Wholesale

 

The first way to lose money in real estate is to purchase a property for more than it is worth. Of course, what a property is "worth" is the price eventually agreed-upon by buyer and seller. Not exactly a science! So before you acquire a property you need to have reasonable assurance that someone will one day pay you enough for you to earn a profit -- after considering all your costs. It. As a novice investor it is common to over pay for a property.

 There are several ways to determine the value of a property; become a student of selling prices in the target neighborhood, hire an appraiser, consult the tax appraiser's web site, determine recent market comparables through a public data base, or make an informed guess. I don’t encourage this, but after some practice you will feel comfortable making an educated, experienced guess. I rely on my experience and the extensive market intelligence I receive everyday from my network. As a client of the Rehabber’s Superstore, I will teach you the best way for determining value. With practice and guidance, you will quickly gain the confidence to buy right.

 The Rehabber’s Superstore also sells wholesale properties. However, because of the excess demand from rehabbers and investors, they move quickly. My wholesale properties sell quickly because they are typically purchased below market and priced to move within days of acquisition. I buy most of my properties from distressed sellers needing quick cash and no hassle. I also buy assignments from some of my clients -- assignment is a fundamental real estate investment technique I teach to increase marketability and cash flow.

 If you are fortunate enough to catch one of my wholesale deals I can assure you all the numbers work. You will make money! Most of my clients who I sell wholesale properties to use hard money; 5 points and 15% annual interest. When you use hard money you must buy the property at a good price or you will lose your shirt. To cover the high cost of hard money you should be able to do the following:

 1.) Buy the property quickly

2.) Pay for the rehab cost (draw funds as you need them)

3.) Cover the holding cost (mortgage, utilities)

4.) Put some money in your pocket

 It is quite a challenge, especially for a novice, to oversee all of these complex steps and work through uncertainty. However, the name of the game is making all the numbers do work.

 When purchasing any of my wholesale properties I will provide you with free consultation with every purchase you make.