I closed on a property last fall and let you all down! I didn’t read you in, and it was a good one: an out of town wholesale transaction with a repeat seller. It went smoothly for every single party involved and really hit home for me two things:
1) Networking works. Who hasn’t said that? But I have dug my heels in on this point. I don’t like networking or schmoozing or talking to people when I don’t want to. I can be very outgoing, but tend to be introverted in that I don’t want to chit chat with you – I want to get right down to things: either business or deep thoughts.
But networking is worth it. And by networking I don’t think I mean what I’ve always had in mind. In this case, networking involved my repeat seller. We bought a house from her through seller financing in 2012. We’ve had a great relationship along the way, refinanced out of the note just like we promised, offered to help in any way we could now or in the future – and then she called. So I would say that part of networking is maintaining healthy relationships with people you already know by being someone they can count on, who is pleasant and has integrity.
The buyer also came from networking. I have dear friends in the property city who are also investors. I called and reached out to them and they just happened to know someone looking for their first investment property. It happened just like that – and of course I sent them a thank you gift for connecting us!
It was THE smoothest wholesale transaction I’ve ever had, and I believe that’s mostly because I have a history (a good one!) with the seller, and the buyer came from people I already know (which meant they were quality).
2) I came into wholesaling to make money (check!) but have realized I need to do real estate in a way that leaves me more fulfilled. Offering a cash, as-is offer to motivated sellers, or sellers with run-down houses, is a GREAT solution for that sellers’ problem. The issue, for me, is that wholesaling and creative financing are only good solutions for a very small niche of sellers.
And because for me it’s all about giving them the perfect solution to their real estate situation, I find myself frustrated that I can’t offer sellers a full gamut of resources to do that. Only 1 in 20 of qualified leads need to sell at a wholesale price or for great terms. The rest might want a quick sale but only at a retail discount (wholetail), or are only looking for advice on how to list a house that is not retail-ready.
My Myers-Briggs test says that making a difference and job satisfaction are HIGHLY important to me, and it’s true, so I’ve opted to get my real estate license. For the record, I actually think there’s more money to be made by focusing on certain investment strategies (wholesaling, rehabs, etc.), but I’m hoping this is a great fit for me.
And that’s what I’ve been doing in this time of blog silence. I should be finished up soon and (if my background check will go through quick enough!) take my test by the end of the month.
Everyone needs to do what is most important to them; what is most consistent with their goals and values. This is my version – I hope you are doing well at creating yours!