Real Estate Wholesaling tips for creating a buyers’ list without breaking the bank

Every real estate investor is weak in one of the three following areas:  Money, Time, or Experience.  Most beginning wholesalers are such because they don’t have experience or money.  But what most beginning wholesalers do possess is time.  Therefore, when creating a marketing plan for finding buyers, it is important to focus on programs that require more time involvement that cash involvement.  The following are some of my real estate wholesaling tips for finding and building a good buyer’s list without breaking the bank:

Real Estate Wholesaling Tips | Reverse marketing

You should be farming a neighborhood to look for motivated sellers, so why not look for buyers too?  When you see yard signs that advertise ‘We Buy Houses’ and you have a house you want someone to buy, doesn’t that seem like a good mix? Call those folks and find out what they are looking for.  Many may be other wholesalers like yourself, but you will find that there are good flippers that advertise as well.

In addition, I like to call the ‘For Sale By Owners’ or ‘For Rent’ signs that I see.  The many of the FSBO signs are actually investors looking to sell properties, and it’s good to find out what they are looking for.  Landlords advertising ‘For Rent’ may have actually purchased a distressed property, rehabbed, and decided to rent out the property for monthly income and tax benefits.  By contacting these folks, you are able to add to your buyers’ list without spending any money.

Real Estate Wholesaling Tips | Real Estate Investing Clubs

While many of the REI clubs have more newbie real estate investors, you will find actual investors and flippers who attend as well.   When you talk to them, make sure you focus on them and their business rather than you and your business. Find out what area they are looking for, what LTV they want, how much in repairs they want, etc…  Too many newbie investors go to these experienced flippers and tell them how they do their business.  These flippers don’t care about your business, they care about their business, and if you want to be part of that business, meet with these flippers and understand their needs.

Real Estate Wholesaling Tips | Bandits Signs

If your end buyer is not a flipper but rather an home buyer interested in owner financing, then bandit signs may be an effective form of marketing.  While there is some investment involved, you should be able to purchase 100 signs & materials, put out and pick up 25 a week, and have the signs last for 2-3 months, spreading this investment to less than $100 per month.  I like using white background with red lettering and stating that ‘Home for Sale / No Banks Needed / Owner will finance / phone number’.  I do recommend checking with your city ordinance department before utilizing this strategy as fines can be expensive.

Real Estate Wholesaling Tips | Conclusion

In summary, wholesaling properties, whether your end buyer is a flipper or a person who can’t qualify for traditional financing, requires you to build a buyers’ list.  You don’t have to invest a great deal of money; by using these real estate wholesaling tips to build a buyers’ list, you can have a great deal of real estate success without breaking the bank.

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