CHAPTER 5 A How-to Guide f o Guide for Wholesaling or Wholesaling For those of you who skipped Part 1, or who simply need a refresher, wholesaling involves an investor putting a contract on a property for below market value, then finding a buyer to buy the contract (called simultaneous closing ) for a higher price and/ or a fee. Another option is for the wholesaler to buy the property outright, then quickly sell it. The wholesaler uses a purchase and sale agreement (also known as a purchase contract , sale contract , or agreement of sale ),which states the purchase price and terms of purchase. Wholesaling can often be one of the faster ways to make money in real estate (sometimes it takes just a few hours!), which is why some investors center their business on this strategy (although many still include other types of real estate investments as well). In order to be successful, you need to learn how to find the great deals before the general public knows about them, which is where a professional like me can be helpful. Real estate agents and brokers can search the MLS for properties. Experts in wholesaling can also help you throughout the process, which varies from a typical real estate transaction. Of course, this process won’t work if you don’t have the buyers, so you need to make sure you’ve got a thorough database complete with buyer names, contact info, and property preferences.
THE WHOLESALING PROCESS
The good news is that anyone can be a wholesaler. There’s no 32
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