Everybody wants to know this one thing, how do I get into real estate investing? Stay tuned. When I look, real estate investing, there’s a lot of things that go into real estate investing, there’s fix and flip. There’s wholesaling as property management that is buy and hold. But today by the end of this video, I’m gonna explain and tell you exactly how you can get into wholesaling. How does it work? How do you get into it, I’m going to explain all that. I’m also going to explain what is wholesaling what tools you need to get started with so you can take action and How To Find Buyers so you can bring them deals that they will pay you four without having to be licensed without having to spend any money without having to have the risk of purchasing real estate without messing up your credit or even having credit you don’t need any of that. All right, I’m gonna show you all that today. So let’s dive right in
so what is wholesaling? Wholesaling is signing a contract with someone that owns a property at a discount, okay, you can’t wholesale a property you really shouldn’t or won’t work, you can’t wholesale property that’s overpriced, because no one’s gonna take that deal. They’re gonna say, Well, I gotta make money, you are finding properties or deals for buyers that you have, or buyers that you will have no, I teach people that only go look for deals where you have a buyer already in place, just because it’s easier that way. If you just go look for dealing, you don’t know who you’re gonna sell to, you’re gonna have run into a lot of problems and headaches.
But what you’re doing is you’re getting a contract with the seller, and you’re saying, Hey, I’m going to buy your house for $40,000. Okay, I know it’s worth 100,000. And you know, it’s worth 100,000. But it’s not worth that at the moment. Maybe if we fix it up and that seller says, okay, yeah, I understand my house is not worth 100,000. Now, and I don’t have 4030 or $40,000 to put into it and the time and the money. And I don’t want to put the effort into that. So you’re saying, hey, I’ll just buy it, and I’ll take care of it. And I’ll pay you what it’s worth right now you sign a contract for 40. But you have a buyer, you already know has told you I’ll pay 60 for anything in that area.
That’s a three, two or two, one or whatever, wherever you are in the United States. So you call up that buyer. And if you do it the way I teach you, you’ve probably already had a conversation with him before you’ve put this house under contract. And you’ve just said, Hey, I have this house. I’ll give it to you for 60. And he’ll say none and I gotta be 57 Then you can negotiate, that’s fine, but you assign it to them. You got it at 40 you give it to him for 47 you make $17,000 All without having to have the house purchase the home without having to had to do really do anything other than sign the paperwork and find the deal right for the buyer. That’s in a nutshell is what wholesaling is. So what tools do you need to start wholesaling?
Well, it really depends on what level what strategy you’re at right now. So if you’re a brand new beginner, I would recommend calling on the MLS doing a lot of on market outreach. Now what is on market outreach people primarily they sell their home on the multiple listing service, they list their house to the real estate agent to sell. Even if someone is distressed and they have a bit crappy house. Most people will list their home they just don’t know of any other way they don’t know of cash buyers. So you can find good deals on the MLS, you can see that homes are listed and they need work. And you can call that agent that represents that seller and say hey, I’d like to make an offer.
Now it gets way easier when you’re doing this if you already have buyers in place and you know what they’re willing to pay or even just asking them what they’re willing to pay. So having that tool of the MLS and making calls to agents is what you need if you’re brand new. Now as you get more experience, I would recommend marketing marketing is a great way to get deals whether you’re cold calling with batch dialer, whether you’re texting with batch leads, you can do mail you can do pay per click but I wouldn’t recommend doing ton of marketing until you have you know experience and you know how to navigate deals because when I first started I went out this what they told me to do they said hey, just go market so I went and spent $10,000 on mail because I was like oh this will give me a good return. I spent that money didn’t get any deals from it.
So I was like freaking out because I lost 10k If I had to go back I definitely would have done that or I would have had a buyer in place and be like where do you buy and if I had a call from someone that called me back for the mela would have said hey, let me let me find out what I could pay for your house and then I would connect them to my buyer and I would try to make money that way but as you go further the tools that you’ll you’ll need as you get more experience well marketing tools Okay, so as a beginner just get a phone start making deals or making offers on the MLS with Agent outreach, it’s free and as you get more experience go more into marketing. So once you understand what wholesaling is and what tools you need and kind of how to get started you’re going to need to find buyers but look before we get into finding buyers I want to ask you guys to come to my masterclass I have a free masterclass where I dive in really in depth on a live call and it’s absolutely free to get started.
So go to a paynelesswholesaling.com and register for it. I’m going to show you step A through Z on how to get a deal You’re right, because I actually did a 30 day challenge me and Nathan Valley who’s on my team for 30 days, we went to a market with no money and no experience. No buyers and we both got deals within 30 days, I got a deal within 17 days, I think Nathan got his within like 25. But we were able to do with no money. So what we teach, it literally works, it makes money. And we show you exactly how to do on the masterclass. So be there. So like I was saying you want to have buyers as you get into wholesaling. So you can get started that way, I actually have a breakdown. And in that breakdown video that I’ve done in the past,
I’m going to have you guys watch, this is going to show you exactly what to do as a brand new wholesaler how to get started as a beginner how to make money. Check this out. Let’s dive right in. So let me give you the story of how we got this and how you can avoid what happened to us.
Okay, this is what happens when you joint venture a lot of the time is you don’t have access to all the information because you’re relying on other people. And this isn’t to throw anyone under the bus, I’m just letting you know, this is what happens. I’m in a couple different group for coaching, right? I help people learn how to wholesale to do it efficiently and effectively. And all that and what was happening was this girl comes on the call and she’s like, Hey, look, I have a lead. It’s a seller, I need to find a buyer. It’s a piece of land, and I’ve been talking to the seller for a couple months. Can you help me find a buyer? I said, sure I can help you find a buyer. It’s what I do. Let’s split the deal. 5050 She got the contract, I got the buyer.
