Wholesaling Houses: A Strategy For Real Estate Investors

Posted: July 29, 2011 in Wholesale Tips

Wholesaling: A strategy for investors that want to make $10,000+ every month!

Your exit strategy is an extremely important part of your real estate investing business. In fact, it is one of the most important parts. Sometimes investors get excited because they learn how to buy properties, they find them and they have the money lined up to purchase them, and they do, But when they get them, they have no idea what they plan to do with them.

You must know your exit strategy when you buy. What do you plan to do with the property? Knowing this allows you to make all types of decisions, from how much to offer, to what kind of financing to us, and more.

What is Wholesaling? 

It is simply finding a bargain property and passing it on to a bargain hunter. That bargain hunter will be an investor who will either purchase the property to resell it or purchase it to hold it for rental income. Your profit as a wholesaler should be between $5000 and $15,000 on each house. In some cases it will be higher than $15,000 and on some deals your profit may be a little lower than $5,000.

Why wholesale?

Real estate investors choose to wholesale properties for a few reasons. They could be:

  1. Quick cash – it is possible to turn a property around anywhere from 7 to 45 days and get cash in your pocket. If you need to get your hands on some cash quickly, this would be a reason to wholesale. Or, you may not need the cash immediately. You might just want to build your cash reserves. Wholesaling is a good way to do this quickly.
  2. Too many houses – maybe you’re good at finding houses, but you find more than you need or can use at any given time. If this is the case, wholesaling is a smart move for you. You can still profit from your locating skills, even if you aren’t going to keep the property for your personal portfolio.
  3. Flexibility – at any given time, you can determine whether you want to keep a property or sell it. This gives you flexibility as you locate and purchase properties.


Learn How To Wholesale Houses Like A Pro With Our COACHING PROGRAM HERE!


Comments
  1. Excellent post. I was checking continuously this blog and I am impressed!
    Extremely useful info specially the last part 🙂 I care for such info much.
    I was looking for this certain info for a long time.
    Thank you and good luck.

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