3
Steps to HUGE Wholesaling Profits
With Real Estate
By Dan Kleinke
Can people make 5K – 1OK a month wholesaling homes to other
real estate investor…YES. It happens every day & I will
share with you strategies that I have used over the years to
make this one of my most profitable streams of income in a
17 year career as an investor.
First, what is wholesaling property? Simply put, it is
getting property under contract, than re-assigning the right
to buy that property to another investor
for which you are
paid a fee. Your fee can be anywhere from a few thousand to
15K or more, depending on the property & equity that the end
investor will realize.
Is it that easy? Yes wholesaling real estate really is that
easy…once you
have 3 components in place;
1st…You
need a steady supply of leads & I mean a lot of them. More
leads equals more opportunities. Remember, wholesaling
involves getting a buyer to agree to sell you a property
well below market value. The more equity you have in a
property, the quicker you can re-assign that purchase
contract to another investor and make money.
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Properties like that are rare, so you need several
streams of leads coming in. The ideal property that
moves the quickest when wholesaling is a 3Bd / 2Ba
in a good location with 4O% or more in equity. Leads
on properties like this can come from a number of
sources such as bank REO (real estate owned)
departments or realtors that specialize in bank
foreclosures. Other sources are friends, family,
people you work with if you have another job besides
investing, people who call on business cards that
you leave all over town, church members, bowling
buddies, PTA members, other soccer moms & dads from
your kid’s team, etc…
You get the
idea & it does take time to build these contacts but the
payoffs are Huge!! ALWAYS offer a finder’s fee, I give $5OO
to all referrals that close & I can wholesale. As far as
friend, family, etc. who refuse to take the cash, I make a
donation to their favorite charity or church in their name,
talk about added positive exposure!!
2nd …
You typically need loan commitment from a bank or private
investor before the buyer will seriously consider selling at
a deep discount. The number one reason buyers sell for lot
less than what their property is worth is that they want the
money & fast. If you have access to funds & can close
quickly, you success rate will skyrocket as a wholesaler.
3rd…
You need a network of other real estate investors built up
so once you have a property under contract & ready to
wholesale, you are able to call several that day.
When I say several, I mean 2O - 3O for something that is
demand such as that 3Br/ 2Ba I wrote about earlier. This
ensures that you will wholesale that property quickly, get
your money & move on to the next.
I’m sure you understand by now that wholesaling real estate
is a very profitable segment of the investment market but
does require some prep work. It takes time to build
relationships both with sellers & buyers as well as secure
financing to be successful. However once you have these 3
components in place, it literally is a money machine that
never stops and can easily reach 6 figures in income a year.
The good news is that you can start off as a bird dog
locating properties and selling those leads to other
investors. Even if you don’t know any investors or
wholesalers yet to call yet on with properties you have
found, just call all the yard signs, billboards, classified
ads, etc. that advertise “We Buy Houses”. That one simple
strategy can turn you into a full time wholesaler in no
time. Hope this information helps & wishing you much success
in your wholesaling real estate career.
Dan Kleinke
– is an active RE investor currently having either bought,
sold, brokered, wholesaled, or financed over 1OO Million
dollars in real estate transactions, many using creative
real estate strategies.
Get a FREE Report written by Dan titled “Goal Setting
Success for RE Investors” by
click here
…
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Foreclosure Secrets" by
clicking here
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