trying until I had all the pieces working together.

It may not happen instantly for you but it will happen if you keep at it.

At the end of the day as a wholesaler, you gotta have houses to sell (at a heavy discount) and someone to sell them to.

Gotta go through the no's to get to the yes's. They dont want to buy from you? F-em. One less no between you and a paycheck. If you have a deal in your pocket then there are plenty of cash buyers out there for you to do business with.

I'm with Chris...why arent you consulting a licensed Alabama RE attorney to do your closings?

I'm sure they will be able to tell you if you can assign contracts or not.

I've heard that in order to buy houses at a deep discount you have to write LOTS of offers.

I'm curious how many offers wholesalers are writing on a weekly basis? 10, 30, 50 a week?

Are they REO's or just plain vanilla MLS listings?

PS - Does anyone ever pursue expired listings?

I remember this deal when you first started talking about it. It was trouble when you first started and I remember someone saying if the deal starts out crappy its probably an indication of how the deal will turn out.

Anyway, I'm with Dan K. I never had to do it but I was taught if a seller renegs...file your contract with the county clerks office.

I would talk to an RE attorney just to confirm if its a good tatic but you acted on good faith...so should the seler.

Congrats to you and whoever helped you put this event together!

I'm dying to see who the speakers will be.

I hope I can make it!

Its funny because most of the rehab guys I wholesale to never mention GURU courses.

Makes you wonder if one would not be better served asking for mentorship from RE investors already in the game vs taking GURU courses.

If I had to do it all over again I'd go the mentorship route.

Nice work Dwaun! Congrats. I wish you many more deals!

Why is it that they ALWAYS have ZERO bidding competition @ the sale?

Obviously its not good show business for them to lose a bid but i thought it was reality tv?

Good comments by all. Below is the transscript of an e-mail I sent to an executor on a deal i'm working on. The guy keeps telling me he's waiting on his sister's response. Why do I have a sneaking suspicion that he may be shopping my offer with other investors. This is why I dont like to mention price first.

Hey Ron, Thanks for giving me the opportunity to buy your home.  I want you to be totally comfortable knowing I am giving you top dollar for your home as an investor/rehabber.  I ran some comparable sales that you can confirm. 2251 N. Ocean Ave sold for $178,000 (Your block is way better) 1843 Feurereisen Ave sold for $214,000 2331 Julia Goldback sold for $241,500 2287 Feurereisen sold for $255,000 After I finish renovation your home it should sell for $270,000 based on the sales above because it will be a nicer house than all of those above so it will command more money when I sell. So now I back out my expenses from $270,000 and that's how I arrive at my purchase price which is also below. Sale Price $270,000 (based on comparable sales in the last few months) Renovation Expense $75,000 (house needs just about everything and will cost someone else well over $100,000) Title $2,500 Attorney Fees $2000 (On purchase and sale) 6 months taxes $3,500 Insurance $1,800 Broker Fee $10,800 $270,000 less $95,000 in expenses Less $20,000 (my profit margin) = $155,000 I will pay for your legal fee as well and you will have the cash in your account in 2 weeks. I did the best due diligence possible on this home, but if you have information for me showing my numbers are wrong I'd very open minded. Please let me know your thoughts..

Is the property going to be a rental property or a home for someone?

If its a rental you can move it on the back-end probably a lot quicker to an investor than waiting around for a qualified FHA buyer to get a mortgage.

Which brings me to my next point. Who's going to watch your property when the sun goes down? That would be my biggest concern.

The last time I had a rehab in the hood I had a handyman with a key to the property check on it almost every night.

I'm not against it especially if there is profit to be made but as always manage your risk.