I had to find an alternative real estate investing method to solve my problem. As a real estate wholesaler, finding myself stuck, 3000 miles away from home for several months, what would it take to continue my real estate entrepreneurship without physically being in the local market?
I was already using a VOIP as my main phone company, and Efax.com as my faxing service, both being totally portable. This allowed me to use my Texas numbers in Canada. As far as anyone knew, I was calling from Texas.
My market was to “Tired Landlords” who I mailed regularly and found great deals. “Tired Landlords” are “absentee owners” don't actually live in the property. There is the likelihood that these are investment properties, and with them come challenges that often motivating the owners to sell.
Using an online mailing service, I upload my list and my marketing letters. Then with a few mouse clicks, and paying by credit card, my usual 500 piece weekly mailing got launched in a few minutes, and at a lower price “per letter” than doing by hand. A week or two later my Texas phone started ringing (in Canada) with prospective sellers! It was a beautiful thing.
I was already using the free, comparable sales research tools, like Zillow and First American Title, which were “hit and miss” for accuracy, so I always did a double-check with a local appraiser. It was pretty easy to develop a relationship with a local appraiser to work with me on sales comps, in hopes of getting the appraisal business.
Since I couldn't physically inspect the house or neighborhood, what was the next best thing? With a combination of free online resources for demographics, and the “Google Earth” satellite images, for a birds eye view of the house, I could see if there was a gas station next door, or a trailer park across the street... the kinds of things that could really affect value.
I had the sellers send digital pictures of the house by email and also, fill out the “sellers disclosure form” with any known deficiencies. Of course, included in the sales contract was an inspection clause to allow for a professional inspector. If the outcome fell short of expectations relayed in the “sellers disclosure”, renegotiation was in order .
To my delight, I discovered “virtual wholesaling” is very doable. In fact, since then have successfully wholesaled an average of 3 houses a month, using this alternative real estate investing method, from the comfort of my home office.
By: Judy Ryon