What is Real Estate Wholesaling?

By Jeff M. Divers

Many would-be investors are on the lookout for exactly how to invest in real estate. Well, real estate wholesaling is one of the ways you can make money without ever taking possession of a house or putting up a large amount of money for the home. You can tie up the property by putting it under contract for a nominal fee and then you sell it for a higher price than the price that was accepted when you put it under contract.

Finding Investors is the Key to Generating an Income

Here is another tip about how to invest in real estate; it is by finding investors. This is one way of generating an income without credit or cash and it does not require a lot of your time. When you learn the right way to do this, you can make quite a tidy profit. You can then focus on finding buyers, which is one of the essential parts of real estate wholesaling.

Where do you find investors? Those who know how to invest in real estate recognize there are always people looking for real estate that they can sell for a profit. Take for example, flipping houses. The house is purchased for the least amount possible, the repairs are done and the house is put on the market. Most people do not do the work themselves. They hire someone to do all the repairs within a specific time frame and when it is finished they list the property with several sites.

This is where you get the investors you need to be successful at real estate wholesaling. The key to generating an income from doing this is getting your investors quickly. The time frame should only be a couple of days after putting the real estate under contract. The investor should be ready to see the property and make a move on it quickly. They are essentially buying the contract that you have with the owner.

Another place to look for investors is the Internet. There are many ways of getting the property on the market that costs little or no money. Look through your local newspapers and watch for the same telephone number when you see "owner financing available." This is often one term investors will use. The typical homeowner does not want to owner finance when they are ready to sell.

Another way is to set up a website that shows what you do. The properties you have sold and the ones you have ready to sell should be highlighted. Get your site out in the search engines and you may end up getting buyers using this method.

If you are interested in this type of wholesaling business, you should start getting an investor list as soon as possible. Remember after you tie up the property by putting it under contract, you need to move as fast as possible. The owner of the property is not going to wait forever to sell and he may back out of the contract if it takes too long. This is why the investors list is the most important part of the real estate wholesaling business.

If you set this business up correctly, it is possible to do five or six houses a month or more depending on the investors and the property in the area in which you are concentrating. This can add up to quite a substantial income and you will be doing the least work. And there you have one of the answers to how to invest in real estate.

Click here to learn more real estate investing secrets. Jeff Divers is the owner and founder of Vivid Properties LLC, a family-owned company providing quality services for your real estate needs. Article Source: http://EzineArticles.com/?expert=Jeff_M._Divers