All Forum Posts by: Tennita Funmaker

@Mike H. thank you and good luck on your projects too!  I was wondering too, the buyer is going to do their own numbers naturally because I don't think any rehabber would go off of a wholesaler's repair estimate.  Maybe just to include at least some type of accounting for those costs but yes, that's a good point too.

@Steve Trang Wow! 80% of ARV. Thanks for the tip. It seems like a lot of people wholesale for specific people. Here in Milwaukee it seems like anyone who has a good deal can mass market it to their network and someone will pick it up. Maybe once I get more experience I'll have a specific set of reliable buyers who I will work with.

@Caleb Heimsoth gotcha.  I wasn't sure if wholesalers look for a percentage per deal or if there's a minimum or average.  I'm sure it's probably a personal decision on how much value they place on how much time they've spent on getting the deal (after all the other numbers have  been configured) and like Pratik P. said, how well I negotiate the deal.  I know we're all in this to make money but I don't want to lowball a seller either since I'd already be offering way under retail.  Ideally, I would want it to be wins all around.  

@Caleb Heimsoth thank you for the suggestion, I'm working on that.  I haven't come across anything that specifically deals with this question.  But again, I'm still in the gathering information phase so maybe I haven't come across it just yet.  It doesn't hurt to get perspectives from different people though because everyone does things a little differently and that's the purpose of these forums.

@Jonathan M. a personal wholesaler! How cool is that?  I really appreciate your time and effort!  You gave me some real gems to kick around in my brain. I'll continue attending all the local meetings I can.  Thanks for your suggestions!

@Pratik P. I understand rehabbers would want all fees included and it's best for me to account for those when negotiating the purchase price but as a wholesaler, do you draw a bottom line for yourself as to how little you're willing accept in order to get the deal?  Like, what if you account for all the costs for the rehabber and you haggle with the seller.  Is there a point where you pass on the deal because the margin for yourself is too low?

@Jonathan M. thank you!  How do you typically determine your rehab costs and holding costs?

@Nick Basye thank you for all the info and posting the video! I'm still learning to navigate this site and how to find the relevant articles for me.  I'll get there though.

@Pratik P. that makes sense now to offer a lower number to the seller in order to make it work for the rehabber and myself. Fortune Builders recommends wholesalers take no less than 10% but I don't know if that's of the ARV or the purchase price from the seller.

@Jeremy England I'm with you on that.  Make it simple, transparent. Makes the most sense to me!

YOU GUYS ARE AWESOME!  THANK YOU!!!

I haven't done any wholesaling yet.  I'm just starting to gather information.  My question is when you find a deal you want to wholesale how do you determine your own profit?  Do you start backwards with what rehabbers would want (30%ish margin or so?) and then determine your cut?  Or do you start with your margin goal and leave the rest for the rehabber?