HOW TO GET YOUR FIRST WHOLESALE REAL ESTATE DEAL

Wholesaling real estate is a phenomenal way to make a lot of money in 2023. And in this video, I'm going to tell you the exact steps I would take to get my first deal if I were to start over. My name is Tyson Smith. I'm an owner of We Buy Homes Cash, and we have been wholesaling for almost 3 years now and have consistently averaged over $100,000 a month in assignment fees for the last 24 months. I've set out to scale my wholesale business to a $15 million a year operation, and I will be documenting my journey here on this channel. If you would like to follow along to see how doing it, make sure to subscribe to the channel. So if I had to completely start over, here are the exact steps I would take to get my first wholesale deal. First things first, I would need to start generating leads of people who want to sell their homes. I'm going to make sure that the leads I get are going to be number one, going to have some sort of motivating factor as to why they need to sell their house. And number two is that the leads I'm generating are going to be in markets that are— will be easy to sell. So as far as finding leads that are going to be motivated, that part is easy. I will be pulling lists on BatchLeads.com. IO using a system that eliminates properties right off the bat that aren't going to be good for wholesaling and that are showing signs that they may need to sell the property soon. Some examples of these signs would be the property's in pre-foreclosure, the property has liens, the property was inherited, and more. If you want to learn exactly how I would pull these lists, go watch this video right here. It's going to show you the exact list I pull, how to filter out the data to make sure I'm only getting properties that are going to have the characteristics that will make it good for wholesaling. The markets I'm going to pull lists invest in are going to be outskirts suburbs of major cities. So I'm going to want to target suburbs of cities like Dallas-Fort Worth, Phoenix, Las Vegas, Jacksonville, and Birmingham. Really, any suburb near a city will be good. The reason I want to target areas like this is because there are a lot of homes and also because there are a lot of end buyers who want to flip homes in areas like that. Remember, getting a deal under contract, no matter how big of a discount you have it at, is no use to you if you can't find an end buyer. So we want to make sure selling selling the deal is super easy, so we are only going to play in markets where there are a lot of buyers. After pulling my list, I will now have the addresses of properties that I can start reaching out to, to see if they want to sell. You can reach out to them in a few different ways. Now, the cheapest way would be to go knock on the doors and ask them in person. However, that would take a ton of time and I'd be looking at my first deal quickly. So what I would do is just start to cold call the owners. In order to cold call them, I need to get the phone number. And the best way to get an owner's phone number is to skip trace the address using a service like BatchLeads. Now, skip tracing on BatchLeads is super easy, but it will cost you between 10 and 12 cents per address, and that can add up. Now, if you can afford it, I highly recommend doing that. But if you can't, you can use a free skip tracing service like FastPeopleSearch.com. The phone numbers provided by FastPeopleSearch.com won't be as accurate as what you will get with BatchLeads. But if you're pinching pennies, it just means you're going to have to work a little bit harder. Once I've skip traced the phone numbers, I'm going to cold call every owner on that list and ask them if they want to sell. If they say yes, I will run them through my script and I'll get all the information that you will need from them. You guys, you can download the exact script I use as well as the purchase agreement and the assignment contracts necessary for wholesaling at www.freewholesalingresources.com. Once you've found somebody who wants to sell and you've asked them all the questions on the script, it is now time to make them an offer. In order to calculate how much you can offer them for the property, you're going to need to comp it to determine the ARV. Comping a property means looking at comparable properties in the same area, and ARV means after repair value. This is what the home would be worth if it was fully renovated. For more help on comping properties and determining ARV, you can go watch this video right here. Now, once you've calculated your max allowable offer, which is going to be the most you'll be able to pay for the property in order for you to still be able to wholesale it, it's time for you to make your offer. When you make your offer, I would recommend starting $10,000 or $15,000 below your MAO so you have room to negotiate with the seller. More than likely, the seller will not take your offer on the first go-around, and this is where you're going to need to continuously follow up with them to see if they've changed their minds. Once you get somebody to accept your offer, you need to send them a purchase agreement for the property. Again, you can download the exact purchase agreement I use at www.freewholesalingresources.com, and I also have a video on how to fill it out that you can watch right here. Also, the links to all these videos is gonna be down in the description below. Once you and them have both signed the agreement, you need to get photos of the property as soon as possible. If it's local, you can go by and take the photos yourself just using an iPhone. But if it's not, you can ask the sellers to take photos for you. If the sellers can't take the photos, I would recommend hiring somebody off Craigslist to take the pictures for $50. Now, when getting pictures of the property, more is always better. Make sure to get at least 40 pictures of the property photos of every single room and everything outside. Once you have the, uh, signed purchase contract and the photos of the property, it is now time to start marketing your deal. The first thing you're gonna do is write an advertisement for the property. In this advertisement, you're gonna include all the relevant details about the house. So the number of bedrooms and bathrooms, the property square footage, the year built, and anything else important or unique about the property. Now, one thing I want you to know is to not include the address of the property in your ad. Just put the area or the town that the property's located it. You will now want to post this ad along with the photos of the property and the price on Facebook Marketplace and on Craigslist. Make sure that you also include in your ad that you are only selling for cash or hard money, and for more details to give you a call with your phone number. The reason why you don't want to include the address in the ad is because you never know that there are some unscrupulous people out there who might try and steal your deal. So don't include that right off the beginning and only give it to somebody who gives you a call and seems like a really interested buyer. You're also going to want to post your ad in specific real estate investor Facebook groups that are local to where the property is located. So go on Facebook and search "real estate investors" and then the name of the city where the property's in. Post the same ad in as many of these groups as you can find. Now, at this point, buyers will start calling you for more information. If any of them are interested in buying the property and they're able to purchase it with cash or hard money, set up a showing for them to view the property. Let the seller know that you have somebody that you're going to be partnering with on the deal who needs to come and see it and set up an appointment. Once you have found a buyer who's willing to buy it at your price, it is now time to send them an assignment of contract. Send them the assignment that you downloaded again from www.freewholesalingresources.com. And if you need help filling that one out, you can also check out this video I made going over the exact contract. Once you've got the property assigned, all that's left is to wait for closing. On the close of escrow date, the buyer will wire the funds to the title company. The title company will send the money to the seller, and they will send you your assignment fee. Congratulations! You have now officially done your first wholesale deal. It really is that simple, guys. And if you feel like you might need some more guidance on getting your first deal, I recommend you go check out Wholesaling 101. Wholesaling 101 is a program that I've designed to help beginners get their first deals. This program includes plenty training modules to help you understand every step of the process, as well as weekly calls with me for you to ask specific questions. I'm actually running a special right now, and the next 10 people who sign up can use the coupon I'm ready. That's one word, I-M-R-E-A-D-Y. I'm ready for 50% off. If you are ready to go get your first wholesale deal, let the universe know by smashing the like button below. And if you have any questions, make sure to ask them down in the comments. But as always, guys, thank you watching, and I will see you on the next one.