Updated: Jul 11
The Short Answer
Real estate wholesaling can be a profitable real estate investing strategy, however finding the right wholesale deals is just one part of the process. To become successful, those who wholesale real estate need to know how to find investors for wholesaling. Investors can be found using various methods, some of the most successful include:
Going Digital: Using social media, online forums and other digital tools to find and connect with many real estate investors who may be leads for your business. Creating a business website is also key to being successful in the digital realm.
Networking: Attending real estate events, joining groups and reaching out to real estate professionals is a good way to get the word out about your wholesaling business and attract potential cash buyers.
Email marketing: Connecting with investors through email can be a successful channel. It allows you to reach out to interested investors directly or send mass email campaigns to generate leads from hundreds or thousands of potential investors.
To be successful when you wholesale real estate, you will need two driving factors – you should know how to find great wholesale deals, and you should know how to sell properties fast. In other words, you’ll need to be a deal seeker so that you snag properties at great prices. At the same time, you are acting as a wholesaler, so you won’t be holding onto the properties. Instead, you will sell them immediately for a profit, which is why a large lead inventory is crucial.
Those who wholesale real estate need to be quick on their feet and have a large following of investors. Here’s how to find investors for wholesaling, with or without a list of houses to sell.
8 Ways To Find Investors For Wholesaling
1. Create Your Own Network
Real estate is all about networking and today it’s easier than ever, thanks to the internet and the rise of social media. Whether you choose to meet in person or in the digital sphere, there are multiple opportunities to network in your area and this is an important way to find investors for wholesaling.
You can start by joining your local Chamber of Commerce and any real estate groups in the area. You can even start your own groups using Facebook to garner the interest of investors. This is a way to open the door to fostering relationships with investors and creating a community or group of investors who are engaged and interested.
Another avenue is to make contact with a real estate agent or agents, title companies, and mortgage companies to make valuable connections with other real estate professionals. You can let them all know about what you’re doing. The more people that know, the more your information will get passed along.
Attending real estate events is another good way to network. These events attract all sorts of real estate professionals and can be a successful way to meet find cash buyers who may be looking for investment properties. You can host a table at these events or use various other marketing methods to promote your wholesaling business.
Another option is to attend local property auctions. These are an easy way to make contact with many real estate investors who are already looking for good deals. Property auctions are an easy way to find cash buyers who can turn into wholesale buyers.
Set aside time every week, at least, to network outside of your current leads and connections – you never know when you may meet someone who is a good lead or can open doors for you.
2. Bandit Signs
You’ve probably driven past hundreds of ‘we buy houses’ signs. These are small posters usually located on lawns or at intersections. Using these signs is a good way for wholesalers to attract motivated sellers, and also cash buyers and thereby find investors for wholesaling. Posting these signs can help you find cash buyers who are interested in what you may have available.
Make sure to include your contact details on the sign so that cash buyers can easily get in touch. Putting the signs in high traffic areas is usually the key to getting the highest visibility. On the flip side, you can also contact anyone from these signs, as they may have a valuable wholesale deal that you could connect with a buyer.
3. Talk To Your Personal Contacts
You may have more referrals in your personal contacts than you realize. Take a look at your social media list or even your text string. How many people do you talk to daily, even if it’s only written? These could all be opportunities that, if approached correctly, could turn into profitable relationships and you could find investors for wholesaling.
Be vocal about what you do and let people know that you’re on the lookout for investors because you have some great deals that they be interested in. You never know when you might pair up with someone you are close with and end up creating a great deal. If the deal goes well, people in your personal contact list will refer you to others. It’s a great way to expand your referral network with using less legwork.
Leave no stone unturned when it comes to contacting people you may know. Investors that you have already worked with, are a great place to start. You can let them know that you’re looking for wholesale buyers and that if they know of anyone, they should contact you. Chances are, if they’re real estate investors themselves, they may know other local real estate investors and be able to pass on some referrals that could turn into wholesale buyers.
4. Work With Hard Money Lenders
As far as professional references go, it doesn’t get much better than partnering with hard money lenders. They primarily work with real estate investors and they may know some local real estate investors who are looking for new deals.
Hard money lenders work closely with investors and will typically have a good relationship with repeat borrowers, who are in the market for new properties often. This can be a great way for wholesalers to find cash buyers and other quality leads and capitalize on these. The more people that know what you do, the more they’ll share your name. Whether hard money lenders have investors whose deals fell through or investors who want to build a great pipeline, getting your name in front of these investors can be a successful way to find wholesale buyers for your properties. You can get your property pre-qualified for funding for your end buyer on our Loan Pricing sheet.
5. Email Marketing
Email has been a successful marketing channel for a long time and it remains a go-to for various types of marketing, particularly when it comes to real estate investing. In this case, wholesalers can use email to create a database of potential leads and reach out to them at the click of button with new deals and other marketing strategies.
