I have heard it 100 times over…
That wholesaler, fill in the name, totally ripped me off. False rehab costs, false appraisals, false inspection reports, false ARV…and on and on.
Last month we talked about experienced wholesalers. This month, let’s flip it over to the new Buyers. They are new, excited and hungry. And they are prime targets to get taken advantage of by some wholesalers. Unfortunate as it is, there are wholesalers that are less than credible. I have seen quite a bit of less than ideal advertisements. Some examples:
Comps that have nothing to do with the subject property
Low rehab costs with generic contractor quotes
Incorrect house or lot sizes
Lack of pictures
These are some of the more common issues we see. The problem is, many new Buyers will take wholesalers at their word. Now, I will be the first to tell you to tell your Buyers ‘do your own due diligence’ but that is not a license to take advantage of them if they are new Buyers. It is key to take care of your Buyers and set them up for success. Using real and not speculative information is a solid way to do this.
Remember, your buyers are trusting you with their hard-earned cash. Or if they have a lender, their lenders hard earned cash. Showing respect for that money is important to your success. A lack of sincerity will be detected by new Buyers but unfortunately, sometimes the urge to just ‘get a deal’ wins out over logic. Don’t take advantage of that. They will thank you later and want to buy from you again.
New Buyers are a great opportunity to sell deals to as they are always showing up on the market whether it is up or down. As a wholesaler, take advantage of this by giving them fair and reasonable deals. Win-win deals are always a ticket to your success. Leverage it!