Getting Into Real Estate With No Money

[thinkandgrowrich]

Is it even possible?

I've heard and read about things like wholesailing but I can't really wrap my head around it.

How would one even enter real estate without having any capital to start off with?

 

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[douevenshift]

What kind of boat is needed for wholesailing? Sounds like it would be fun!

All jokes aside there are some opportunities to get involved with little capital. I forgot who posted it but there is a great thread about buying a 2/3/4 plex with only 3.5% down.

 

[thinkandgrowrich]

What kind of boat is needed for wholesailing? Sounds like it would be fun!

All jokes aside there are some opportunities to get involved with little capital. I forgot who posted it but there is a great thread about buying a 2/3/4 plex with only 3.5% down.

I read that thread but it requires you to live in the plex in order to qualify for a loan, otherwise I would've found a way to act on that lol.

 

[dirk.wert.3]

Check out biggerpockets.com

Sent from my SAMSUNG-SM-G925A using Tapatalk

 

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[dirk.wert.3]

Check out biggerpockets.com they have a book called how to invest with no or low money down.

Sent from my SAMSUNG-SM-G925A using Tapatalk

 

[thinkandgrowrich]

thank you man I already signed up for an account

 

[CashFlowDepot]

Is it even possible?

I've heard and read about things like wholesailing but I can't really wrap my head around it.

How would one even enter real estate without having any capital to start off with?

Wholesaling is a great way to get started when you have little or no money. Here are there steps:

1. call the "we buy houses" signs # and/or visit REI clubs to build a buyers list
2. Find an old run down houses or recruit others to send you addresses of the same
3. Get a contract on the house at about 1/2 price. (might need to talk to neighbors to find owners)
4. contact people on your buyers list to tell them you have a house for sale.
5. you can either assign your contract for a fee ( $3,000 -$5,000 usual) or sell with a simultaneous close
6. Close a few days later - get the money wired in to your account for instant access

on my site, I have a free book about the 5 best ways to make money without using cash or banks. It has more details about wholesaling plus 4 other ways to make fast cash too.

 

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[Rod bolts]

Bigger pockets is a great resource. Listen to the podcasts and read the articals about wholesaling. @CashFlowDepot is right about the rei clubs. You need to build a network of private lenders and buyers they will become your go to buyers. Most wholesalers find homes through direct mailers. A lot of them target out of state landlords and owners. These people will most likely have problems that you can solve by quickly selling the property for them. Wether it's a pain in the a$$ tenant or they moved out of state for work and couldn't sell there home first.

 

[Rod bolts]

@Cashmoney also has a great thread on highest bidder contracts. It's another great example of how you can make money in real estate without ever owning a thing.

 

[CashFlowDepot]

@Cashmoney also has a great thread on highest bidder contracts. It's another great example of how you can make money in real estate without ever owning a thing.

Last month one of our cashflowdepot students got a contract on a house that needed a lot of repairs. It was an estate property. She told the seller about highest bidder sales and he loved the ideal of selling the house fast with a creative way instead of the traditional 6-12 month listing.

long story short - she made $16,000 in less than 3 weeks.

These deals are out there everywhere folks! Just think a about this:

every day people die and their heirs do not want the house
every day people get a divorce and want to get rid of the house
every day people lose their job then can't afford the house anymore
every day people get a great job offer across country and need to sell their house fast
every day there are evictions - and landlords say I've had it!
every day there are properties condemned because of fire or landlords who do not take care of their assets (wholesale op)
every day there are foreclosures posted
every day there are people who need to move in to an assisted living or nursing home but need to sell their house first.
every day there are vacant houses in your town - this creates a very motivated seller.
every day there are opportunities all across the united states

It's your job to go find the deals, know a lot of different ways to solve the seller's problem, then turn it in to a profit.

It is not likely that you will find these opportunities listed on MLS.

You need to get out there to talk to people - LOTS of people. Tell everyone you run in to that you are looking for sellers who need to sell fast. Somebody knows somebody who needs to sell asap

 

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[CashFlowDepot]

Last month one of our cashflowdepot students got a contract on a house that needed a lot of repairs. It was an estate property. She told the seller about highest bidder sales and he loved the ideal of selling the house fast with a creative way instead of the traditional 6-12 month listing.

long story short - she made $16,000 in less than 3 weeks.

