All Forum Posts by: Wesley Davis

@Misael Carlos Vera I agree with @Nathan Gesner 100%. While financing the project right now may be a large hurdle you will encounter many new conflicts when managing your property long distance. Continue to learn and save. That being said you might look into different sectors of REI like wholesaling or become an RE agent. This will reduce the risk of a long term investment and gain experiance in the industy. So, when you do move to a new area you can hit the ground running.

@Wayne Brooks thank you for the information. 

It is to my understanding that while State Statue 475.43 is pertinent to buying/selling real estate, it is not necessarily applicable to "wholesaling." Based on our research and consulting with our RE attorney, I will attempt to sum it up. "Wholesaling" is not a precise legal term and the wholesaler is not buying/selling the property, they are selling the contract to the property. That's why the phrase "assigning the contract" is commonly used in conjunction with the term "wholesaling."

If you understand this differently, please let me know.  I definitely plan to reconfirm this Statute (and practice) with our RE attorney.

Thank you for the information!

Wesley Davis

@James Wise

With the appropriate contracts from a real estate attorney, who is familiar with the wholesaling process, how is it "almost always illegal"? If so, why do so many real estate professionals suggest wholesaling? 

Thanks,

I have recently made the transition from architect to real estate investor and I was wondering if anyone knew of any REIAs or Biggerpockets meetups in Southwest Florida (Fort Myers - Sarasota)? If you know of any or see a need start one please respond.

Thank you

Ashley,

While the process of wholesaling is "easy" getting started in a new industry is never easy. Educating yourself would be priority number one. What do I mean about educating yourself? Wholesaling has 3 main facets. 1. Back of house, which is making sure you are in compliance with all government authorities, tax allocations, build your team (accountant and real estate attorney to start), etc. 2. Understanding what goes into construction/rehab. If you are new to construction watch youtube episodes, talk to contractors, visit home depot for a basic understanding. 3. Communication skills, once you decide how you are going to find distressed sellers (cold call, mailers, etc.) you will need to understand their problem and attempt to fix it. There are several cold call conversations recorded on youtube (Max Maxwell). 

Summary

1. Get your business in compliance 

2. Find sellers

3. Fix their problem (find a price they are willing to sell for, knowing basic rehab costs)

4. Sell Property (BP marketplace, local fix and flippers, local realtors) *make sure you have the proper forms from your attorney.   

While this is a grand overview each task has its complexities. If you decide to work with a mentor make sure your interests align. Also wanted to note, that you need very little money to start wholesaling and all that money goes to finding deals not actually selling the property. Since you are "assigning the contract" you relieve yourself from all financial risk. Hope this helps.

I am right there with many of the architects. I studied at UF and worked for a couple of firms including a starchitect. So many of the meetings would revolve around a developer saying yes or no to design options that took countless hours of work. I then realized I was on the wrong side of the table. With the covid downturn and getting laid off, I saw the perfect opportunity to start my own RE investing firm (along with my business partner, Civil Engineer). Having that architecture experience is great but I don't plan on ever going back.