Are you looking for a way into the real estate market without risking hundreds of thousands of dollars?
Forget what you've heard about needing deep pockets or perfect credit.
There's a smarter way to profit from real estate deals, and it starts with understanding how to sell real estate contracts.
What I'm talking about is called wholesaling.
How To Make Money Selling Real Estate Contracts?
And while it might sound complicated, it's actually quite straightforward once you understand how it works.
Instead of buying properties, you're finding great deals and connecting them with investors who are ready to buy.
Let me break this down for you.
As a wholesaler, you're essentially a deal finder. You locate properties being sold well below market value, get them under contract, and then assign that contract to another investor for a fee.
The best part is that you never actually buy the property yourself.
Now, you might be wondering why anyone would pay you for finding deals.
Well, there are thousands of real estate investors out there – house flippers, rental property investors, developers – who have plenty of money to invest but not enough time to find good deals.
They're happy to pay you for bringing them opportunities.
Let's talk real numbers.
Take a house worth $100,000 that needs work.
A rehabber (someone who fixes and flips houses) typically wants to pay no more than 75% of the retail value, minus repair costs.
So if the house needs $50,000 in repairs, they're looking to pay around $35,000 for it.
Your job is to get that property under contract for less than $35,000 – let's say $30,000 – and then sell your contract to the rehabber for $35,000.
That's a $5,000 profit without ever owning the property.
Scale that up to today's market, where the average house is worth $400,000, and you can see how the profits can multiply quickly.
But let me be straight with you—this isn't a get-rich-quick scheme.
Success in this business comes down to one critical skill: finding great deals, and that's where most people struggle.
So, how do you find these deals? You're looking for what we call “signs of distress”:
- Properties damaged by fire
- Vacant houses
- Properties behind on mortgage payments or taxes
- Houses owned by tired landlords
- Properties tied up in divorce
- Inherited properties where the heirs live out of state
These situations often create motivated sellers who care more about solving their property problem than getting top dollar.
The second key to success is building your buyer list.
This is actually easier than finding deals.
Start by joining your local Real Estate Investor Association (REIA).
These meetings are full of active investors looking for their next deal.
Build relationships with half a dozen solid buyers before you start hunting for properties.
That way, when you find a deal, you already know who's likely to buy it.
What makes wholesaling unique is that, unlike traditional real estate investing, you don't risk hundreds of thousands on property purchases.
You don't have to deal with contractors, repairs, or difficult tenants.
Your main job is connecting motivated sellers with eager buyers.
But I want to be completely transparent. This business does have its challenges.
You'll need to invest in marketing to find deals – whether that's direct mail, internet advertising, or both.
You'll need to learn to qualify leads quickly, separating the tire-kickers from truly motivated sellers.
The real beauty of this business is its simplicity.
Find a deal, get it under contract, find a buyer, assign the contract, and get paid.
Rinse and repeat.
Is it the right business for everyone? No.
But if you're willing to put in the work to find great deals, if you're good at building relationships, and if you want to get started in real estate without massive capital requirements, wholesaling might be exactly what you're looking for.
The opportunity is there.
The question is: are you ready to learn how to spot these deals and take action when you find them?
