If you’re thinking about investing in real estate with little to no money, wholesaling might be the best option for you. But here’s a fact– most of the newbie wholesalers make the mistake of focusing on just the local real estate markets. If you want to grow your real estate business and outperform your competitors, you need to consider virtual wholesaling real estate. This will help you to scale your wholesaling business and get more leads.
But what is Virtual Wholesaling Real Estate?
Let’s understand it in some detail.
What is Virtual Wholesaling in Real Estate?
In simple words, virtual wholesaling in real estate refers to the buying and selling of long-distance properties using various online means like computers, smartphones, fax machines, etc. Like the traditional wholesaling process, you identify potential sellers, get the contract signed, and assign the contract to a buyer.
How to do Virtual Wholesaling in Real Estate?
Now that you know what virtual wholesaling is in real estate, it’s time to show you how to do it. Below are a few steps that you need to follow-
Step 01: Do The Groundwork
Before you take the leap, it’s crucial that you familiarize yourself with the process of virtual wholesaling. The more you prepare yourself, the better it is for you. Start with conducting thorough research on your local or nearby market. Try to get the idea of what kind of properties available in different areas and where different neighborhoods are.
Step 02: Choose Profitable Real Estate Areas
As a virtual wholesaler, you need to work virtually and have easy access to the targeted area’s local data, such as crime rates, average occupancy rate, and more related data. In the past, that required extensive and time-consuming research on the web, but now thanks to the emergence of plenty of valuable tools, you can get all the data you need in just a few clicks.
Step 03: Find The Right Property
When it comes to wholesale, both traditional and virtual, distressed properties like houses, and commercial buildings, are the best ones. You can buy such properties that can be purchased under the market value and then sell them at a rate higher than the cost price. With the help of online tools and resources, such properties can be found easily.
Step 04: Contact The Seller
You’ve found the property you were looking for, now to get the contract, you need to contact the seller. Various skip tracing tools in the market can help you find the property owners and provide you with the contact details. Once you get the details, contact the owners and take step five.
Step 05: Present Your Contract to The Seller
Once you’re ready with the contact information and contacting the seller, it’s time for you to offer your contract to the seller. If you offer a rate that is too low, you might end up losing the contract. Also, if you rate it too high, you might not make a considerable profit. So rate it smartly.
Step 06: Market The Contract To Interested Buyers
Here’s come a critical part of the process that is getting the deal in front of interested buyers or investors.
Luckily, there are plenty of tools out there that can help you to reach potential buyers virtually. You may try using social media or building your own website, or any other marketing strategy.
Step 07: Assign The Contract
Once you’re ready with a cash buyer, the last step is to assign the contract. There are many virtual ways to do that. Tools like PandaDoc and RightSignature can help.
So that’s all about virtual wholesaling real estate. And now that you know, it’s your turn to take the lead and scale your wholesaling business.