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Hi All, Well it’s been 11 months since I’ve been in the CashFlowDepot and no deals done yet. I want to get at least one deal done within the 12 months. I’ve worked at lease option, wholesale flip and working with other wholesalers, but had no success with it and got no real good leads. Can these strategies really be done with no money and credit or does one actually need money or credit to do the marketing and to complete these deals? Anyway I want to do at least one deal within the 12 months so that the entire year was not a waste. Any thoughts on how to salvage the remaining 30 days? Thanks, Nick
I’m in the same boat. But what you must remember is that you are responsible… You are responsible.
I’ve picked the probate route cuz it’s an evergreen business. My expectation is some what based in reality.
It’s gonna take time due to the nature of the business. A person has left this world. Much different than most of the strategies used in this group. The point I’m hoping to get across is pick a single strategy and focus like a laser beam. Don’t look to the left or the right… Straight ahead!
I can’t imagine a whole 11 months without a deal if you are following the training at cashflowdepot.
The reasons for not doing a deal usually fall in to the reasons of:
no one knows you are in business because you are not doing any marketing.
the marketing you are doing is not targeted
you are not focused on one strategy… and the strategy you pick may not be a good fit for your market
you need to beef up your communication and negotiation skills ( getting good leads is one thing. closing is another)
Tell me what you have done with marketing, what your median price point is, and what city you live in and I should be able to tell you where you took a wrong turn.
Jackie
Hi All!
I’ve been working in the Baltimore, Md and Washington DC area (median price range $446,000) at wholesaling and also networking with other wholesalers to do deals. I used the formula ARV X .65 – repairs – wholesale fee = MAO for deals.
I’ve been contacting “We Buy Houses” ads from Google and Craigslist; contacting them and letting them know that I have access to discount properties; then contacting “handyman special” and “investor special” type ads from Google and Craigslist and asking to get on their buyer’s list for their inventory to sell to my cash buyers.
I’ve heard that some wholesalers are doing several deals a month, but they said they are mailing out at least 6,000 postcards and letters a month to absentee owners. My budget is not in a position to do that now.
The FSBO’s on Craigslist mostly want full price or advertised by realtors or other wholesalers.
I started advertising my motivated seller website last month to do some internet marketing for leads but received no leads yet.
I would like to find my own leads. I was thinking of doing a direct mail out to 250 /month to absentee owners, but some say this may not be enough and a waste of time.
It’s been difficult to find “real” serious cash buyers and “real” wholesalers without daisy chains or require POF letters or $2,500 EMD.
Since there are many more “pretty” houses in the area, I’m thinking of maybe working at lease option assignments. Also there is a major player that said he will put up the financing for a fix an flip and do the rehab and share the profit. So maybe I’ll just look for fix and flips for him. Thanks.
Hey Wally…Yes, but remember what Einstein said …doing the same thing over and over again and expecting different results is insanity. Like Kenny Rodgers said… you got to know when to hold and when to fold. Many advise if you have a low budget and to start out doing deals fast is to work with other wholesalers that already have available inventory and cash buyers that are looking for good deals. It seems that the successful people in my market are the ones buying fixer uppers from the wholesalers for ALL CASH to fix and flip. I don’t have cash and I don’t know anything about rehabbing so I will see if I can be a bird dog for this guy that has the biggest fix and flip business in the area, so that I can learn the biz. You mentioned the probate route. I heard about this guy in Philadelphia and he said he’s doing VERY WELL with probates. He claims that he nets $50 – $60k on a lot of his deals.
Hey Mike…I made 1 offer in the last 30 days. The seller (investor) told me that if I was not buying the property myself, she would not do the deal. She did not want me to assign the property. The only “good deals” that I saw were offered by other wholesalers.
Most of the properties on Craigslist are listed my agents (need POF, EMD, or pre-approval letters before they will do biz with you.)
The other properties are listed by wholesalers/investors and the few remaining by FSBO’s selling for retail and full price and cash. It’s very rare there is a deeply discounted good deal in this area on Craigslist by FSBOs.
The people that I hear that are successful are sending 6,000 -10,000 letter/postcards a month to absentee owners. My budget is not in a position to handle the cost of that kind of marketing right now.
I was thinking of getting a hard money lender to take down some of the deeply discounted properties from the wholesalers and re-sell them but the high cost rates, holding costs and fees would eat me alive. I don’t have a private lender or partner.
I’m thinking since a lot of FSBO’s are looking for retail prices, that I can work on the lease option, seller financing, sub2 strategy and assign the deal. Since I have a low budget, I don’t want to be in the middle with master lease option and on the hook for payments and repairs. But on the other hand, I know that most sellers in this area will not entertain doing seller financing.
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