You’ve got a contract, now what? If you locked up a great deal, this part should be easy. If you are running a wholesaling business, not every deal will be a slam dunk. That is why it is critical to have large list of cash buyers at your disposal. It only takes one good buyer to move a deal. The larger your list, the better your odds!
If you already have a few investor connections, it might not be a bad idea to contact them first. Let me know about your deal and see if they are interested. Better yet, if you know any good wholesalers in your area, it might be best to have them market your first couple of deals. Partnering up and JV’ing deals is how I got started wholesaling.
Find Cash Buyers on Facebook
My guess is that if you are reading this, you might not have any cash buyers (or very few). That’s okay! When I got my first deal, I was in the same boat. If this is you, get on Facebook and start joining investor groups. If you have a great deal, often times you can move it pretty easily by posting the deal in a relevant Facebook group.
In the search bar, type in “Real Estate Investors [city], [state]” and several results should come up. You can also try “wholesale deals or off-market deals [city], [state].” Join the group, check the rules and post your wholesale deal. Make sure include the address, # bedrooms & bathrooms, square footage, price including your assignment fee markup and a link to pictures.
Building a Cash Buyer List Using Facebook
Not only is Facebook a great resource for moving a wholesale deal, it’s also one of the best methods to quickly build your cash buyer list. Within these investor groups, search the posts and look for people that inquired about deals. Sometimes they will even reply with their email if someone makes a post about having deals.
Create a post introducing yourself, say that you will have some off-market deals and ask who is interested in receiving these deals. You should get quite a few buyers contacting you through private message and providing their email.
If you plan to scroll through the page and poach email addresses of other buyers, that’s fine. After all, they did put their email on display in front of thousands of group members! Just make sure you reach out to them personally and get their permission before adding them to an email list.
Finding Cash Buyers on Google
Search Google for “We Buy Houses in [city], [state]” and “Sell My House Fast [city], [state].” Contact them and see if they are cash buyers looking for deals. Many of these websites will be other wholesalers. That’s ok too. One of the best and easiest strategies for moving your deals quickly when just starting out is partnering up with another wholesaler and joint venturing the deal. I wrote an entire blog post on JV deals. I joint ventured my first few deals when I first started out.
Let me repeat that: partner up with another wholesaler to move your first few deals!
Here’s what happens. You move the deal quickly, which is less stressful for you, and you split the deal 50-50. The only downside is that you make 50% less, but you will likely still walk away with at least $5k if you have a good deal, potentially more. I often earn $20k on assignment deals, so you could make $10k or more from a joint venture (JV) deal. Not bad for your first rodeo, huh?
Another big reason I recommend this route is that you end up meeting lots of buyers. When you JV a deal, make sure you show up to the walkthroughs. You will get introduced to active buyers. Don’t look at it as “stealing” the other wholesalers’ buyers. Those buyers are just looking for deals, and it doesn’t matter from whom. If you have deals, they will want to get to know you and be added to your buyers list.
Finding Cash Buyers with Zillow
Zillow is not only for checking comps. You can also find cash buyers using Zillow. Think about it this way. There are investors flipping houses in the same area where your deal is. Why not contact these buyers who just sold their flip house?
Here’s what you do. Search recently sold properties in the same area where your deal is. Look for properties that were flipped. It should be fairly obvious from the pictures. The house will be renovated and staged. Another way you can confirm it was a flip is by checking the sales history. If it was just purchased a few months ago for a much lower price and then sold for a much higher price, it’s probably a flip!
Now you are going to contact the listing agent. You can find the listing agent for these flips right in Zillow. Why do we contact the listing agent? For one, it’s easy to find contact information for agents. Simply Google their name and brokerage. Secondly, if you tell the agent you have an off-market flip opportunity and you are willing to pay them a commission, they will be much more inclined to sell the deal to their buyer. Not only will they collect a commission when their buyer purchases it from you, they will also collect a commission when they go and list the flip.
Finding Cash Buyers Using PropStream
PropStream is a great tool for identifying cash buyers in your market. Check out this short video on exactly how to use PropStream to find buyers who have recently closed deals using cash in your area.
Never stop the hustle of building your cash buyers list. There is no such thing as a buyers list that is too big. The more you have, the better your odds are of moving your next deal!