REPC Wholesaling 101. Present by. Edward O Daniel

Transcription

1 REPC Wholesaling 101 Present by Edward O Daniel

2 Disclaimer The topic of wholesaling real estate is such a large topic that a speaker or coach can spend hours going through the topics I will be talking about here. I will do my best to give you as much information as our time slot allows but I just can t cover 100% of the material you will need to wholesale real estate. I am happy to answer any questions you may have as long as you the meetup group as a whole so that everyone can get the benefits of the questions and answers.

3 Todays Discussion Edward O Daniel Bio Group s purpose Webinar replays REPC - Review What is wholesaling? The wholesaling Deal Wheel

4 About Edward O Daniel Husband and father of two daughters Real estate investor and property manager for the past 11 years Retired from my full time IT job July of 2015 after working in the industry for 18 years and now doing real estate full time. Owner of ERO Investments Fix and flip Owner of Dunamis Property Management Owner of STL Invest Turn key rentals Real estate coach for four years Disabled Veteran Army

5 Groups Purpose To help people who want to learn the real estate business by providing a foundational level of basic information. Quote: Finding good partners is the key to success in anything: in business, in marriage and, especially, in investing. Robert Kiyosaki

6 Real Estate Profit Centers Wholesaling Rehabbing Rentals Notes Lending (Private, Hard money, transactional funding)

7 What is wholesaling? Wholesaling is the sale of goods or merchandise to retailers, to industrial, commercial, institutional, or other professional business users, or to other wholesalers and related subordinated services. In general, it is the sale of goods to anyone other than the standard consumer. A wholesaler is a company that buys products from manufacturers and sells them at low prices to retailers or other wholesalers.

8 Wholesaling example Orange Farmer Sells at $.05 Orange Wholesaler Buys oranges at $.05 sells at $.08 Orange Distributor Buys oranges at $.08 sells at $.12 Orange Consumer Buys oranges at $.30 Orange Reseller Buys oranges at $.12 sells at $.30

9 What is wholesaling with real estate? Wholesaling in real estate is where the wholesaler (you) sign a contract to purchase a property at a discounted price, and then remarket the property to investors and homeowners for a higher price. Your fee is the difference between what you sell it for and what you buy it for. This process requires very little or no money to do.

10 Wholesaling with real estate example You see FSBO sign and stop to talk to owner. You agree on a price of $45,000 and sign agreement to purchase. You then place an ad on craigslist selling the house for $55,000. An investor calls you and after looking at home agrees to your price. You collect $10,000 fee from investor and the investor pays the $45,000 to buy the home instead of you.

11 The Wholesaling Deal Wheel

12 Locate Deals Marketing is this process of finding motivated sellers or getting motivated sellers to contact you.

13 Motivated Seller WHAT??? Motivated sellers are people who need to sell their house instead of wanting to sell their house. When would someone need to sell their house? Foreclosure Behind on payments Tired Landlord 2 nd House Making two payments Divorce Bankruptcy Job relocate Probate Death of parents etc Behind on property taxes House is vacant Little to no equity

14 Marketing Free to Low Cost Business Cards Networking FSBO Driving for Dollars Social Media Facebook Live Craigslist Ads Bandit Signs Magnetic Car Signs

15 Business Cards Where to get them? What to have on your card? Photo or no photo Your name, Phone (Office and Cell), , website, shor t message You can include business logo and company name if you have it. We buy Houses - Any location or condition, Wholesaler etc If you want to get fancy have a card designed on Fiverr.com. Example of my property management card

16 Business Cards

17 Networking REIA Real Estate Investment Associations Southside Investment Club Lifeonaire Club STL-MO Beginning Real Estate Training Chamber of commerce Meetup.com groups BNI groups Any social gathering you go to. Tell them what you do.

18 FSBO For Sale by Owner Many different websites for you to review FSBO.com ForSaleByOwner.com Just google fsbo websites

19 Driving for Dollars This is when you get in your car and drive around neighborhoods where you are looking to buy properties to Wholesale. You are looking for the ugliest house on the block. House has been vacant, tall grass, notices posted on the door or window etc. Write down the address to lookup owner later and contact them. Leave a business card in the door or side of mailbox. Can use 4x6 post it note with short message and stick it to the door. Do not be afraid to stop and ask people in the neighborhood questions. Hello sir my name is and I am looking to find a fixer upper house to buy in this neighborhood. Do you know of any?

20 Facebook Live I love this feature. You can get a personal message from you directly to a motivated seller right from your phone. Its simple. Just go on live and tell people what you are looking for. Show example video

21 Craigslist Ads Design Ads for craigslist targeting the houses you want to buy. Samples We Buy Houses Any Condition! Any Price Range! Call Now 24 Hours XXX-XXX-XXXX

22 Craigslist Ads - Example Stop Foreclosure NOW. Call US immediately We are experienced real estate problem solvers. We have helped people just like you. Let us help you. Call us today. - We pay cash - We can close quickly - No commissions when we buy your property Visit our website at or call us at

23 Bandit Signs These are 18x24 inch corrugated plastic signs that you see up on telephone poles or on H-wires that have a short message about selling your home. The signs most likely always offer a phone number to call if you are interested in selling your home.

24 Bandit Signs These signs for the most part are illegal to post on public property. So to put them out you have to be like a bandit and install them and leave without being caught.

25 Magnetic Car Signs These are cheap and very effective way to market your message. They can easily be installed and removed and you can in stall them on all your family members cards. Hint Hint.

26 Marketing Medium to High Cost Direct Mail Billboards TV Ads

27 Direct Mail This is where you send a piece of mail to the prospect or potential motivated seller that has a quick message about how you can help them or buy their house with cash quickly without the need of a real estate agent. Direct mail is mostly either a letter or a postcard. There are several websites that can help you send out this mass mailing to people

28 Direct Mail This type of marketing is more expensive but is VERY FOCUSED. With bandit signs or craigslist ads you are not sure who will see them but with direct mail you can target a very specific group of people to mail to. This means you can buy a list of peoples names and addresses that meet certain qualifications that you are looking for. Its called buying a list. There are several types of lists to choose from depending on what you are looking for. Say you are looking for projects to rehab. Good lists for those types of projects are high equity, free and clear and probate. If you are looking for rental properties you may choose non-owner occupied lists.

29 Billboards Billboards are like HUGE bandit signs. You contact a sign provider that may own so many billboards in the areas you are looking to advertise in. The billboard company can help handle getting your artwork done, for a fee of course, and then get your artwork installed on the billboard for everyone to see. This type of advertising can provide a TON of great leads but you will need a lot of money for marketing.

30 TV and Radio Ads If you are at the level that you are considering this option you should not be on this webinar. J Just kidding. This level requires significant amount of money to actually do the video shoot or voice overlay and then to buy the air time needed to advertise.

31 The Wholesaling Deal Wheel

32 Questions