All Forum Posts by: Tom Gimer

Kris congratulations, seriously, you are passing the test! The test where one uses there head for more then a neck weight or hat holder.

Your spot-on. 

Thing is, once upon a time wholesalers engaged in there place, and were happy to do so. They were a conduit for the "deal" and many were proud of such. 

That creature is all but extinct. 

And like some body-snacher flick this parasite has taken over the "wholesaler" space all but totally, zombified creature feeding on your capital vs brains although they do consume a considerable amount of ones patience as well. 

They argue there existence is just, taking people for every cent regardless of viability int he "deal" just, because they could, because people allow them to do so. 

The honor in the craft is all but completely gone. 

This is a ludicrous statement - "Although wholesalers source their product from general population (home owners), they actually cater to investors."

Most sellers believe they are engaging in an arm's length transaction with a buyer, not a wholesaler. The seller is the client and if you are transacting real estate business, most courts would likely decide, at some point, that a fiduciary duty is owed which is why states are cracking down on it.

If you are catering to investors, that is the problem. You can't cater to investors and also help the seller who is the person you are contacting first and placing their house "under contract" for you to buy, or in small print, assign.

 I called the taxing authority and they said NO. Per them it is standard practice to be aware that exemptions would be removed at certain point and back taxes will be charged. They said current owner is responsible even though they were for previous owner

Always happy to share and go JV if that's what gets deal done. I am networking too. I am curious though: if you locate a good property, and by good I mean (as an example) 3br 2 ba SFH, in a hot zip code, with plenty of comps to figure ARV, at 70% of ARV minus well estimated repair costs and reasonable assignment fee, and then offer it as is to investors in current market, how difficult would it be to sell it if your trusted/connected buyers didn't want to buy it? It's possible to find a great deal, but not where my buyer wants specifically wants to buy, not matching no. of br and ba he wants to have and etc.? Should I avoid getting such property under contract, even if it's a great investment opportunity that HML would be willing to finance if I wanted to rehab it? Are buyers/investors picky and particular about what exact parameters house falls under, regardless of how good of an investment it is based on verifiable (not inflated) numbers and metrics from data sources?

Great advise, thank you @Tom Gimer 

I spoke with some wholesalers who were able to get good properties under contract, but couldn't find serious cash buyer. It certainly makes sense to CLOSE on those and keep (to resell, rehab and etc.). 

Do you know what worked best for them when they just started? There are so many different options and big guys will advise to spend $5000-$25000 per month on marketing to get a steady stream of leads that can close deals. But what you do when you just start out, with lots of options out there (that come with risks to burn a lot of cash really fast, when you shouldn't do it)? Being too cheap also may back fire if you end up making 10,000 calls by pulling a list from Propstreams and never closing a single deal in the end.

 Any advise on best marketing strategies for starters, on "starting lean and mean" under current market conditions in Maryland, would be greatly appreciated!