Professional Development: THE FIRST STEPS TO REAL ESTATE WHOLESALING - podcast episode cover

Professional Development: THE FIRST STEPS TO REAL ESTATE WHOLESALING

Dec 17, 2022•14 min
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Episode description

In this professional development Ashley Green went over the first steps to begin to real estate wholesaling. #realestate #wholesaling #earnyourleisure 

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Transcript

Speaker 1

An illegal alien from Guatemala charged with raping a child in Massachusetts. An MS thirteen gang member from Al Salvador accused of murdering a Texas man of Venezuelan charged with filming and selling child pornography in Michigan. These are just some of the heinous migrant criminals caught because of President Donald J.

Speaker 2

Trump's leadership.

Speaker 1

I'm Christy nom the United States Secretary of Homeland Security. Under President Trump, attempted illegal border crossings are at the lowest levels ever recorded, and over one hundred thousand illegal aliens have been arrested. If you are here illegally, your next you will be fined nearly one thousand dollars a day, imprisoned, and deported.

Speaker 2

You will never return.

Speaker 1

But if you register using our CBP home app and leave now, you could be allowed to return legally.

Speaker 2

Do what's right. Leave now.

Speaker 1

Under President Trump, America's laws, border and families will.

Speaker 3

Be protected sponsored by the United States Department of Homeland Security.

Speaker 4

So once you find properties that you're interested in, you have resources to skip trace the individual's information pass just the address, so I use people finders and been verified for individual information as far as phone numbers, and.

Speaker 5

Emails, and then you can use.

Speaker 4

A skip tracer like RII Rail for more than just one address at a time. Also here in Harris County we have the Appraisal District which say you may not be able to tell the owner's name, but you have an address. You can type the address into the search bar and it allows you to find the owner they're mailing.

Speaker 5

Address for the property if they don't live there anymore.

Speaker 4

Okay, So everybody says that I have what's called the Green effect, which is being able to kind of resonate within individuals on homeowners or sellers, being able to talk to them and kind of put myself in their shoes, being able to negotiate and get them to sell to me. Because a lot of times, even though you may think that you're the first person that comes across this property,

and a lot of times that you're not. But being able to set yourself above that bar and get them to agree to sell to you is definitely what sets me apart from everybody else. So find your niche and do what others aren't willing to do.

Speaker 5

Okay, So after you.

Speaker 4

Find your lead and you have talked to the seller and they agreed to sell to you, you want to send them your contract. Now, when I first started out, I did start using a online wholesale contract that I got from a local wholesaler.

Speaker 5

I have gotten away from.

Speaker 4

That because number one, I did not feel comfortable with the verbage because I did not get this contract on my own. So I will say as a disclaimer, consultant, attorney, or a whole experienced wholesaler before using a contract that you find online. So now we use the Texas real Estate contract.

Speaker 5

Now. Of course, with this.

Speaker 4

Document, it does have a lot of options in it that may not apply to me, but it's a lot easier because you know it's a universal legal form that's used here in Texas.

Speaker 5

So even if we don't use all the boxes, I am.

Speaker 4

Familiar with the form and I can go through each section and explain to the seller if it applies to us or not.

Speaker 5

So a lot of times it's just.

Speaker 4

Going to be who you're selling, who you're purchasing the property from, your closing date, how much.

Speaker 5

You're buying the property for in their signatures. That's it.

Speaker 4

Depending on who you're selling to, you can use DOCU signed to send them the contracts. A lot of my clients tend to be older, so I have to print out the forms for them and take it to them directly for them to sign.

Speaker 5

So this is a very important line.

Speaker 4

Even starting out, you want to build a real estate team, especially when you're doing probates or pre foreclosures. You want to have a real estate attorney because a lot of times when these properties are going into foreclosure, the owner has passed and it's been left to an air but it wasn't transferred correctly, so you have to walk them through the process to transfer the property from the deceased owner's name to their name to allow them to be.

Speaker 5

Able to sell the property to you. Also, the inspector.

Speaker 4

A lot of times with the houses going into foreclosure, they may not have left the houses in the best condition, so you definitely want to have an inspector walk through so you can make sure you know what you're getting yourself into. Even if you know you're buying the house as is, you you definitely want to be able to get an idea what.

Speaker 5

Your repairs are going to be to run your numbers. Wholesale friendly title company.

Speaker 4

This is also important because you want to make sure you have a title company that's familiar with assignments and being able to set up your paperwork correctly so that you don't get left out of the deal. And they're familiar with wholesaling and assignments so that you can transfer your properties correctly.

Speaker 5

Say that you may not, well, I'm sorry, say that you want to.

Speaker 6

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Speaker 1

An illegal alien from Guatemala charged with raping a child in Massachusetts. An MS thirteen gang member from El Salvador accused of murdering a Texas. Man of Venezuelan charged with filming and selling child pornography in Michigan. These are just some of the heinous migrant criminals caught because of President Donald J.

