Real estate investing has proven to be a good way to build wealth and create a secure financial future. It has been the launching point for some of the country’s most wealthy individuals. By beginning your career in real estate investing with wholesaling homes, you are creating a strong foundation for other types of investing as well as earning some quick cash.
It is not uncommon for wholesalers to earn as much a $10,000 to $15,000 each month while only working part time. Wholesaling homes is a great way to begin learning the business of real estate investing because it requires little capital, not much need for credit and it is the most basic type of investment process to learn.
To wholesale homes you are basically looking for properties that have good potential for investment, you then need to get control of the property to market to individual investors who are looking to renovate properties and then resell them. The secret for the first investor, you, is to get a distressed property at a great price and then quickly sell it to the next investor who is going to renovate and then resell.
You can expect to complete one or two of these quick deals each month to earn the average income for this business. What you are providing is a service to other investors who are good at the repairs and renovation side of the business but might not have the skills or the time to find the homes in the depressed condition. Your work is not hands on repairs or physical labor but you are completing the background searches and the gathering of information about neighborhoods and areas that will provide a good potential for resale after the renovations.
While the final investor might make three of four times the profit that you do, he will need to carry the cost of the property for possibly serval months while the renovations are completed. He will also be paying for the materials and labor to complete the work so he will need to make a longer term and higher risk investment. Whereas you will be in and out of the deal in less than thirty days and with very little risk of your initial investment. What you will need to master to be successful in this phase of real estate investing is getting homes for the right price. You need to pay the lowest possible price and also you need to have a good estimate of what the home can sell for after the rehab so that you can sell it at a fair price to the next investor.
There is plenty of money to be made in wholesale real estate investing. Learning the business for a seasoned professional will ensure that you build a strong foundation for your future business. Check out www.azrealestatewholesale.com to learn more about the business and how you can benefit from working with a professional to learn the business.