Wholesaling for Quick Profit

There are many different techniques available to investors in Real Estate. A few of them can even allow you to control the properties without even owning it. That means you are making money on properties you are not even on title for.

One of these strategies can net you into the tens of thousands per month. We call this technique Wholesaling. Most people think, when they hear the term wholesale, it is about getting a retail item on sale that is close to what the retailers pay. Yes it is similar in concept. You are essentially getting an accepted offer on a house below market value. In many cases these properties from Sellers who are really motivated and the houses themselves sometimes are in need of a little TLC or possibly in need of a complete overhaul.

So how do you control these properties without owning them? With the process of wholesaling, you as the investor will go into the negotiations work out the terms of the offer to purchase with the owner. Once you have submitted an offer and it has been accepted by the Seller, you have effectively tied up that property to you for the length of time of the conditions.

From here you would need to have developed your database of investors who are looking for the type of property you have under contract. If you have an investor who would like to take over the deal, you can assign the contract over to them. Of course when you do this you will charge a fee to assign that contract. This is where you make your money as a Wholesaler. And this assignment fee can range in price depending on how much equity you get the in property on the buy and how much your investor is willing to pay for it.

With this strategy you can put in as many offers as you want on properties. As you assign them out, you will generate your income. Now this technique in not only limited to just fixer upper houses. Any type of property can be wholesaled. Basically you will be getting paid to facilitate and set up deals. So it is time to go out there and start making offers. You are not doing this business unless you are making offers.