Email marketing allows wholesalers to target specific people and create a list of thousands of potential investors. These emails can showcase new property deals available, be used to advertise your business, or be used as an educational tool. The best use-case would be to do all three in your emails.
6. Approach Real Estate Companies and Professionals
Property management companies Property management companies are a good option to work with as they deal directly with investors. If they hear anyone who wants to expand their portfolio, they may pass your name along. This is about as direct as it gets when trying to get in touch with potential wholesale buyers without cold calling.
Attorneys Closing attorneys are another option to consider as they often have the first hand in a real estate transaction and can put wholesalers in touch with their large network. It’s a good idea to foster a relationship with a closing attorney, as they could be a valuable source of potential cash buyers if they referred their contacts to you. Other real estate professionals
Other real estate professionals to consider working with are local landlords who may own other properties or be looking to flip houses, any real estate agent who has a large network, and any other real estate professional who has access to a good network. Any of these professionals could put you in touch with potential wholesale buyers.
7. Become An Industry Leader
Leaders have an important role in today’s world, particularly on social media. These days, it’s easier for anyone to become a leader. Rather than focusing on just buying and selling houses, you could become a leader that shows how much they care about the community. Get involved doing community work and helping others as a start. You can even provide some advice or free seminars or educational material on your social media pages to become the ‘go-to’ real estate guru.
As you build a following over time, you can become an industry leader. It takes only one or two posts to go viral for others to quickly jump on the same bandwagon. You could grow your following and do good for the community at the same time. Becoming an industry leader gives you the opportunity to become well-known and find wholesale buyers for your projects easily.
8. Go Digital
The online world is a great place to find wholesale buyers, without having to spend a lot of time, energy or money. Making a website for yourself can be an invaluable exercise, so that you have somewhere to drive all your digital marketing activities. Your website should introduce your business and give property investors all the information they may need to know about what you do.
Social media is another online avenue to use to market your business and generate leads. Facebook, Twitter and LinkedIn are good places to find real estate investors who may be on the hunt for their next deal. Using advertising strategies on these platforms will open you up to a large audience which can be targeted to real estate investors and wholesale buyers specifically.
Real estate forums are a useful online space to make contact with real estate investors who may be looking to buy property. Take a look at the popular forums and participate in conversations so that you can network and find potential leads by letting people know what you do. Your website will come in handy here, as you can drive people to this, so that they can learn more.
Does Real Estate Wholesaling Work?
Real estate wholesaling can be a successful real estate investing strategy if you put the effort in. It’s not just about finding the right property – you have to be able to market on both sides. You must be able to score great deals by buying undervalued properties, and then find the investors to buy them.
It’s a lot more about marketing and building a strong list than it is finding the right properties – those will always show up. It’s about building networks and relationships throughout the community – showing that you are a community leader.
If you’re willing to put in a lot of sweat equity, be a forward thinker, and always be looking for ways to increase your referral list, you’re on your way to creating a profitable career in real estate wholesaling. Knowing how to find cash buyers can speed up the process and guarantee a sale, so bear that in mind when you embark on your first wholesale deal.
What Are The Benefits Of Real Estate Wholesaling?
It may sound like it requires a lot of effort, so why do people want to participate in real estate wholesaling? Here are a few of the benefits:
Real estate wholesaling can be a great way to break into the real estate market for new investors who don’t have a lot of capital or experience.
You can earn profits fast. There isn’t a lot of lag time between when you buy and sell the house, so all your hard work pays off quickly and there are no lengthy processes to deal with. In most cases all that is required is some minor negotiation and drawing up a contract between the seller and buyer. These are often cash buyers so the process is even quicker.
You have the opportunity to help both sides of the real estate equation – cash buyers and sellers. Very few real estate investing paths offer this opportunity.
It presents an opportunity to earn a considerable profit without having to put down too much of your own capital, as you don’t have to actually purchase the property yourself.
It’s also a good avenue for making substantial connections in the industry even if you don’t become a full-fledged investor yourself – people interested in getting their feet wet with real estate would do well to consider real estate wholesaling.
Overall, being successful in real estate wholesaling is likely to be an empowering experience. It may take time to build up relationships and find the right wholesale buyers (often cash buyers) but having a detailed action plan and purposeful intention can help make it easier. As with anything, the key lies in understanding your target audience and focusing on quality over quantity for each wholesale deal. Utilizing the best practices shared in this blog post should give you with the confidence you need to introduce yourself to potential investors, find cash buyers and thrive in the world of wholesaling investments.
With this knowledge, go forward into your real estate investing journey, armed not only with optimism but also a clear strategy – one that makes even more sense as soon as you’ve found an investor willing to trust you with their capital. The real estate industry is dynamic and ever-changing; use what you have learned here wisely and know that wholesaling success is within reach.