All Forum Posts by: Corry Taie

Most good agents have investors looking for deals. You get the deal, they have a buyer... You both get paid! Also, as you venture into rehabbing or whatever, you will inevitably use agents to market your properties on the flip. This is where I would "spoon feed" them. In the mean time, You can find out criteria of their investors, go out & target off market properties that fit thise criteria & bring them to the table. These are deals that the agent would not know about if you did not bring it to them for their investors because the deal was not marketed. These can be short sales, probates, tired landlords or any kind of deals that you find & lock up. Once you have it under contract, you control it & you get paid when you wholesale it & the agent can make money from brining you a buyer.

It wasn't hard. I worked with several agents in different areas & would "spoon feed" them deals so they in turn would provide information for me. Same thing woth contractors. I would use their services so they would provide estimates, info & tips. You can also set up the buyer with the agents & contractors to use their services. That way you are also sending them refferals as well. They appreciate that especially in a market where they dont have alot of work & have to fight for everything they get. They are more apt to give you the "hook ups" when you are throwing them an extra bone here & there. On the other hand, if you just use them & offer nothing in return, they will likely cut you off fairly quickly. It has to be win win for everyone.

@ Mike:
If you want to stand out, what worked for me was. Every deal I sent to an investor buyer included 3 BPO's from seperate agents, a CMA & 3 contractor estimates from seperate contractors. Don't jus look for the highest comps to show the investor either. You have to compare apples to apples.

@ Curt:
When you send an investor buyer properties, what due diligence do you have to support your numbers? We always do our own D.D. as well, but it is nice when a wholesaler has their ducks in a row & uses real info.
Also, do your relationships afford you the ability to offload inventory to buyers at 70% or less of ARV with acquisition, your fee, closing A-B & rehab costs included?
I hear people say all the time that those deals don't exist... Actually, yes they do. I have just not been able to find any more wholesalers that can get them. We are expanding & I don't have the time to deal with that side of it right now, so good wholesalers that can get these deals are a great addition to our team. Yes they cost us a few bucks on the acquisition side, but if they bring the right deals, its no biggie because we still make our spread.

I know someone who could probably contribute some great info & insight on this topic.... Come on Will.... Where you at? Sorry... Didn't mean to throw you under the bus! lol We have had a few conversations on this subject. Next time I'm up in that area, we need to grab a cold one!

Only problem is. Like you said, I make way too much doing what I do versus wholesaleing. Maybe I should hire someone to do it for me & then I can teach them the right way. Then I can make more! Hmmm. I'm thinking expansion.

Yeah. I'm pretty confident that if I started wholesaling again, I would put ALOT of so called "wholesalers" out of business, because I can actually put a REAL DEAL together that has enough "meat left on the bone" for the investor & my numbers are accurate. But I guess that comes from actually investing in real estate myself. It is a great way to get started, but honesty & integrity are key in this industry.

Ok. First of all... I am not looking to hear from "wholesalers". I want to hear from INVESTORS/ REHABBERS who actually buy from real wholesalers. So Does anyone here actually know any GOOD wholesalers? I don't mean to sound rude, but I have yet to find any that don't under estimate the rehab costs & over estimate the ARV. When I started out. I wholesaled & I would put together a proforma with 3 BPO's & 3 Contractor Estimates & a CMA. The investor buyer had all the info up front & when they did their own due diligence, they found my numbers to be accurate. Buy doing these couple of extra steps (which did not take much time & was not much work at all), I gained the trust of my buyers & they sent all of their friends to me. However, now that I don't have the time to do all of this myself, I am having a fairly dificult time finding wholesalers that give accurate numbers. Then if one of them actually has a good deal, when you get to the closing table, you find that 5-10K for assignment or whatever is not enough. I actually saw one where the "wholesaler" was trying to collect over $40K... You can guess how quick that deal went south. So do any of you know any real & good wholesalers? I am in So. Cal. & looking in Riverside, Orange & San Diego Counties if this helps.

I agree with Grant. Also, your option contract should have assignment language in it (meaning it should be assignable) & should have exit clauses built in. In this case, you would have the seller sign the option contract (which is assignable) then assign the contract to your wholesale buyer. If you cant get a buyer, then the exit clauses come in handy (you can back out).

Use one agent A-B & another agent B-C. Make sure you have the right to market before purchase. These are getting tougher, but still doable. I got out because the banks are not negotiating down to a price that works for me... At least not for now anyway. Biggest thing is to make sure your ducks are in a row & EVERYTHING is above board.

Business & Professions code 10131. Not a good idea to market without control or right to sell if you dont have a license.