All Forum Posts by: Rob Ferdinand

Thanks for the reply. I understand low conversion rates for wholesaling. If I can get 1 deal from 100 leads than I'll know how many leads I need to find, say 8 deals a month. It's a numbers game like any other sales business. X number of leads will result in X number of sales, averaging $X  per sale etc.

I have no desire to work as an agent.
My ultimate goal is to invest is rental properties for cashflow and long term gains, while rehab/flipping. I see huge value in running a humble wholesaling shop as the foundation of the operation. If I can develop the business and build a very small team to get it on auto pilot, I'll have an internal lead machine bringing me deals to flip or rent.

 Some may same I'm over ambitious for someone who hasn't done my first deal, and I get it. I just take that as maybe I'm on the right track.

 Thanks for the reply, Doug. Appreciate the motivational words. I've spent the past 3 years building a start up as a small equity partner, but basically an employee. I know this will take tons of work but I'd rather do it for myself than someone else! Thanks again.

The majority of potential sellers will be from different lists I generate. I plan to have an automated lead campaign service contact the leads several ways. I will also work the phone.

As for tracking leads, I will likely use spreadsheet until my first deal at which point I'll likely get a CRM. One of the programs I plan to buy claims their software doubles as CRM, but we'll see.

Hey, everyone. 

I've been deep down the rabbit hole lately and have been up every night geeking out on all things real estate. 

My original goal was to purchase a multi-family and later flip to fund more buy and holds, and BRRRR etc. I've come to the conclusion that I'm going to need a little more preparation before I'm ready, so I'm going to wholesale in the meantime.

Here's the rough plan, all feedback is appreciated!

-I've made a website for online presence

-Plan on building a buyers list (Searching cash buyers in Propstream/Reipro/Listsource type programs, and Bigger pockets). OTHER IDEAS?

-Will use automated RVM/text/email service. (Reireply or Reirail). Any experience with these?

-Working on some basic scripting to get me started, for both sellers and buyers, and will fine-tune as I go

-I plan to generate leads several ways, and it will take a lot of time and data to hone-in what works for me. Driving for dollars with deal machine, plan to research probates (clueless as of right now how these work), Run filtered call lists from programs like propstream/reipro, targeting many different situations such as pre-foreclosures, back tax etc. I still have a ton to research and trials here as I go! 

-After my first wholesale deal I'll likely invest in targeted direct mailers, a little SEO/pay per click and website management, and the same developer I'm familiar with can build and manage a FB page, write webiste blogs etc.

-Eventually, use Carrot to host a separate website for my buyers where I can list properties under contract, just to streamline my deals for me and my buyers

Questions:

-Some of the Softwares that are available run comps and forecast ARV's, as well as skiptrace all in one. What works best for you?

-I'm searching for a wholesaling friendly attorney for guidance, and make sure I'm using proper contracts. Referrals appreciated! Currently, I have several P&S contracts from the web but not sure about my state-specific laws in Massachusetts.

-It sounds like If I contract a deal and for some reason, I fail to find a buyer, I can back out without consequence, aside from any earnest money?

-What pitfalls should I be aware of?

Thanks for reading guys. Looking forward to some feedback!

Assuming you're able to negotiate the price down and contract the house, what will you do next? Do you already have investors lined up that are interested in these types of deals? 

Side question for everyone, What do these wholesale contracts look like? 

Makes total sense that's driving the market. A friend of mine, who also happens to be an agent, is listing her $600k 2 family in Winthrop as 2 condos for about $550k each. I'm definitely aware of these opportunities. 

I'm not positioned with enough capital yet so it closes the doors on a lot of deals, especially when talking big rehabs. I need to find other ways to hustle my way into the game!

Thanks for the reply!

 Thanks!

Hey Zac. Thanks for the encouraging words, I'm sure there are plenty of great deals out there for everyone.

I'm currently modeling about 25% in total. 8% vacancies, 5% repairs, 5% apex, 7% management. 

I like using the 50% rule as a pulse, but I think I wasn't calculating incorrectly. When deducting the mortgage costs from the 50% left after "expenses", I was using the FULL mortgage which includes taxes, insurance, and PMI. When I changed this and only use the principal and interest as "mortgage costs", it seems to make sense now with the rest of the numbers.

Sound about right?

Hey, Rob. Thanks for the reply. It's funny, I've been hearing that advice a lot lately. People keep suggesting far West or far South, OR out of state altogether. I'll start checking the markets in NH/RI. My personal dilemma is I need to stay local but I really want to take advantage of an FHA loan (and house hack)...Decisions, decisions.

@Avery Heilbron $2,800 for one of the units... how many beds? I've been focusing on 2-3 bd units. I feel 4bd+ would be more difficult to fill than 2-3, but maybe I'm wrong?

My logic is 1 bds may have high turnover rate as singles may leave to move in with a spouse, or couples need to upsize when growing a family.

Anyone have thoughts on what size units are the most stable, in terms if turnover and vacancies?