All Forum Posts by: Simon Ghandil

Wow, I love the kitchen. Great job.

How did you find the house, and how long was the rehab process?

"This is a fast flip for a small profit"

Yet he's walking away with the $40,000 assignment fee AND he said no showings will be available. Last but not least, he disclosed his fee and advertised this home on Craigslist instead of his own buyers. As everyone says, do your due diligence, but the fact that he's not looking out for the investor by asking for such a large assignment fee and saying the investor will make a small profit raises some concern.

I just found a house for $125,000. I'm sure I can get it for much lower. Houses in that area are going for $250,000. An agent listed this house on the MLS as well, so I know that it can't be that rough on the inside, but then again who knows.

Next step: Find funding!!!

I never understand how folks can advertise houses on Craigslist. If I was a seller and knew someone was assigning my house, I would be PISSED if I saw it on Craigslist. Nothing towards you, I just like to mention it when I see someone mention advertising on Craigslist.

Is the house vacant? Usually its a lot easier to get buyers in and out a vacant home if you have a lockbox that you can put a key in. Also, please don't say "I'm bringing my contract and inspector through" when in reality it's a potential buyer. 

If the seller is living in the house, just take as many pictures and videos as you can.

Does the seller know you are assigning it, or does he believe you are purchasing the house yourself?

While I agree with @Thomas S. about screening and learning everything about a self-employed tenant, I don't think you should not rent to someone because they aren't self employed.

I've been self employed since I was 18, and finding a place to rent was one of the most difficult obstacles I had to hurdle. Now knowing that I could afford rent, I would be willing to show everything such as bank statements, checks, references, anything that would show that I am financially capable of paying rent.

Now if there is a red flag, or if the tenant feels uncomfortable with your screening process, then I wouldn't hesitate to move on to the next.

Usually showing proof of funds or having a reference (title company) usually does the trick for me. I tend to be more open with the nervous sellers that think I have other intentions.  

I was fortunate to meet my mentor through a mutual friend at the bank. l have no idea where I would be if I had not met him.

What he has taught me, and this applies to anyone learning on their own is to be active. Go to every single house, even if you know its not a good deal you should go because every house is a learning experience. You won't know what you can do until you jump right into it. The first house I ever went to was a house that was completely renovated, and I offered 70% retail for it. Do I feel stupid about it now? Yes. Was it a lesson that I learned from? Absolutely.

Also; get used to flakers. You'll run into a lot of them. They'll show up as sellers, buyers, mentors, friends, people are just afraid to let you know they're not interested. Good luck!

@John Thedford 

I feel like I'm the only wholesaler that agrees with your views haha. 

I have cash to close on a house that I put under contract 99% of the time, but I always let them know that I will intend on wholesaling it to somebody more experienced than me, since I am still searching for my first rental property. If I had a couple houses under my belt, this conversation would be totally different.

Key is, all of my sellers know what I do, all of my buyers know that I don't mark up the price ridiculously so I can make my money, so they literally pay a small fee so they can make their money.

I've never had a scenario where I've had to close on a house with my own money because I couldn't find a buyer, but if that day ever comes I know I'll be prepared for it.

*Awaits comments from new & angry wholesalers waiting to attack you*

@Chris T. 

We get a ton of those with our rent to buy homes, and then they get mad when we don't sell it to them for a discount.

I get so many of them talking like a robot. "Hey, if you're behind on your payments, let me know because we can make you a cash offer." 

They'll even ask me how low would I sell the house for OVER THE PHONE. 

It's very rare to find credible wholesalers that I can network with. I have only a few, my mentor and a friend. 

Simple question, I don't want to make this longer than it should be.

Why do some wholesalers feel the need to carry the title and call themselves investors? Do you think it makes you look more professional when you call yourself one? I'm sure there are investors who wholesale, I am not talking about that group of people.

I am talking about the wholesaler, who misrepresents others as an investor in hopes to get more deals because the of the weight the term "investor" carries. 

I feel this way because I just got off the phone with an "investor" who wanted to buy one of my houses, only to find out that he was a wholesaler with no cash to close. WHY DO YOU HAVE TO LIE.

If you call yourself an investor but you are only a wholesaler that brings houses to buyers (supposedly), I would love to hear your reasoning. 

P.S. I am a wholesaler myself, but I hate lying or any form of dishonesty in this business.