Real estate wholesaling is a doorway to many financial and career opportunities. But despite many people being drawn to starting a business in this sector, one question always comes to mind: what is its difficulty level? Virtual master coach Lauren Hardy aims to answer this by diving deep into the complexities involved in the entire wholesaling process. She delves into its hardest parts and how to navigate through them, which can also be applied to entrepreneurship in general. Lauren also explains the various personalities an entrepreneur usually has, from the complete goal-driven to the extreme introvert.
WIP 709: Reality Check – Why Most People Won’t Make It In Real Estate Wholesaling
Virtual master coach Lauren Hardy was once asked, “How easy is wholesaling?” She knew then that more people should be aware of the difficulty level of wholesaling and what characteristics are needed to be successful in it.
In this episode, I’m doing a little solo. I wanted to talk about how easy wholesaling is. Someone was asking me, “How easy is wholesaling?” You are going to see that my answer might surprise you. We’re going to talk about a lot of things. We’re going to talk about my opinion of, is wholesaling easy? I’m going to share with you how I came to that conclusion. I also want to get into the types of personalities that I’ve noticed tend to find wholesaling easy so you can see if this resonates with you if you feel like you’re that type of person. I’m also going to go into what are the hardest parts. This isn’t just the hardest parts for me. This is across the board, what I hear are the hardest parts from the students that I coach. Why should you know this? Before you go and you buy into a coaching program, it’s worth reading this entire episode. You might want to know what I have to say about this topic and see if wholesaling is for you.
I can probably save you a lot of time and money. I feel like I do have a lot of experience in this because I’ve coached over 250 students at this point. At this point, I feel like I can pinpoint with almost 100% precision what type of student is going to do well with wholesaling and enjoy it versus maybe something that it’s not a personality fit. Let’s get to the million-dollar question. Do I think wholesaling is easy? Wholesaling is not easy but it works if you do the work. You are probably thinking, “What do you mean it’s not easy? I want it to be easy. I want it to be a get rich quick kind of thing.”
Wholesaling is not easy, but it works if you do the work.
Here’s the thing. There’s no such thing as get rich quick. If I promise something like that to you, I would be a scammer, honestly. If anybody is saying, “It’s easy and it’s get rich quick,” right there, write that person off as a scammer, especially if they’re trying to sell a coaching program. It’s not easy. Everything that is worth it will take some work. Work is hard sometimes. Sometimes it is hard to do the work. I promise you. In wholesaling, you are going to find that it’s going to challenge you. Being an entrepreneur is going to challenge you. When you are a wholesaler, you are an entrepreneur. I want you to think about that. This isn’t just like a new job. No. You are owning your own business. That is not easy but it works if you do the work. It is the absolute most rewarding work that you can do.
Over time, I’ve seen some people do well with wholesaling real estate. I’ve noticed that they almost seem like they’re cut from the same cloth. There are lots of similarities. We even read the same books. It’s funny. I’ll go into some of the personality types that have done pretty well with wholesaling and entrepreneurship in general. I’m sure a lot of you that are reading, you might have maybe a full-time job so the big question, too, is, “Am I ready to be an entrepreneur?” These ideas apply to being an entrepreneur in general. It’s not just wholesaling. The first thing is a self-starter. People that are self-starters don’t need to be motivated to do the tasks. They are self-motivated. I’ve noticed people with more self-motivation tend to be better entrepreneurs or they tend to weather the storms of entrepreneurship. When it gets hard, they’re able to get themselves up and do the tasks they need to do to push through it, also people that have excellent follow through with tasks that they set out to do or goals that they want to achieve.
How many of you have said like, “Diet starts Monday,” or you set out some crazy goal and you don’t do it? We’re all guilty. We’ve all done that. I’ve thrown some goals out that I didn’t plan on fulfilling but I’ve also set some goals out that I have fulfilled. If you are the type that you find that when you put your mind to something and you want something, nothing stops you and you have good follow through, entrepreneurship is for you. You probably will find wholesaling pretty easy. Next are the people that tend to have a no excuses type mentality. Somebody who is hard-headed and won’t be told no will do well in this industry. You need to commit to making this work. I say this a lot. If you can commit to making this work, no excuses, it will work. It might not always be easy but it will work. People that give up too easily tend to struggle with any type of entrepreneurial hustle, whether it’s wholesaling or anything.
The next is people who can handle sales and talking on the phone. This can go two ways. If you are an extreme introvert and you hate sales work, the acquisition side and the lead generation side of wholesaling real estate is going to be hard for you. However, that does not mean that this business is not for you. It means that you need to be strategic about it. You either may need to commit to doing it for a little while until you can scale enough and hire someone to do the acquisition work for you, which is what I’ve done. You could get into disposition real estate and disposition wholesaling where you’re a JV partner and your focus is building a huge buyer’s list. You work with other wholesalers that maybe don’t have as big of a buyer’s list and you help move their contracts and you make a fee.
