subject: Wholesaling Property Investment [print this page] If you are searching for a perfect place to start o or if you are new to real estate investing, you may as well consider wholesaling property. This is the best means for beginners to generate income while taking the least possible risk. The only thing that you need to do is get a contract without really buying the property. amend the contract to include "and/or" after your name and close a sale within the period of thirty to sixty days. There are a few expenses that you may have to spend if you want to market or spend as little as ten dollars but not more than a hundred dollars for the contract. So you will have to get a buyer who will buy the property for a slightly higher value than you got it for before the contract ends.
Wholesaling property has always been compared to house flipping. They are somewhat the same, the only difference with flipping is that it involves investor in buying, rehabbing and he will use the property to generate proceeds or sell it at a higher cost in the market after reconstruction. So if you can't afford to rehab or if you are tight in funds, flipping is not for you. Wholesaling property is a good strategy for those who would only want to get quick cash and does not have enough finances for rehabilitation.
What you do as a wholesaler is get motivated sellers who intend to get rid their property right away. These people are those who are going through divorce, experienced death, those who are having financial problems or are relocating because of job or other personal reason that would make them decide to leave and sell their property.
So wholesaling property is really just getting a home under contract and you will have to get the buyer who will then close the contract on the home. It will be like working as the middle man. There is no need for you to buy or own a property when you do wholesale. locate a seller and introduce him or her to your buyer and you will get a profit without having to spend as much.
It is vital that you have your reliable source of properties; if not, at least develop a strong list of buyers to make a successful wholesaling business. This will make it easier for you to move properties and you'll be more confident in acquiring properties knowing that you have resources or buyers who are just waiting and will be ready to buy the property from you.
However, return isn't huge, but if you want to gain profit by investing little money with low risk in your finances, wholesaling is well worth considering. It is also a good start if you want to invest in real estate without too many risks involved. If wholesale will fall through, worst thing that could happen is that you will only lose the ten dollars that you paid for the contract. Wholesaling property may not be for everyone but you may as well try it first because it is a good break for beginners to start learning about real estate investing without taking a lot of chances.
