What real estate wholesaling goals are appropriate for those investors that are just setting out on their entrepreneurial journey? Is it a good idea to shoot for the stars? Better yet, how can you set some realistic expectations for your first two months? Remember, creating business goals isn’t going to be easy, but it can make a huge difference.
Only one thing is for certain: each of these questions can’t be answered with a simple yes or no. In fact, the answers will vary from investor to investor, as no two investors’ real estate wholesaling goals are exactly alike. What works for someone in California could be rendered moot by someone in the next state over. However, there are a few universal goals every investor should set; goals that will make the first two months of real estate wholesaling seem manageable. What more could you ask for?
First, let me commend you for taking the initial step of wholesaling: developing the right mindset and moving forward. Real estate is a complicated industry riddled with confusing verbiage and complex strategies, but I digress. Real estate is only as complicated as you make it. It’s entirely possible to break down real estate wholesaling into manageable steps. Having said that, there are goals each investor should set for their first few months in the industry. They are as follows.
The first month of real estate wholesaling really has more to do with preparation than anything else. That said, those looking to land their first wholesale deal should mind due diligence and pay special consideration to the following goals within the first month of initiating a wholesaling campaign:
1. Conduct An In-Depth Market Analysis
By the end of the first month, investors should strive to learn as much as they can about the particular market they intend to deal in. In order to do so, however, aspiring wholesalers will need identify said market first. The market you intend to work in may not be as obvious as you initially thought. Your first task as a wholesaler should be to identify at least three neighborhoods in which you may conduct business. Take note of what you hope to achieve, and find out for yourself which neighborhood offers the path of least resistance.
2. Start Building A Buyers List
If you haven’t started already, compile a list of potential buyers that would be interested in any deals you come across. Otherwise known as a buyers list, the contacts you manage to accumulate should represent a contingent of people you would feel perfectly comfortable calling in the event you land a deal. It’s worth noting, however, that the list doesn’t need to be exhaustive, nor does it need to eclipse 100 names in the first month of its existence. Instead, I recommend starting off slow; there is nothing wrong with gathering five to 10 prospective buyers, so long as they are quality leads and contribute to your goals. In fact, I highly recommend focusing on quality over quantity in your first month of real estate wholesaling.
3. Get Your Logistics In Order
It’s imperative for anyone looking to succeed in real estate wholesaling to treat it as a business. And while it’s entirely possible to succeed in wholesaling when you view it as a hobby, the benefits increase exponentially the more time you invest. That said, if you intend to make a career out of real estate wholesaling, you must treat it like the business it deserves to be treated as.
Not unlike any other business, real estate wholesaling has become synonymous with its own compliment of logistics. You can’t expect to run a business without the proper logistics in your corner, can you? Not surprisingly, you will need a way for potential customers to contact you. Within the first month, I highly recommend establishing a committed telephone line (separate of your personal line) and drafting your first set of business cards. That way you will increase your odds of landing the deals that come your way. Remember, you can’t land a deal if nobody can get a hold of you. Mind due diligence and make logistics a priority in your first month of operations.
I want to make it abundantly clear: The first month should focus on learning your market, establishing logistics and lining up potential buyers. Notice how I neglected to include finding deals? There is a good reason: real estate wholesaling will be a lot easier with all the right pieces in place.
Without a buyers list, a means of getting a hold of you, or even simple market knowledge, it’s safe to assume real estate wholesaling is down right hard. However, with everything in order, you will find that success is a lot easier to come by. Only once you have laid the foundation can I recommend moving forward with setting goals in the second month. Provided you have done everything I outlined above, consider taking the following steps in month two.
1. Market, Market & Market Some More
The second month of any real estate wholesaling campaign should center around one thing and one thing only: marketing. Provided you took all the steps I mentioned in the first month, your funnel is ready to start receiving leads. I recommend initiating the following marketing strategies:
As with any real estate wholesaling marketing strategy, you must remain consistent. While you would ultimately love to hear responses from your first attempt, the chances of landing a hot lead improve over time. That said, it’s in your best interest to remain persistent. Don’t stop after you mail out one set of direct mail postcards or post a single wave of bandit signs.
Studies have shown that most of your first attempts will either be ignored or disregarded, but that shouldn’t discourage you. Even though your first attempts at marketing don’t result in a phone call, you are increasing brand exposure. Soon enough, prospective sellers will start to recognize your name, and by the third or fourth marketing attempt, it’s reasonable to assume they will reach out if they need your assistance.
The first two months of a real estate wholesaling campaign are pivotal in establishing momentum. Those who get off to a running start are more likely to realize long-term success. If that sounds like something you would like to experience, try setting a few goals for yourself. And for those of you that don’t know which goals are appropriate, feel free to borrow a few from my book.