In our business, we talk a lot about that. We call it maybe a JV partner or co-wholesaling. You might hear the term co-wholesaling or disposition partner. That’s another type of wholesaling strategy that you can completely focus on. It does take away the sales side of it. If you are more introverted and you don’t like sales, maybe look into that but if you are like, “I love sales. I love talking to people. I have no problem cold calling,” then you’re probably going to thrive. You’re going to do well and be happy with it. Let’s talk about some of the hardest parts of the business. This isn’t just my opinion. I hear a lot from people that this is the stuff that gets to them a little bit. The first one is the business always changes. You won’t get bored, but the business always changes.
There is no such thing as getting rich quickly. Those are usually scams.
For me, a big topic of my focus is going virtual. Often, this has happened to me several times, I’ll be in a territory and I’ll notice that it starts getting competitive so I have to pick up and move. I have to find another territory where it’s not as competitive. I’ve got those virtual skills, so I’m an expert at this point. I am able to do that easily for me but it is hard for some people. Some people are like, “I can’t just pick up and start wholesaling somewhere else. How do you do that?” There are other things. Marketing methods change. You might get used to say mass texting is your favorite thing. Mass texting is how you get leads. We’re hearing that our text messages are getting blocked by carriers and there are some new TCPA laws that are trying to get passed. You need to be able to course correct and go, “I’m moving onto direct mail and TV ads.” The business does change and you need to be able to motivate yourself to figure out what you’re going to do next. You need to be okay with change.
Another hard part that people struggle with is making offers to sellers. The reason is because it’s an uncomfortable conversation. Typically, you’re talking to a seller. I’ve heard this funny saying they say, “If you’re not embarrassed by the offer, you are making your offering too high.” I hate to say it but it rings true. You do need to feel almost like a little embarrassed by the number when you’re giving it to a seller. That’s hard for some people. It’s very uncomfortable for some people. If you are the type that is terrified of rejection, you might find that hard but what I found to overcome that because I personally hate rejection is you have to do it a lot. You have to do it so much. Take a week where all you do is make low offers and you keep hearing no over and over again. It will callous your mind. It will thicken up your skin and it won’t hurt so bad. Eventually, it won’t bother you at all. Those are some of the hard parts that I hear most often.
The next thing I want to lead into is a lot of people are reading this because they’ve been following Wholesaling Inc. or they’ve been on YouTube University for years and they’re thinking about getting into wholesaling. Before you get into any kind of coaching program with wholesaling in mind, I want you to look at you and see if you resonate with any of the ideas that I put on this show. There are ways to get better. If you’re into self-development, you can fix these things. For example, if you’re the type of person that maybe goes career to career and you’re constantly reinventing yourself, you get to a point in your career where you’re starting to figure it out. By then, it’s too hard, you’re over it and you jump ship to something else who is going to say that you’re not going to do that with wholesaling.
If you’re not embarrassed by an offer, you are making your offering too high.
I have a solution for you. It’s this book called The Dip. What I found is usually that type of person jumped ship from any career that they’re trying to master as soon as they are in the dip. If you read the book The Dip by Seth Godin, you’ll know exactly what I’m talking about, essentially as soon as the business gets hard and you’re in a stage of the business where it almost seems impossible. You jump ship. That’s what a lot of people do. If you stuck through that hard time, you’ll see that you come out of the dip and there’s way less competition and you’ve made it. You’ll be very happy that you stuck through it. If you do see that you hop from thing to thing, try reading that book. It changed my mindset and it will help you a lot.
Getting through the dip can be challenging for a lot of people but I did hear from one of my students that I said one thing that resonated with them. Honestly, when I was saying it, I didn’t think that this would be a quotable thing. I said, “You need to commit to making this work.” What I meant by that is, “No excuses. No matter how hard it is, please promise me that you’re going to commit to making this work.” If you can write that down, commit to making this work and put that everywhere. Put that in your mirror in the morning. Put that everywhere in your house, so you have to look at it every day and hold yourself to that commitment. This business will work for you. You’re going to look back and you’re going to go, “That wasn’t easy.” It wasn’t easy, so it’s going to be so fulfilling for you when you do achieve your goals.
If wholesaling was easy, it wouldn’t be fulfilling. You wouldn’t have so many people on this show shouting from the rooftops how excited they are and how their lives have changed if it was easy. If it was easy, it wouldn’t be that interesting. They wouldn’t be so excited to share their story. Read the other episodes in this show and you will know the excitement. It’s because people are so proud when they make it through the dip, when they make it through the hard times, and when it’s not easy and they achieve their goals.
I don’t want to deter you by saying wholesaling is not easy. I want it to inspire you. If you can commit to making this work, it is so fulfilling. That’s it. I hope you loved this. If you want to learn more about wholesaling and you are into the idea of being able to go virtual so you’re not just tied down to your local territory but you’re able to expand when you’re ready, I’ve got an awesome coaching program. Check out VirtualInvestingMastery.com. Book a call. I would love to have you a part of my team. Thank you so much for reading. Until next time.
About 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.