Working with Wholesalers – No desire to scour the local market for fix and flips or compete against other investors for the best deal? This might be something to consider.
How Wholesaling Can Work for You
Real estate wholesalers are specialized in finding deals they can sell, either to a fix-and-flip investor if they need job, or to a rental investor if they are prepared for a tenant. If you are partnering with one of these investors, financing their agreements to bring your earnings out in shorter periods— from days to weeks— there is a chance for short-term, high-yield investment.
There are effective active fix-and-flip real estate investors and rental property locators who know what to do, but divide their time between those operations and seek financing. Many use personal local money or lenders of hard money like a Los Angeles hard money loan to finance their deals. These specialty lending sources can charge higher fees and interest for short-term money to fund repairs or to flip a move-in-ready home to a rental investor.
Start exploring possibilities in your region by attending a meeting group at one or more local investment clubs for real estate. They’re all over the nation, and most of them will allow you to visit one or a few courses before you need to join. You will meet investors of all kinds, as well as suppliers and contractors engaged in all stages of investment in real estate.
Once you get in touch with a successful wholesaler, you’re dealing with someone who knows what you want in a rental home, and they’re going out to discover housing that will bring excellent cash flow and they’re going to give it to you. All you have to do is purchase the estate. If you don’t want to be a landlord, you can also employ management to take care of that for 8-10% of your monthly rent.
You can enjoy the advantages and returns of active rental property management without the bother of the active part.