These deals are out there everywhere folks! Just think a about this:

every day people die and their heirs do not want the house
every day people get a divorce and want to get rid of the house
every day people lose their job then can't afford the house anymore
every day people get a great job offer across country and need to sell their house fast
every day there are evictions - and landlords say I've had it!
every day there are properties condemned because of fire or landlords who do not take care of their assets (wholesale op)
every day there are foreclosures posted
every day there are people who need to move in to an assisted living or nursing home but need to sell their house first.
every day there are vacant houses in your town - this creates a very motivated seller.
every day there are opportunities all across the united states

It's your job to go find the deals, know a lot of different ways to solve the seller's problem, then turn it in to a profit.

It is not likely that you will find these opportunities listed on MLS.

You need to get out there to talk to people - LOTS of people. Tell everyone you run in to that you are looking for sellers who need to sell fast. Somebody knows somebody who needs to sell asap

This is the testimonial from the lady who made the $16,000 on her first deal. YOU CAN DO THIS TOO!

Over the years I have spent a lot of money on books, courses, forum memberships, and actual so-called mentors, but nowhere did I find someone who actually wanted another person to succeed. This speaks volumes about Jackie as a person. Thank you. Can I tell everybody who reads these testimonials, I was not even a member of CFD when Jackie started helping me analyzing deals and giving creative suggestions to handling certain leads, and sellers. ALL without an ounce of selfishness!! I have not seen this anywhere in the industry.


CashFlowDepot with its hours of recording, a forum to ask questions, a file vault with RE related paper work, and of course Jackie to answer your questions, and send you more stuff, and referrals, is literally a treasure trove.


I started with a Highest Bidder Sale in Fort Worth using Jackie’s techniques, and training. This is after I went to Phoenix to learn first hand what this was about. A disclaimer here: I have had the book, “how to sell you home in 5 days” for 7 or more years, but I never had the actual blueprint of how to conduct it. I conducted one all on my own, only because I had the backing of Jackie, and Patti. They kept imparting knowledge whenever I found myself stuck. This is where a true mentor shines, and their experience comes through. I would hate to call Jackie, and Patti, gurus; they are true TEACHERS, the kind one found in yesteryears- ethical, dedicated, and supportive. Please do not hesitate to join. This will be the best money you have ever spent if you are serious about real estate investing.
Ayesha B

 

[_Master_Shake]

Last month one of our cashflowdepot students got a contract on a house that needed a lot of repairs. It was an estate property. She told the seller about highest bidder sales and he loved the ideal of selling the house fast with a creative way instead of the traditional 6-12 month listing.

long story short - she made $16,000 in less than 3 weeks.

These deals are out there everywhere folks! Just think a about this:

every day people die and their heirs do not want the house
every day people get a divorce and want to get rid of the house
every day people lose their job then can't afford the house anymore
every day people get a great job offer across country and need to sell their house fast
every day there are evictions - and landlords say I've had it!
every day there are properties condemned because of fire or landlords who do not take care of their assets (wholesale op)
every day there are foreclosures posted
every day there are people who need to move in to an assisted living or nursing home but need to sell their house first.
every day there are vacant houses in your town - this creates a very motivated seller.
every day there are opportunities all across the united states

It's your job to go find the deals, know a lot of different ways to solve the seller's problem, then turn it in to a profit.

It is not likely that you will find these opportunities listed on MLS.

You need to get out there to talk to people - LOTS of people. Tell everyone you run in to that you are looking for sellers who need to sell fast. Somebody knows somebody who needs to sell asap

From your experience, does this work in every type of neighborhood? A/B/C class? A few towns over from me there are builders knocking down $1 million homes to build $3 million homes. In my parents neighborhood there are empty lots going for $250,000 and up. Just wondering...

 

[CashFlowDepot]

From your experience, does this work in every type of neighborhood? A/B/C class? A few towns over from me there are builders knocking down $1 million homes to build $3 million homes. In my parents neighborhood there are empty lots going for $250,000 and up. Just wondering...

