Initial offer to seller

Initial offer to seller

I am brand new. I just read one of deans books and am trying to figure out how to start. I don't know I I should start to trying to find buyers or go directly to putting in offers. And when I do make offers, I'm not sure exactly how much I should say in the initial offer? Any help?

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Dustin

You need to find cash buyers FIRST! Very important! Also, please fill out your bio so we can help you better! Smiling You need to read more. Read as much as you can before you start putting in offers.

Good luck! Smiling

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Teresa
College Station, TX
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"Declare that you will prosper despite every difficulty that may come your way. Don't just survive; thrive!"
-Joel Osteen


Buyers 1st, property 2nd

Many new students struggle with this question. Some even struggle with the concept that you should build your buyers list before you start looking for property. Their question is, shouldn’t you have a property to show to your buyer. The response to that is no. The fastest and most effective course in wholesaling is to build a good sized buyers list 1st. By putting together a list of buyers you will be able to determine what type of properties they are looking for, therefore allowing you the opportunity to go out and find what they are looking for. By doing this you also increase your odds that the deal will close. If you have to choose between something you want and something you don’t which will you choose? Get your buyers, then go out and get those properties for them.
Good luck!


Look for

the properties that your buyers are requesting. Don't waste your valuable time looking at 2/1 when they are interested in 3/2 or 4/2 properties. Read "Profit From Real Estate Right Now" and "Be A Real Estate Millionaire" before trying to do any deals. These two books have alot of info in them and will help you understand how this business works. I'm on my second time reading them and they are making more sense now than the first time.
Good Luck!
Bill


Another way to look at it...

Lets assume you have established relationships with 6 buyers who are looking for 3BD 2BA SFR 1,800 square foot properties in neighborhood X. If you get a property under contract in neighborhood X that fits that criteria you are in a position of power having 6 investors who you already have a relationship with to immediately market the property to. If you don't already have those investors lined up you are in a much weaker position.

Since we usually only get a 14-15 day inspection period (free look, EM refundable) and 30 days to close you typically don't have time to sell the property to someone you have not already established a relationship with. This is especially important if you are following 25:1. Since it takes a lot of effort and offers to get a property under contract you want to make sure if/when you get a property under contract you will get paid. The best way to ensure that is to set up your buyers/investors list first then find deals that specifically fit your buyers needs.

Hope that makes sense.