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To be honest, wholesaling was pretty tricky for me the first time I heard about it. Many of you have probably heard of the term wholesaling but probably have no idea how to do it. That’s why I am going to tell you about the fundamentals of wholesaling. I am going to teach you how to make a quick profit, without ever having to use any of your own money. What is Wholesaling? Probably the most fundamental question is what is wholesaling. To make it simple, at least simpler than anywhere else, here is my definition for wholesaling. The art of purchasing a property from someone and selling it to someone else. I say art because it really is an art. Anyway, this means that you purchase property from one person and then quickly sell it to someone else. It is a great way to make quick cash on your deal and, best of all, you don’t put any of your own money into it. Why doesn’t everyone do it? You are probably thinking that if wholesaling is so simple, why doesn’t everyone do it, right? The fact is that wholesaling can take quite some work and a lot of marketing. If you don’t know the right people, or the right network, you will not be able to wholesale your property in time. Most people just aren’t ready to put in that kind of effort. A Step by Step Guide to Wholesaling Here is a look at a quick step by step guide to wholesaling. Step 1 – Find a decent and cheap home The first thing you need to do is find an affordable home, preferably between $20,000 and $60,000. Talk to the owner and ask them to sell the property to you under your name; a regular Purchase Agreement. Try to find someone that is looking to literally get rid of his home, irrespective of the reason. Step 2 – Buy the Home Ask them to sell the home to you in your name. However, make sure you have a specified amount of time, in business days, to come up with the money. Step 3 – Save yourself Make sure that you save yourself when drafting the Purchase Agreement. In other words, you need to make sure that if you can’t ‘find the money,’ you will not have to purchase the home. Step 4 – Sell it to Someone Else All you have to do is find the right investor to sell the home to. All you have to do is add a few thousand onto the property as your fees and you are golden. Let’s say you find a home for $20,000, a home you know could sell for $40,000 with rehab, and you buy it for $21,000 due in 30 business days. Find an investor and sell the home to them for $25,000. Deal complete, everyone wins! Of course, there is a bit more to it but these are the fundamentals right? If you are looking to start wholesaling, we hope this guide helps you.

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