Cortez shares that the average revenue for his business is $32,000 per wholesale deal, with a relatively short turnaround time. He also mentions that his primary focus is single-family properties, but these deals can lead to opportunities with land, commercial, and multi-family properties.
When asked about the reasons someone would sell their property below market value, Cortez explains that many sellers prioritize convenience and time over the potential for a higher selling price. This could be due to circumstances such as divorce, probate, or an inherited property that requires significant repairs. Additionally, sellers may not want to deal with the hassles of listing on the MLS or dealing with contractors for necessary repairs.
Cortez emphasizes the importance of transparency when discussing potential assignments with sellers and highlights that the wholesaler's profit comes from the difference between the contract price and the sale price to the end buyer. He also notes that as wholesalers gain more experience, they can explore more advanced strategies like creative financing, subject-to deals, and options.
In conclusion, wholesaling real estate offers a low barrier to entry for those looking to get started in the industry. Aspiring wholesalers can begin by driving around neighborhoods, identifying distressed properties, and contacting potential sellers. Wholesaling not only provides a means to make money but also offers solutions for sellers in various situations, creating a win-win scenario for all parties involved.
Connect with Rafael: https://www.ceopulse.com/rei
Meet the Host: Paul Neal is the founder and Principal Funding Strategist at Vantage Point Commercial Capital, a firm that focuses on helping entrepreneurs, businesses, and real estate investors win by funding their growth and dreams in nontraditional ways.
Paul’s unique perspective has been honed over 30 years as an entrepreneur, financial strategist, professional speaker, and executive coach. He took the road less traveled choosing to leave engineering right out of college to become a serial entrepreneur. From great early successes in the 90s and 2000s, to completely losing his primary business in the Great Recession of 2008, to bouncing back and just recently selling another business for a healthy 7-figure sum…he’s experienced it all. Paul offers a wealth of experience and passion to the entrepreneurial community in an engaging, upbeat, encouraging, and witty way.
Connect with Paul:
Visit his website: https://paulneal.net
Connect with him on LinkedIn: https://www.linkedin.com/in/paul-neal-47b8478
Vantage Point Commercial Capital: https://vpc.capital