All Forum Posts by: Anthony Ogletree

Sounds like my best bet would be to find some local landlords and other investors, find out what they want, and go find it for them and when I find deals I need to do a separate analysis as to if this is a deal for a fix and flip or a buy and hold. Correct?

So as a wholesaler, I have a little more bargaining room if I intend to sale said property to a buy and hold guy?

I was wondering if anyone can tell me how I should be thinking in terms of doing calculations on trying to make an offer on a wholesale deal for a potential buy and hold investor vs. a fix and flip investor. I know on fix and flip the general consensus is ARV minus @ least 30% profit margin to start (I already know about the other subtractions) but in a buy and hold scenario I need to also consider what the rents will be. Is there a formula I can use to determine how the ARV translates to rents (like if the house is worth X amount of dollars ARV it should generate X amount of rents)? Also when dealing with buy and hold investors do I still need to subtract the 30% off the top from ARV or is that a little more flexible since they will not be selling the property right away?

I guess what it comes down to is what THEY think would be reasonable compensation. If they want say 100$/ week to pull leads and I'm making enough to cover that comfortably then there's your win-win.

So I guess my question should have been "whats a reasonable amount to pay a realtor to pull a list of recent cash buyers or a list of people that have made more than 5 home purchases in the last year?"

Or I could just get a realtors license (which I am leaning heavily towards doing anyways so I can get my hands on that MLS myself)

Makes sense. I guess I would have to make it worth their while in order for them to work with me on that.

I was wondering is the MLS something that offers ease of access to RE agents or is it something that is time consuming when they go to use it? Reason I ask is because I'm trying to decide on a level of compensation to pay a realtor for throwing me some bones off the MLS to find cash buyers in my area. If its something that they can just sit down and run in 10 mins I would obviously pay less than if they have to sit around a wait an hour or two for a report. Insight on this anyone?

I really appreciate the insight guys!

What's a good fee schedule as a wholesaler? I'm sure its based on the size of the deal but is there a "rule of thumb" that I should stick to when I assign the contract?

I appreciate the response.

"War zones" are the low income-type neighborhoods? These war zones... you mentioned long term investing strategies... would that appeal to buy and hold investors? So when I think buy and flip investor, that would be the better neighborhoods with good school districts and the buy and hold can be either or correct?

So I just attended a two day REIA convention and networked with a lot of real estate investors. Honestly, many of them were new and the ones that were seasoned didn't seem to be able to give it to me straight when I told them I was a new wholesaler (BRAND new) and was looking for buyers. I asked what areas were good and what they were looking for. I got a lot of answers that seemed to contradict much of what I was told about wholesaling (pull up a chair because this is going to be a looooong post).

"Wholesalers should be trying to find the run down properties in lower income neighborhoods on the cheap."

I was telling buyers that I targeted said areas and most of them told me they were NOT interested in said properties. They all wanted to flip or buy and hold properties in "hot" neighborhoods with good school districts (Pittsburgh neighborhoods Squirrel Hill, Shadyside, Lawrenceville, etc.). I'm not even sure how I would profit from finding these types of houses as they are typically well maintained and people trying to sell tend to have realtors (which negates the need for a wholesaler I think).

"REIA provide opportunity for networking and FREE info."

There were 8 speakers and all 8 asked me to swipe my credit card once they were done speaking. I felt like they gave me a dumb down sample size of their strategy and told me to make it work I need to "invest" in their idea. As far as networking, there were people there that have been in the real estate game for years and didn't seem to know much more than me when I asked them questions about various strategies. When I was telling them about my strategy I saw a lot of blank stares after about 30 seconds of speaking. For all the knowledge, experience, and advice thats out there I feel like Real Estate is more of an art than a science. Amy I wrong? There is sooooo much conflicting info coming from "experts" left and right. Very frustrating.

Also, how does one go about learning the market? I've heard trending the MLS. I've also heard that neighborhoods have a 5 year plan that's public record. How would I get a hold of this?