For those who think flipping a wholesale deal in a few hours is not reality, here is how I made $5,000 in five hours. Call it a wholesaling case study.
Name a marketing method and I’ll show you an army of proof that there isn’t anything I haven’t tried. I use yellow letters, search engine advertising, online marketing, cold calling, employing bird dogs, and of course mailing postcards. I like large, thick, bright postcards for many reasons. Firstly, postcards are fairly cheap to mail. Secondly, all the information is right on the card and there is no need to open an envelope to get my information.
So after a postcard mailing the owner called me to see just what this ‘cash for your house’ business was all about. Within a few moments I could tell he wasn’t prepared to sell (a family member sold him a dream on fixing it up someday). So being a keen permission marketer I asked if it was okay to contact him in a few months. Now he’s in the abyss of my follow up calendar. Six months later I have my assistant shoot him a call with the same proposition. Not only was he motivated to sell he would have closed in five minutes if he could have!
The negotiations went as follows:
1) Bird dog offers $15,000
2) Seller counters at $25,000
3) We counter at $18,000
4) Seller bites without hesitation
But before the trophy gets hoisted in the air we have paperwork. I send contracts via FedEx to the seller and he signs and mails back the next day. The next step was to market the property to my buyer’s list at $23,000. A few hours later an email blast through my inbox from a fellow wholesaler who has a buyer for it (co-wholesaling is welcomed as I do at least 2 deals a month within my network of wholesaler friends). We prepare all signed contracts and signed assignment agreement to Clearview Settlement Solutions LLC in Baltimore and the title work came back pretty quickly. The buyer dropped the earnest money deposit off at the title company the next day.
The epic ending…
Our beloved buyer takes initiative and drops buy title company’s office and signed all the documents and left his certified check for the purchase. On the same day I met the seller at the title company and he signed all the closing documents.
So I split my $5,000 assignment with a co-wholesaler and paid my bird dog a small fee resulting in my making exactly $2,325 in five or fewer hours of work. If you want to learn how to make a a few hundred to a few thousand bucks on each deal I do, check out how to make money with Baltimore Wholesale Property.
Go forth and be prosperous.