Would You Close on Your Own Deal?
Posted on January 11, 2017 byAs we get ready to start the new year, I would like to start with a basic question…would you close on your own deal?
I am an investor who loves wholesaling so I ask this question with sincerity. Would you close on your own deal that you send to your Buyers? Seriously, assuming you had the money in cash, would you?
If you have to think about the answer, then is it really a deal you should be sending out to your Buyers? Of course one can say ‘well it is not an area I invest in but others do’ and I would respect that of course. However, what I have found is a lot of wholesalers are not confident enough to where if they had to close on the deal, that they would actually do it.
In which case, I ask, why would you present that deal to your Buyers?
Remember that you are putting a property under contract with a Seller and when that contract is signed, they are more often than not ready for that thing to be gone. They are already thinking ahead to post closing in most cases. So if you inspect the property with the intent to wholesale, don’t find a Buyer and then choose to not close, that does not help our community! Hence the ‘scam’ terminology used by some Sellers is born.
Now that being said, we all make mistakes and misjudge from time to time. I have done it and know of no wholesaler who hasn’t. However the way I have learned to handle this is very simple.
If you feel confident in your numbers and the deal, then you can put it out to your Buyers with confidence that it will move. If no one buys, you can always close on it and sell it later using whatever exit strategy you see fit. Or you must renegotiate because if no one buys, maybe you have confidence in the deal but the numbers may simply not be right or your Buyers list may not be extensive enough.
Whatever the case, make sure to ask yourself this simple question of whether you would close on your own deal or not if you had the money. As a Buyer I would appreciate it and I guarantee you most Buyers will appreciate this as well. Respect and credibility will go a long way. When your Buyers ask, and they will from time to time, let them know the answer is a resounding yes!
Frank Iglesias is an active wholesaler, rehabber and landlord in the Atlanta metro area who enjoys creating win-win real estate transactions. Leveraging a mostly virtual staff, Frank has taken working with virtual assistants (VAs) to a high level where they do the majority of the work necessary to run his real estate investing business. As a result, Frank is able to do less while accomplishing more so he has the freedom to spend more time with friends and family and teach others to do the same. Frank is also the leader of the Atlanta Wholesalers Group.
