All Forum Posts by: James Green

"Most wholesalers are trying to scam sellers." - @Account Closed that's a very bold STEROTYPE,..."most". Most of the wholesalers I know, aren't scamming property owners. I do know some that do, but that is the minority. Maybe most (the few) the ones you know, scam individuals.

All the sellers I deal with, absolutely are under no impression that I'm going to buy their property. They know that another investor is going to buy their property. I'm simply matching an investor up with them to buy their property. They know at closing that I will not be closing on their property, but another investor will. You don't have to play those games, if you know what to say & how to talk with the property owner.

The truth is, motivated sellers DON'T CARE about who is buying their property, they want to know when it will close and when will they get their money! Period. I've only had a few contracts fall out & of those that did, they didn't close because the homeowner wanted to much for their distressed property & I told them that up front.  They still wanted and were willing to let me find an investor to buy their property. Or they had title issues such as liens which would be their responsibilities as written in the contract.

@Joe Splitrock are you saying that as an " investor" you pay retail for all of your units?? If so you must be a purely buy & hold person. 

On the flip side of investing there is not ONE flipper/rehabber or wholesaler that contracts a property at retail/market value. There has to be equity/profit in the deal at the end.

Lowballing tends to have a negative connotation. Do you gladly walk into a car dealership and pay top dollar or do you "low ball" them ...some might even call it negotiate. Good wholesalers & rehabbers negotiate deals that work for them & the seller. It either works for all involved or not. The formula and the exit strategy drives the numbers.

@Joseph Cornwell keep rocking it. I will be venturing into buying small multifamily properties this summer. I hope you dont mind me asking but what are you doing with the cashflow? Does each property have its own bank account, does any of it go into the Cornwell family account or are you building up your funds?

@Sheila Berry finding buyers is THE EASIEST part of wholesaling. Just go to a couple of REIA meetings in your area and network and collect business cards. Advertise on here, for buyers. Motivated buyers are easy to find, motivated sellers are not.

@Larry Wilson network in your local market. It sounds like you have more time than money & experience, so if I was you I would add going to every meetup/REIA in your area. Learn who are the actual wholesalers & cash buyers in your area and offer to be a bird dog for them. They will tell you want they want & how to go about doing it.

@Austin Sanne you can sell it retail to an investor via an agent you are working with. This won't work with individuals looking for a buyer wanting an owner-occupied house. It's called wholetailing.

@Dan Roma you have kind of screwed up. I don't actively seek to work with licensed RE agents. The ones I do work with, have always come to me & we set up an arrangement that way. But I haven't had to make a "creative" solution to get paid & they don't speak with my seller,...they have no need to. I have the contract, they have investor buyers. 

@Paul Wakim there are actually a few software applications already out there that do what you just described. 

@Chandler Roman are you rehabbing for an investor or strictly retail clients? If you have no money, go as inexpensive as you must. You don't need a "business phone", get a google # its free. DO GET BUSINESS CARDS. Don't take 1 week to figure out what to put on it, it can be as simple as a a random house icon, your own name, google #, and title of "Real Estate Investor". Try to pass out a pack of 500 to everyone you know & don't know. You will start to get deals or at least referrals. Tell everyone you are buying real estate and ask them if they know anyone that needs to sell.

@Jeffery Neal how can he force you to sell him a house at a price less than what is stated on the contract?!?! If he signed contract A for 50K(originally 55K), how then can he make you sell him the house at 47K (8K less). 

Has he deposited an EMD with your title company? If he hasn't dropped an EMD, you have no contract.

Even if he has, the contract price is the contract price unless you both mutually agree to a different contract.

FYI, I'm not a lawyer, so you may want to run this buyer your title company.

If it was me, I would kick that buyer to the curb, if he hasn't dropped their EMD.

As for me I give buyers 3 business days to deposit and EMD, or it goes to another buyer. All properties are as is, ..you do your own due diligence, before there is a contract signed.