Speaker 2

Trump's leadership. I'm Christy Nohm, the.

Speaker 1

United States Secretary of Homeland Security. Under President Trump, attempted illegal border crossings are at the lowest levels ever recorded, and over one hundred thousand illegal aliens have been arrested.

Speaker 2

If you were here illegally, you're next.

Speaker 1

You will be fine nearly one thousand dollars a day, imprisoned and deported.

Speaker 2

You will never return.

Speaker 1

But if you register using our CBP home app and leave now, you could be allowed to return legally.

Speaker 2

Do what's right. Leave now.

Speaker 1

Under President Trump America's laws, border and families will be protected.

Speaker 3

Sponsored by the United States Department of Homeland Security.

Speaker 4

Who You don't want to hold on to the properties to rehab. You want to make sure you have a cash buyers network so that you're not holding onto these properties too long. Facebook is a good option. They have a lot of real estate groups. All you just have to do is type real estate in your area and.

Speaker 5

You'll more than likely find a group online.

Speaker 4

So, just like I mentioned for your exit strategy, if you are wholesaling specifically and you have no intentions on holding onto the property and you just want to get in and get out. You have to make sure you have that cash buyers network. So finding a cash in

buyer is important. Like I said, there's a lot of people who post on Facebook all the time looking for cash buyers to help build up their email lists, or you can just post in these groups your deal that you have to find someone qualifying to close you out of your property. If you're looking to get a bigger, bigger you can mentor with someone. You can find a

mentor partner to do a joint venture. This is how Andre and I first met, doing these joint mentor joint ventures and moving me from being just a wholesaler and now reh having properties. For number three is buy and hold. We also do some buy and holds my mother and I of these properties. I've yet to do Airbnb, but this.

Speaker 5

Is also an option if he decided to buy and hold as a rental.

Speaker 4

This is one of our rehab properties. There was a wholesale deal. It was going into foreclosure. This is Southington, so this was found by the county records. The property was going into foreclosure. The owner had died and her grandson was living in the house. He was pretty much waiting until the auction for someone to come to the house and tell him that he had purchased the house before he left. So I initially his skiff traced the information and never got a response, of course, because she

was deceased. Soone out door knocked. That's when I met the grandson. He was able to connect me with his mother, who was technically the immediate heir to the property. We came to an agreement, paid off the mortgage balance and

the mechanic liens attached to property. So the mechanic lean was the grandmother technically had some plumbing work done and she did not pay pay the company, so the company put a lien on the house that had to be paid out before they would allow us to purchase the property. So we use hard money a rehab loan to purchase the property, pay the family pretty much their cash for keys, and then do all our construction to the property be

able to sell it. So our exit strategy for this one was we rehabbed and sold it instead of just transferring it to a cash buyer from wholesale. So yes, so a little bit more about hard money. Hard money is typically issued by a private investor of companies. Interest rates are higher and they can usually close in forty eight.

Speaker 5

Hours or less.

Speaker 4

Yes, well, majority of it, depending on which companies that you use.

Speaker 5

We have two different companies that we.

Speaker 4

Use, and Flipco covers up to eighty or ninety percent and they don't require credit check, but you do need an LLC to use them, and they don't do land, but that allows you to purchase the property and give them your rehab budget and they'll give you draws. So each time you have something done, foundation, roof whatever, you take pictures and provide an information to them and they pay you back, pay you back the money that you spent.

Speaker 5

It's called flip code. We also have fun that netflip. They do do a credit check, you're required to have.

Speaker 4

An LLC and they will incorporate your land purchase for new construction, so you're able to get a rehab a rehab budget for a whole new construction project and you're able to get your money back from doing a new construction.

Speaker 5

So again that's Flipco and fun Netflip.

Speaker 4

So our contact with Flipco is going to be Sidney Campbell and then for fun netflip is Donovan adcer role.

Speaker 5

I hope I didn't mess up his last name.

Speaker 1

An illegal alien from Guatemala charged with raping a child in Massachusetts. An MS thirteen gang member from Al Salvador accused of murdering a Texas. Man of Venezuelan charged with filming and selling child pornography in Michigan. These are just some of the heinous migrant criminals caught because of President Donald J.

Speaker 2

Trump's leadership. I'm Christy nom.

Speaker 1

The United States Secretary of Homeland Security. Under President Trump, attempted illegal border crossings are at the lowest levels ever recorded, and over one hundred thousand illegal aliens have been arrested. If you are here illegally, your next you will be fined nearly one thousand dollars a day, imprisoned, and deported.

Speaker 2

You will never return.

Speaker 1

But if you register using our CBP home app and leave now, you could be allowed to return legally.

Speaker 2

Do what's right. Leave now.

Speaker 1

Under President Trump, America's laws, border and families will be protected.

Speaker 3

Sponsored by the United States Department of Homeland Security,

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