ABSOLUTELY! One of by students made $148,000 doing a highest bidder sale in the kind of neighborhood you are describing. new homes selling for $2,000,000 up. The house he had under contract could have been a tear down. Builders will do the deal just to get the lot.

They also work on $400 mobile homes. I know I've done that.

And it works on nice houses in nice neighborhoods - it does not need to be a junker house. If you can get a contract to buy subject-to the mortgage, you can sell with seller financing and do a highest bidder sale for the highest down payment. Guaranteed to sell the house and make money.

Lower class, middle class, high end and luxury properties too. I've done highest bidder sales in all of these situations.

Here are a couple of articles with more details

https://www.cashflowdepot.com/?s=highest+bidder+sale

 

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[Rod bolts]

It's amazing how competitive people get once they start bidding.

I've sold on ebay for years and would list items for auction with a buy it now option. List the auction at $10 with a buy it now option of $50. I'd pull the buy it now option at $40 and just watch the frenzy continue up to $75. Most of the time the winner was either the 1st or 2nd bidder. The same people who had the option to buy it at $50 ran the price past this.

The same thing applies to the format that @CashFlowDepot is talking about with houses. People come to the open house for the deal and then get caught up in a bidding frenzy.

 

[Brian C.]

Last month one of our cashflowdepot students got a contract on a house that needed a lot of repairs. It was an estate property. She told the seller about highest bidder sales and he loved the ideal of selling the house fast with a creative way instead of the traditional 6-12 month listing.

long story short - she made $16,000 in less than 3 weeks.

These deals are out there everywhere folks! Just think a about this:

every day people die and their heirs do not want the house
every day people get a divorce and want to get rid of the house
every day people lose their job then can't afford the house anymore
every day people get a great job offer across country and need to sell their house fast
every day there are evictions - and landlords say I've had it!
every day there are properties condemned because of fire or landlords who do not take care of their assets (wholesale op)
every day there are foreclosures posted
every day there are people who need to move in to an assisted living or nursing home but need to sell their house first.
every day there are vacant houses in your town - this creates a very motivated seller.
every day there are opportunities all across the united states

It's your job to go find the deals, know a lot of different ways to solve the seller's problem, then turn it in to a profit.

It is not likely that you will find these opportunities listed on MLS.

You need to get out there to talk to people - LOTS of people. Tell everyone you run in to that you are looking for sellers who need to sell fast. Somebody knows somebody who needs to sell asap

I write for Real Estate, and have learned quite a bit about my clients and their businesses.

A couple months back, I wrote for a company that specializes in Estate properties. The company would arrange an Estate sale (taking a commission on total revenue) and would market the property at the actual Estate sale. Potential "buyers" everywhere. Phenomenal marketing tactic on the brokerage end.

When I wrote for that company, I didn't focus on "their heirs not wanting the house," but rather the problems of the administrator (seller) of the Estate property. Problems such as: generating a respectable return for their family members, completing needed repairs, dealing with probate. And of course, the few who just didn't want to deal with it like you @CashFlowDepot mentioned (stress, anguish, etc.)

Another client (investment company) focused on divorce and foreclosures.

These businesses understood how to find deals - sure. But I think they were better at understanding people's issues. Their problems. And fundamentally, why they wanted to sell their home.

Quite a lesson as to the fortune available for problem-solving.

 

[Finance_Machine]

I have similar feelings towards "wholesaling" as MJ does towards MLM / Network Marketing. But, I won't get started because I'm new to posting.

You definitely want to have lots of money down. You should have some way to put in some serious chips on your own behalf as well too. You will also need access to a very serious balance sheet / credit (hopefully at least part of it is yours).

Sure, there are ways to by hook or by crook get yourself into this position. Being scrappy is what being an entrepreneur is all about. Figuring out ways to "stick and move" should be your game in the beginning, regardless of what you choose to pursue. If you really want to be a real estate entrepreneur, eventually you are going to need some serious chips and a serious balance sheet.

Owning a real estate investment company is rewarding because it has true barriers to entry. The true barrier to entry is that it is indeed a capital intensive business requiring both liquidity and balance sheet.

 

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