Wholesaling in real estate is an entire business in itself and generates super-fast profits, usually without ever acquiring the title on the property. It’s not uncommon to pick up a check at closing, with the seller and buyer present at the same time. In fact, it is possible to earn thousands in less than a week after finding a good deal. The best wholesalers in the trade have years of experience when it comes to finding the best deal possible, then marketing them mainly to retailers. The first purchaser is willing to take a smaller, fast profit and leave the larger profit to an investor with the time and money to buy, repair, and sit on the house until it’s sold.
Some wholesalers can buy and sell houses even just once or twice in 30 days and earn big cash through it. This is a job where you are your own supervisor, one where you don’t need to pay anything upfront or have good credit to qualify for. Finding a good deal would attract buyers to you like mice to the Pied Piper’s flute.
Finding a good home at a dirt-cheap price for bargain hunters is probably the surest way you can earn $5,000 easily. The whole process shouldn’t take more than 15 to 20 days from the beginning to the end. Following are some tips for wholesaling.
Avoid overpaying. Remember, you’re selling to bargain hunters. You need to allow them some leeway to make a profit, or you stand the risk of not finding anyone to buy. Ideally, buyers should net about 20 percent or so of the selling price, after expenses have been taking off.
In as much as possible, sell for cash when there isn’t any option left. Your buyers need to pay up in cold, hard cash, and not through their bank. Don’t allow buyers to learn banks won’t finance junkers at your expense. If a buyer can’t close in 15 days or less, find another buyer.
Use an assignment of contract and let your closing agent collect your fee.
Wholesaling can be much easier than one can imagine. It’s nothing overwhelming or tantamount to info overload. Most wholesalers do ten deals a month maximum and make lots of money out of it. Some make more on one wholesale deal than most people make in a year on their job.