All Forum Posts by: David Tower

Most Pros recommend pre-qualifying the lead over the phone to test for motivation. As a new wholesaler, most people are so eager that they'll go meet EVERY person that calls with a hint of interest. That's a huge waste of time when only a few of those people are truly motivated.

If you determine over the phone that they are truly motived AND there's a big enough spread for a deal, you can set up the appointment to meet them. Otherwise if they are just a tire kicker you can throw out a soft pass number over the phone, get their info for a follow up in a few months, and be done with it.

Remember that if someone is truly motivated you NEVER want to say the first number, which is another reason not to give an offer over the phone.

I am by no means an expert, but you are asking for trouble not having ALL this stuff planned out before you buy. Not knowing how much stuff will cost or even who your contractors will be can spell disaster for your timeline and your budget.

Also, you'll get more and better replies in the rehabbing forum as opposed to the wholesaling forum when asking about a rehab.

I don't mean to rain on your parade I honestly wish you the best of luck. Congrats on your first flip!

It got rehashed because I'm going through all 98 pages of posts starting at the back :D

I'm seeing all kinds of super motivated people from 07 and 08 who dissappeared. The worst are the ones describing their grand slam deals, getting some advice, reeling me in where I can't wait to find out how awesome it turned out......and then they never give the outcome (GRRRR)

Yes...I know this thread is from 2008 I just thought people would find it amusing. This guy had a grand slam deal set up, Jon told him what the P+S was called, and then.....nothing. I guess it didn't pan out?

I started on page 97 and working my way to present....but it seems like this sort of thing happens a lot. I just hope 3 years from now people aren't reading this and seeing ME with 15 posts having faded in to nothingness.

In fact, I think I'll save this for a laugh 3 years from now when I'm the #1 wholesaler in my market! Hey, I've been reading Tony Robbins, gimme a break =)

Hi folks,

I have read most of the information regarding buyer's lists here on BP and I think I have a good idea to add. I'm looking for feeback.

Everyone knows about going to the "courthouse steps" and shmoozing with the buyers at auction. Some of us, sadly, still work 9-5 jobs though and can't get there during auction hours.

My idea is to get the lists of the property addresses that are being auctioned and then find out who bought them via the tax records and send them yellow letters. I suppose it's similar to having a realtor pull all cash transactions off the MLS, but these auction properties wouldn't show up on that list right?

Thanks for the feedback.

Hello BP,

I'm looking for some sagely advice. I'm still getting started and looking to break in to the wholesaling business very soon (also rehabbing and buy+hold).

I plan on wholesaling while keeping my 9-5 job at least until I have built cash reserves of $50k.

My dilemma though is that my girlfriend really wants to move to Florida (I enjoy it there also) but I'm from the Mass/Rhode Island area and I don't know anything about Florida real estate. I just got back from Clearwater beach and we drove all around the tampa/clearwater area and I gotta say.....a lot of neighborhoods are run down with closed businesses all over the place.

Does anyone have any insight on starting somewhere brand new vs. your hometown area as a brand new investor OR Florida real estate investing in general?

Maybe it's just a confidence thing being brand new, quitting the J.O.B, but my heart tells me that Rhode Island is where I should start until I'm established in this business.

Thanks!

No Love? I thought these were great questions =)

It sounds like you're off to a great start (taking action). If you need some help with motivation and dealing with unwanted results (remember, there is no failure, only results) I highly suggest reading Think and Grow Rich if you haven't already and also Awaken the Giant Within by Anthony Robbins.

I've really been enjoying Sean Terry's podcast also and I reflected a lot on a recent quote of his "There's no questioning IF this works. It CAN work and it DOES work....the only question is will YOU work" I enjoyed that one.

From a newbie building his business plan....

1. When meeting with sellers, do any of you bring a worksheet/powerpoint that highlights the negatives of trying to sell retail and the benefits of selling to you? I'm thinking, at least for me, that this will be a good idea so I don't forget anything.
I was thinking also of bringing a calculator and notebook so I can take the low comps price and show step by step, starting with that price, how we'd take off realtor commissions, closing costs, repairs, etc and wouldn't be far off the price I'm offering. Any thoughts or suggestions there?

2. I know that we're never supposed to give the first number. But when it is our turn to counter....what techniques do you use or what do you say exactly when giving your number? Do you qualify it by saying something "I only do deals that are win-win for everyone, but based on the risk/repairs I'm going to need to be at X" And is that number always a few thousand less than your best price?

3. What happens when your seller, who has no idea that you're wholesaling the deal spots your craigslist ad,bandit sign, etc marketing their house? I guess you could say something like "well I've got a few deals going on right now, and I'm just keeping my options open. I may want to assign the contract to another investor if I've got too much capital tied up"

thanks in advance!

Hello Tom,

I'm new as well and still completing my business plan but I'll attempt to tackle a few of these based on what I've read, heard, and researched. They say you recall the things you teach right?

3. An "investor friendly" title company needs to be able to complete both double closings and assignments. Some title companys don't understand that a double closing can even be done. They might even say they can do it to get you in the door without knowing what you're talking about. Also, you may be able to get a discount with repeat business as an investor at certain places.

4. As you said there's plenty of people that don't make an earnest money deposit and some that give up to $100. There seems to be mixed feelings about this and some say that in some states a contract is not legally binding without some minimum amount of deposit. I tried to search on the internet for my state (RI) and only found info about purchasing houses retail. A local "guru" here at my REI says in their contract they put something to this effect "$500 earnest money to be held by our attorney" and he says it works fine. Personally I'm not putting more than $10 if I'm going to lose it if I can't find a buyer.

6. It really does depend on your comfort level/preference. It might make sense to ask for a higher amount on a bigger deal but it just comes down to how much security you want to get. Be confident when giving your terms to the buyer. Cash buyers expect to have to put a deposit down, so it's not like you're asking for something extra.

Hope that helps!

Good luck