So we said send us your contract, we’ll sign the JV agreement. And she did. So we looked at it we checked on batch to see if he was really the owner. It says that he was the owner. So we’re working this deal. We never talk to the seller, I just rely on Nathan who works with me to talk to the seller and the girl that we’re JV with. So there were some red flags in the beginning, the guy was selling it like at super deep discount. And usually when I talk to a seller, and they’re selling super, super low, I asked them like, why are you selling so low? Because you can get more for this house. So I never had that conversation with him. But the one of the red flags was I think the land retail they’re like 350. And the guy signed for like 120.
So we spent about a week or two trying to find a buyer. We eventually find people that are willing to pay what we’re asking, but they want a 30 day close because land I think they needed like verify a lot of things before they jump into it. What happened with that is it came down to like the last week No, we weren’t able to find any cash buyers. But that would close on it. But we did have one guy that we were tight with. And he was like, dude, I’ll pay 170. But you know, I need to close on Monday, like the day after we had to close. And we’re like, Dude, we can’t do that. Because it was a great deal.
We’re scrambling to learn how to buy the property with hard money. And we found somebody, but there was just some red flags, because we had called the seller and we’re like, hey, look, can you give us a little bit more time because so we can close and get her funds ready. And he started like ghosting us, right? And I don’t know what his angle was. But he like stopped responding like two days before the close date. And I was like, Guys, this is kind of weird. Like, this guy’s been wanting to sell quick. And now like we’re getting close to close that he won’t even respond.
And we’re trying to like close, like, get the money ready. So when you feel like there’s something wrong in your gut, then you probably usually is. And I was like Nathan, can she double check that where she’s talking the right guy? This just sounds fishy. And what had happened is this guy, the seller who had signed in the guy’s name, for some reason, she got his number. She called him the numbers. And this guy was like, Yeah, I’m Steven. And he talked to her. He signed the agreement and Stevens name and everything. And she had been dealing with the wrong guy the whole time. Like it’s just a scammer.
And I think what he was trying to do is just have someone just send them money. I don’t know what his angle was how he thought he was gonna get money, because you’re not gonna get paid anything. We found out that was the deal, because he wasn’t responding. And I was like, Man, this isn’t making sense. So that’s what happened. And after researching who the owner was, we found out that this guy was an attorney, and on multiple properties. So I’m not saying all this to scare all of you. But you can use batch leads to find out who’s the owner, you can use the data to find out more information. Maybe you can quiz them on it, like How old’s the property? Or how long have you owned questions that only the owner would really know that batch has and maybe he might know it to maybe the scammers got batch leads account, who knows.
But what you got to do is verify and if something feels off, it usually is apparently after we call the real guy, the girl that we were working with called the real guy. He said yeah, this has been happening a lot. This guy has been trying to scam on people on a lot of his properties. But to avoid this everyone make sure when you’re talking to sellers, if you feel like something’s off, they don’t know a lot about the property or something’s wrong or you’re not talking to the person bump that like forget that right call it out. So anyway, that’s an exciting portion, man. I thought it was gonna make like 100k last week and it was a dud, you know, but who cares? If you think of questions, it’s fine. I gotta call this buyer back.
Alright, so you are asking me how do I find a good market to flipping right or wholesaling? Right? That’s all right. So what you can do is using data, you can see what areas have the most flips going on. So for example, if you go here to Utah, you can do the whole country if you wanted, but let’s just say okay, I want to know what part of Utah should I be doing deals and right, so then you can look and see where the activity is right? There’s more activity, obviously in Salt Lake City, Utah. There’s not a lot going on anywhere else. Does that help? Yes, it does. Thank you. What’s up, dude? How’s it going? Okay, yeah, Diego. There you go. All right, we’re gonna teach you how to accomplish property right now. Are you ready? Let’s do it. I love it.
So here’s a property. It says that he bought it for 28,000, which he told me he did. It says that the estimated value is 168,000. So if we wanted to do like a quick way and go to comparables, and this is the property, it says the guy’s in pre foreclosure. So batches like yes, he’s in pre foreclosure. Their property has liens. Yes, it does. Is he in bankruptcy? Yes, this guy is pretty much every indicator that there’s distress here. So what you do here is you look around and you say, Okay, what properties have sold or active in this area that are within 20% within the last year. So we look here. And this is our property right here.
This house is a two one sold for 225. And yes, there’s a comp right to 25. But the thing is, the problem is the comp was sold last year, it says sold date seven. So we all know that the market has changed a little bit over the last couple of months. So that’s probably not what it’s worth now. So you can go over here you can see some comps. I think his house is like worth 140.
From what I’ve seen
you go over main roads when you do your comps or do you stay within that little bracket? Or where are you based on
I tried to with the data that I have available to me i i try my best to stay as close as I can. But according to this the data that’s available, he lives on a main street right so you got to cross it right unless there was something here. All right. If you liked that content, please do me a favor like subscribe, hit the bell icon, I promise you that I’m going to drop more good content. And hey, if you have any specific questions message me in the comments say hey, Nate, make a video on this. If I think it’s a good video, I think if it’s something that I can make a video of, I’ll make a video for you so you can watch it. But hey, you’re gonna have to subscribe first so I can see and you can get notified of all the new videos you do. So see you next time.