Your buyers list - If you decide to wholesale, you must develop a strong buyers list. This will allow you to locate properties with the assurance that you can move them. Even if you only wholesale properties occasionally, it is highly recommended that you have a buyers list built up. As we previously discussed, there are several ways that you can market to build up your buyers list. Two of the easiest ways to do this are to place ads in the paper and to advertise at REIA's. You may even put out roadside signs to attract buyers. You should think of your buyers list as money in the bank. A good list will make it a lot easier for you to move properties. You will also feel more confident getting the properties, knowing that there are people ready to purchase them from you.

Good properties at good prices - Again, we are building on what we learned earlier in the program. You want to make wise choices when you look at investment properties, including when you wholesale. Even though you are not going to keep the house, you still need to make sure that it is a good house in a good area at a good price. You can get 2BR 1BA houses at cheap prices all day long, but do you really want to? We would say no, unless the house is so cheap that your buyer could add an extra bedroom with little trouble. But even then, we wouldn't recommend it. You always want to go the path of least resistance. Don't get the houses with the weird floor plans.

They shouldn't be too small or have any type of structural damage. Most investors do not want to take on rehab projects of more than $15,000 - $20,000, especially if they are just starting out. If you find a good deal that requires an intense rehab, you will probably want to save that one for yourself or pass on it altogether. And again, you need to make sure that the price is right. There should be enough room in the deal for your profit, your buyer's profit and the rehab funds. Your profit will vary depending on the deal, however, to make it worth your time, you should shoot for a minimum of $5,000 per deal. Of course, this will vary by property. Review your buying formulas for wholesaling properties. Remember - wholesaling is not illegal flipping. You never want to artificially inflate the value of a property.

Relationship with your closing attorney - Typically, your lender will choose the closing attorney. However, this does not stop you from developing a relationship with them as well. In fact, if you work with the same lender a lot (for your purchases or your buyer's), you will find yourself in that closing attorney's office quite a bit of the time. Learn the culture of the office. How does it run? What are the personalities of the staff? What are their names? How do they like to do things? You will find that all closing attorneys are different. Some are more laid back while others are more uptight. Some will accept documents and requests faxed from you, while others want them directly from your buyer and/or your lender. The key is to find out how to best work with them so that your deals run smoothly. Find out what you can do to make things easier on the staff to bank some goodwill, you might need it on a bumpy deal!

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