All Forum Posts by: Elliot Smith

Bill,

 I agree with you talking to the predatory side of wholesaling. Since I have not spent one dime with any "Guru's" I can not speak to them. I grew up in this world and have a mother who has been a top producing  agent for 25 years and a father who is a DR. who leans more to the investing side. We have ample anount of reserves and private money to close on most deals if we desired. From my limited experience the people that decide to use us want us to help them with their problem fast. They do not want to have to spend $$$ fixing anything on the house because they dont have time or they don't have $. Also the deals that I close require them to show us the property 2 times and thats it. They don't have to deal with every Tom, Dick, and Harry going through the property. 

Also from my experience with realtors their mindset does not always work to these types of property's as they tend to think "in the box" I feel like I can talk to this mindset as we have 7 realtors in our family and my wifes grandfather owns a brokerage with 200 agents. 

I hope this finds you well as I always enjoy reading your strong feelings against wholesaling.

Read as much as you can. Listen to lots of podcast and read more. And while you are doing that jump in with your direct mail. I take the ready fire aim approach because I learn by doing. When I screw up I go find out how to avoid that mistake the next time.

Good Luck!

I just made an offer last night and the guy wanted me to break down all costs. And I think I screwed up as I advertised my assignment fee. This property was perfect and he wanted to sell. He wasn't wanting to be the first one to say a number so I came in at $100k $190 ARV $35k repairs $7500 assignment. He was an older gentleman who really remided me of my grandfather and I think I said to much. I will let you know what happens but I wish I would have read this post before hand! So the moral is listen to Andy!

Nive job Tarl. I hope to get together soon.

Elliot

If you have a good deal you should have no problem getting a buyer. The real question is do you know what a good deal is? Do you know how to evaluate ARV and rehab costs. If you can't find an end buyer then that is when you should talk to the seller and tell them that the price is to high and you need to adjust the price based on your findings. If they do not want to read negotiate then that's when you now out. I feel like you should know with in 7 days if the property is going to sell or not. I do not feel like you need to lie to them about anything.

 Thanks yes it should help our buying power!

it's also been a great day as I received three solid leads. One for an owner financed rental. And 2 possible flips. 

I met him off of Craigslist. He inquired about one of my wholesale deals. He didn't buy that but wanted to get together to talk about future deals. 

Elliot

I just had a meeting with a builder who also flips house. We had coffee and after about an hour he said "you find them, I will fund them and we can split 50-50."

I feel very fortunate that I was able to put myself in this position. I owe so much already to bigger pockets. This site has shown me a path that I can travel and all I have to do is take action and great things will come. I feel so very blessed. 

 Steve, 

I just wanted to let you know that I under up wholesaling this property. I wanted to keep it but I felt this was the best win win for everyone. The seller wrote me a full page letter of reference after this deal was closed. She was so happy of the outcome. Thanks for your advice, as it stuck with me. I do this because I enjoy people. The money is just extra. 

Jon,

You can definitely do this with wholesaling. We have been very fortunate and had 2 wholesale deals within the first two months. I am skeptical that this might be luck but we had those deals done with less than $500 of marketing. We have since used the money made to ramp it up. 

We do not count on making money and do not use this to live on, all our real estate profits go solely to more real estate. So now we our playing on the "house's money". My wife and I do this together and we love it. We both use our strengths, she is great with finance and the computer and I am good with people  We spend time on nights and weekends addressing envelopes, looking at house on the computer, driving neighborhoods, and talking about the future. Any money made is just a bonus because the best part is doing this with my wife! 

Elliot