Can wholesaling be done without a mentor?

[tbodley74]

No, I have no out of pocket cash to flip wholesale contracts. This is what I been talking about all this time in case no one noticed. I thought I didn't need cash or a mentor to simply assign contracts to end buyers. It looks like I have been wrong the whole time. And all that talk pro investors talk about saying you don't need money or credit to do wholesaling. Oh well, thanks for bringing it to me attention. I guess you do have to your own money to do wholesale deals. Or do you?

Do you have cash to do a deal now?

[tbodley74]

A lot of what you mentioned is what I already know. I did learn how to fill out contracts. I know about bandit signs. I do have a few buyers on my buyers list including those WE BUY HOUSES people. At first, I didn't think it took thousands of dollars or money out of pocket period just to get into the business of flipping one simple assingment contract. Yes I even know where to get transactional funding.

Hi tbrodley74,

You are going to incur some small start up costs. I learned this. Treat real estate as a business. I recommend eventually incorporating. This can help you later on to obtain business credit. You can use business credit lines to do your investing.

Let me see what I can tell you off the top of my head. I would recommend you focus on the things you need to get situated right now. You need cash and you need buyers right? Also, you need to learn how to fill out contracts (this is something not all real estate investing guru programs teach you). Not knowing how to fill out contracts is what slowed me up and the fear of not knowing what I was doing.

Why don't you build your buyers list. You can do this with bandit signs, craigslist, or do a search for real estate investors online using the search term we buy houses. Search the newspaper for landlords. Search online for rent ads. Contact these landlords. Be friendly and introduce yourself. The idea here tbrodley74 is to connect with these investors, see if they are interesting in acquiring rental property, what types of properties they like and what locations interests them.  You also what to know what their buying criteria is. What is their price range, etc.

You can even call other wholesalers. Put them on your investor list as well. Be sure to put down which investors are cash buyers and how soon they can close. In the beginning, I would say focus on your building your buyers list before you wholesale your first deal. This will give you some confidence to do your deals. 

Build a list of at least 50 to 100 people in the beginning. However, I really have to say, the bigger the better. When you contact these investors, you need to find out what areas they invest in. This is important. Give your buyers what they want. Then continue to market for more buyers weekly. You can do this for free by using craigslist.

You can also find investors on facebook. Join a bunch of those facebook groups geared toward real estate investing. Get involved in those online facebook groups. Have fun, ask questions there, answer questions there, and meet new people. Connect with the people in those groups by sending friend requests.

Join twitter and search for real estate investors on twitter. Both twitter and facebook are free ways to build a presence online and to connect with other investors.

Look on youtube to learn how to fill out contracts. JP Moses has videos on how to fill out contracts. I believe Steph Davis does as well.  She is on youtube as well. Learning about contracts and contingencies is very important. You want to make sure you protect yourself.

Also having the right title company is important. I did research that attorney owned title companies are a good option. They understand real estate contracts and creative real estate investing techniques. However, being attorney owned is not vital. Your title company does however need to understand the type of deal you are transacting.

If you need to bring money to the table for a 1 day flip, transactional funding is a possibility. You can also consider private money or hard money for longer term holds. Contact the transactional funders and hard money lenders to see what is their funding criteria. You do not want to put a property under contract only to find out that they do not fund that type of deal. So, ask this before you get in the game.

Private money is cheaper and terms more flexible. A private money lender can be your uncle, aunt, mother, brother, sister, friend or anyone who has cash tucked away to invest. It can also be a person you do not know who wants to invest. You may even have money yourself that you don't even know about. You or someone you know may have an IRA. That money be put it in a self-directed IRA specifically for real estate investing.

You will also need to learn how to analyze deals. You can learn so much on youtube. I think Steph Davis may discuss this as well or Jp Moses.  You can google them both.

It is best to find a local mentor. However, if you do not have the funds to pay a mentor, good ole' youtube, research and learning as you go is what you may have to do.

Everyone starts somewhere. My teenager even jumped into the real estate game a few days ago. He learned about real estate in one day and I did not teach him. He simply started connecting with people.

The things I gave you are just a few of the first things that need to be done.

Once you get your first property under contract you will be much more confident. My advice to you is to stick with it. Some people wholesale their first property in weeks while others take years because of fear. Don't be afraid to do this. Stay focused. You can do this!

[cindydm]

A lot of what you mentioned is what I already know. I did learn how to fill out contracts. I know about bandit signs. I do have a few buyers on my buyers list including those WE BUY HOUSES people. At first, I didn't think it took thousands of dollars or money out of pocket period just to get into the business of flipping one simple assingment contract. Yes I even know where to get transactional funding.

Ok, having all of what you say you have lined up is good. There are different ways you can do wholesaling. You can market other wholesalers deals with a flex option. Look into flex options. From my understanding, this will allow you to control property without using your own cash. It gives you the rights to market it to your buyers list for a certain period of time. It also removes the fear of the seller not being able to look for a buyer on his or her own.

[tbodley74]

I heard about flex options. I just don't know where or how to get them in my state, nor do I know how to fill them out.

A lot of what you mentioned is what I already know. I did learn how to fill out contracts. I know about bandit signs. I do have a few buyers on my buyers list including those WE BUY HOUSES people. At first, I didn't think it took thousands of dollars or money out of pocket period just to get into the business of flipping one simple assingment contract. Yes I even know where to get transactional funding.

Ok, having all of what you say you have lined up is good. There are different ways you can do wholesaling. You can market other wholesalers deals with a flex option. Look into flex options. From my understanding, this will allow you to control property without using your own cash. It gives you the rights to market it to your buyers list for a certain period of time. It also removes the fear of the seller not being able to look for a buyer on his or her own.

[cindydm]

Check your inbox. I sent you information on flex options and where to get a free one.

Cynthia