Posted on: December 07, 2020
WIP 574 | Control Every Deal

 

Here’s something many wholesalers experience at one point or another—they find a great deal and lose control of it somewhere along the way. If it’s any consolation, even the best in the wholesaling space has experienced something like this at one point.

 

In fact, Virtual Investing Mastery’s coach, Lauren Hardy is no stranger to this. Fortunately, her years of experience has taught her how to avoid similar scenarios from happening. And that’s what you’ll learn how to do as well in this episode!

 

If you want to equip yourself with the right strategies so you stay on top of each of your deals, this episode is for you!

Wholesaling Quick Tip – 5 Ways To Control Every Deal

Episode Transcription

I got inspired because I had a student who had a deal that she was losing control over. Let’s call her Sandra. She had a deal. It was awesome. She got a contract on a property that was 50% of its value. It was a smoking deal. When she was ready to start advertising it to other investors, she found an investor fairly quickly, but it wasn’t until the investor signed the assignment agreement that things spun out of control.

It inspired me to create a video about the controls that I put in place so that way she won’t have to deal with these things again. If you are proactive about these rules and controls, your deals will run a lot smoother. Take it from me and take these five tips when you were putting together off-market deals and when you’re specifically selling to other investors.

Number one, I want you to make sure that you take control over this. I want you to market this property that you have under contract to as many buyers as possible. You are going to create a bidding war. Do not be a cash buyers’ employee. You also don’t want to stop marketing this property until you have a signed assignment agreement and an earnest money deposit from your end buyer. When you get those, you can stop marketing it, but until then, you need to keep marketing this property because you don’t know if that end buyer is going to perform until they place an EMD, and even anything could happen. You want to make sure that you have your basis covered. EMDs are mandatory, and they are non-refundable. A mandatory amount for me is $500, but they could also be more if the property is worth more. Do not let any end buyer negotiate this out of you. EMDs are mandatory.

WIP 574 | Control Every Deal

Control Every Deal: Keep the escrow within the escrow company that you are comfortable working with.

 

Number three, your end buyer has 24 hours to sign the assignment agreement. Your assignment agreement has to be dated, and it needs to have that exact statement. You do not want an end buyer to hold on to your assignment agreement and take their time, eating up time in your escrow for them to sign it. When you deliver it, it has a date and that statement that they need to sign within 24 hours, or the agreement is null and void.

Number four, you choose the escrow company. You should already have a preferred escrow company that you work with. If you are having trouble finding one, you need to ask around, ask other wholesalers in the area, maybe go on the Wholesaling Inc. Facebook page to see if there’s anybody that has a recommendation there.

Don’t stop marketing the property until you have a signed assignment agreement and an earnest money deposit from your end buyer.

You need to make sure that you keep your transaction in your favorite escrow company. Sometimes, I will waiver on this. If the escrow company is very knowledgeable about contract assignments, they’ve handled them before. For the most part, anytime something goes wrong in escrow, it’s because we didn’t use my escrow company. I really try to urge you guys to keep the escrow within the escrow company that you are comfortable working with.

Number five, do not lose control. You are in control of this transaction. Do not let anybody push you around, especially an end buyer. It might be tempting to take their advice or do what they say, but you’re the one who has the contract and you are not desperate. You have the deal. Do not lose control and stick to these rules. I hope you found that helpful. I know it was short. If you guys want to receive more tips on wholesaling homes, specifically virtual wholesaling, which is my specialty, check out my coaching program at www.VirtualInvestingMastery.com.

Important Links:

Lauren Hardy

Lauren Hardy is a Virtual Investing expert and Real Estate influencer who owns multiple companies in the real estate industry including real estate investment, coaching, and software companies. She is also a Wholesaling Inc coach and co-host of the Wholesaling Inc Podcast.

Her experience in the last decade has been focused on real estate investing and creating products and services to serve the real estate investing community. If you are interested in investing in real estate virtually, house flipping, or virtual landlording, Lauren’s your girl.

 

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