Wholesale real estate is not a new concept, though the term has only recently
begun to be widely recognized. While there are some debates as to the hows and
whys of wholesale real estate, one thing remains certain – finding property
being offered up as wholesale real estate is an excellent way to get a good
return on your long-term investment and to instantly increase your real estate
equity.
One of the reasons wholesale real estate works at all is that there are
always people who are looking to sell property quickly for one reason or
another. Those people are willing to take less than the market value of the
property – again, for one reason or another. But how do you find those deals?
A network of contacts is one of the most effective ways to find wholesale
real estate. If realtors and other investors in your area know that you’re
always in the market for a good wholesale real estate deal, you’ll always have
people telling you about deals or even offering property for sale at wholesale
real estate prices.
But how do you build that network? Start with the professionals. Take time to
meet realtors in you area and make your wholesale real estate investment needs
known. Those realtors have a feel for the community and may even come across
deals that you’d never hear of any other way. While real estate agents as a
whole are typically working toward getting good profits for their clients,
they’ll also be working with some who simply want to sell immediately, even if
they get less than market value. If that realtor can call you with the deal, he
or she is building a reputation as someone who can make sells quickly and you’ll
benefit by finding great wholesale real estate deals before they even hit the
open market.
Clubs and organizations are gaining strength and membership and those are
another good networking resource for the person looking for wholesale real
estate deals. Find real estate clubs in your area and take time to attend a few
meetings. Even if you get nothing from the meeting other than the opportunity to
shake hands and swap introductions (and business cards), you may make that
contact that nets you the next awesome wholesale real estate deal.
Another great source of wholesale real estate deals are those companies that
buy “ugly houses,” or promise a sale in a ridiculously short period of time.
Those companies are often wholesale real estate companies and they’ll have a
good variety of wholesale real estate properties for sale at any given time.
Remember that wholesale real estate is really nothing more than property
being sold below market value. The ways to accomplish the liquidation of
wholesale real estate vary with some companies never taking possession of the
property while others may even hold property waiting for the right buyer (even
in wholesale real estate, there is a limited pool of buyers for some types of
property). Building a network of people who know you’re in the market for
wholesale real estate is your first major step. After that, you can almost sit
back and wait for the next excellent wholesale real estate deal to knock on your
door.
