“A journey of a thousand miles begins with a single step.” -Lao Tzu
Okay, so I hope that this series of blog posts over the next few months that I am going to do on the subject of Real Estate Wholesale Investing for Beginners are motivational.
This section of my blog is going to be my online journal which will detail my journey into becoming a successful and wealthy real estate investor.
In the very near future… I will make sure to do more video posts… rather than writing it out!
I will be focusing on the niche that most real estate investing experts out… say is the best niche for beginners such as myself to focus on… which is real estate wholesale investing.
If you want to follow ALL the posts that I put in this category — the click here and bookmark that page to your computer by pressing Ctrl + D.
Okay… so a little about me…
I am a serial entreprenuer by trade… and have been for the past several years. I got a successful start in the realm of starting my own business… by focusing on Internet Marketing and had a HUGE success. Basically what I did back in the day when I was in my mid-twenties — was to promote other people’s products over the Internet as an affiliate… and then I would collect a small commission off of that.
Well it turned out that I could make SEVERAL small commissions add up… into several HUGE paydays. Back between 2006-2008, I would routinely bring in $20,000 – $60,000 in commissions a month. Life was good!!
Recently, however, my income streams have dried up… and while I have pursued many other options which have kept me afloat… none of them are anything that will bring me to the earning levels… or level of financial contentment and peace that I was at a few years ago.
After listening to podcasts by an AWESOME real estate wholesale investing fellow by the name of Sean Terry… it clicked in my head that, this was it! I MUST do that… because that will help me to realize my financial dreams, help me to fund my God-given mission in life (start a ministry in Las Vegas)… and give me a total freedom of my time.
What is Real Estate Wholesale Investing
Real estate wholesale investing is simply where you or me (the investor)… finds a GREAT awesome real estate deal from a motivated seller. We then tie that property up at 50-60% of the market value with a contract… and set the deal to close about 30 days out. Let’s say for our example, we find a house that is worth $100,000 when it is totally fixed up… and we get it under contract for $50,000.
We then find a cash buyer or investor for that property. We have that person sign another contract to buy that same property from us for let’s say, $60,000. We can either sign over the contract we made to the motivated seller over to the cash buyer (called an assignment)… or we can do what is called a double escrow or simultaneous closing (where we open up to escrow accounts, one for the buyer and one for the seller).
At the day of the closing of the real estate wholesale investing deal… the cash buyer brings in his $60,000… and $50,000 of that is paid to the motivated seller. The difference that is left over… which is $10,000 is then given to you.
During the whole process… we never own the house… we never put any of our money into the deal… we basically just flip the contract.
That is real estate wholesale investing in a nutshell.
I will explain more about this process in future posts… but all I can tell you is that it is an AWESOME opportunity.
The IMPORTANCE of Setting Goals
Anyways I believe that it is important to set public goals… as they help to keep you on task and not procrastinate. Massive action leads to massive success! Remember that.
So, here are my goals that I want to achieve from real estate wholesale investing:
1. Close 5 real estate wholesaling deals every month by October 2011
2. Generate $50,000 of gross profit every month from real estate by March 2012
3. Close my first deal within 30 days of starting (September 15, 2011)
4. Have $50,000 saved up in my bank account by March 2012
5. Continue wholesale real estate investing when I move to Las Vegas.
Today is August 13, 2011… so I have my work cut out for me!
The biggest task for me in real estate wholesale investing career is not learning how to close deals (which is important). It is having a never-ending supply of potential cash buyers (my bank)… and finding a never-ending supply of motivated sellers (my product).
The 3 main ways that I will generate both are:
1. Putting out at least 50 bandit signs every weekend throughout town. (very hard work!)
2. Using the Internet to building up my e-mail list of potential customers. This’ll be my strength, since I’m already an expert at this.
3. Sending out direct mail pieces, chiefly yellow letters… to different mailing lists that I will compile or buy.
Anyways… this morning… I took my first MASSIVE step, by putting out 50 bandit signs around my town. I woke up at 2:00 am to do it. Started at 2:15 am… and ended at 4:45 am. I am very sleepy, so I am going to hit up a well-deserved power nap now!
Wish me luck folks… and remember to follow my real estate wholesale investing adventure by bookmarking (Ctrl+D) the real estate wholesale investing portion of my blog by clicking here.
Blessings to you!
Daily Motivation Coach AND future Real Estate Investment Guru
P.S. ==> If you want more information on how to get into real estate wholesale investments for a beginner… check out my favorite links on the left hand side of my website on the menu titled Real Estate Investments. On it… there are about 5-7 of my favorite real estate investment blogs and YouTube channels.
P.S. 2 ==> Watch all of the videos on those sites… there is a WEALTH of information on there!