Getting started as a real estate investor can be a challenge, as the most profitable investments — such as buying short sales for a fix and flip — requires a fair amount of capital. Of course, few people have a few hundred thousand dollars sitting in the bank, so where do you get the money to start out as an investor? Well, that’s where wholesaling real estate can come into play. So in today’s article, The Short Sale Gal Kristine Zelazo explores real estate wholesaling and how it works.
WHAT IS WHOLESALING REAL ESTATE?
Wholesaling is a great opportunity for new investors in the realm of real estate. It’s an especially good option for investors who are just getting started and don’t have a whole lot of capital available to invest.
Real estate wholesaling involves serving as a middleman of sorts. The first task is to locate a property, ideally one that’s available for less than its actual market value. One example of this type of property is a short sale or another distressed property.
Then, once the wholesaler has located the ideal property, he or she will approach the owner and arrange a purchase-and-sale agreement on the house, often putting down a modest deposit.
Once the house is under contract, the wholesaler contacts a rehabber, investor or contractor who’s willing to purchase the home, which will then be upgraded/repaired and re-sold for a higher price.
The wholesaler gets a slice of the pie when the home is sold to the investor/contractor/rehabber, who in turn receives his or her profit when the property sells.
For a wholesaler who has a few good connections with investors, rehabbers and contractors, wholesaling provides many wonderful (and profitable) opportunities. The key is the ability to move that property in an expedient manner to the rehabber or investor.
HOW CAN WHOLESALING REAL ESTATE HELP YOU GET STARTED AS AN INVESTOR?
Wholesaling requires relatively little time investment (although it’s a very time-critical operation) and this is appealing to many individuals.
What’s more, wholesaling provides a great opportunity to accrue significant sums of money which can then be reinvested. This makes wholesaling the single most viable method for new investors who want to get involved in property investment but don’t have a large sum of money to get started as an investor.
Wholesaling also provides you with an opportunity to make profitable new connections with others in the industry, such as other investors, Realtors rehabbers and contractors. These connections can be helpful as you get more involved in larger real estate investments.
GETTING INVOLVED WITH REAL ESTATE INVESTING WITH KRISTINE ZELAZO, THE SHORT SALE GAL
If you’re in search of an investment property, wish to get involved in real estate investments such as buying short sales, but are unsure of where to begin, turn to Kristine Zelazo, the Short Sale Gal! In addition to helping buyers and sellers with short sale transactions in South Florida and beyond, The Short Sale Gal Kristine Zelazo also works with a small number of real estate investors who are seeking to get involved in short sale investing, rehabbing and fix and flipping properties.
Kristine Zelazo has years of experience in the real estate investing field, so she’s well-positioned to provide guidance to new investors who are seeking a mentor and business partner.
In addition, The Short Sale Gal also serves as a short sale expert and licensed Realtor, assisting individuals who are seeking to sell their distressed properties in a short sale in South Florida and beyond.
If you’re seeking to sell your home in a short sale or wish to sell your home to an investor, simply complete the home pre-sale form to provide Kristine with additional information on the property in question. Then, call 786.570.0360.