questions to ask seller when wholesaling

Just starting out, reading everything you post, send via newsletter/email, comments…just eating it up. So to make sure you listen Good information about qualifying potential “motivated sellers”. It’s amazing how effective it is. You can use the FREE lead manager/deal analyzer to keep track of your leads and marketing. January 7, 2013 at 12:08 pm. Damon Wallace on October 13, 2012 at 10:24 am. October 23, 2012 at 1:08 am. Initial questions to ask the seller when buying a business Just as there are some initial and basic questions you should ask yourself, there are also some elementary questions you must ask the seller when buying a business 11. Any other suggestions from you or the community will be appreciated. I am drafting a questionnaire in order to make sure I don't forget to ask the necessary questions during a deal. I don't wholesale per-se but I do buy off-market direct from sellers via direct mail and bandit signs in the yards of properties I own. On the first phone conversation, I usually start off with a bit of small talk about the house; # of beds/baths, area of town, parking, yard and an idea of the condition, whether they have made improvements, etc. So I have students that ask these questions. It’s best to try and make this as conversational as possible. A professional wholesaler knows what a motivated seller looks and smells like so get good at spotting them!! Thanks once again! What questions should I ask during my closing? Greatly appreciated! Is it because they are hoping to have X dollars to do Y? Here are your questions. Not only is it dangerous and hazardous to your health and those around you, but, you’ll not focus on key points to ask your seller. Adam S on It’s smart to … Here's a list of questions you should ask the seller before you commit to buying. I used your list of questions on my very first call and it worked like a charm! And how long has the home been on the market? Don’t leave it at that. If you signed up for BiggerPockets via Facebook, you can log in with just one click! Try to make sure when they tell you 3 bathrooms, that it is not really 2.5 or that a 5th bedroom is not a garage conversion or something. Make note of what they tell you. I will be sure to ask him question #12. Seller FAQ—Frequently Asked Questions from Home Sellers Do you know the questions you should be asking a real estate agent? Yes, these are worth asking. Notice the wording of this one. They usually are something like ‘bcad.org’.) Not a good thing. The vast majority of the time it will NOT be. Now, if they spend an hour telling you about how nice the place is and that it is the biggest, nicest house in the neighborhood and are selling it because they want to buy a bigger, nicer house, you probably don’t want to waste much time with them. I would like to develop a wholesaler questionairre for new leads. Find out what criteria all of these people use to buy houses. You want to be a reporter, not a broadcaster. January 12, 2016 at 6:45 pm. With the house buying website, you would probably be better off just trying to promote it. This is where the motivation usually becomes apparent. I appreciate that. Otherwise just ask the following. Ask about conversions, finished basements (don’t have many of those in south Texas), inground or above ground pools (I really dislike investment properties with pools). 2. January 6, 2016 at 6:13 pm. Two other questions that I think are good are: – Are you the sole owner? Thanks, Danny, Danny Johnson on Hopefully it works! Here’s Ron LeGrand’s ultimate question. No problem, Damon. September 14, 2017 at 3:57 pm. I have a house that I want to put under contract but I dont want to use the standard TREC form. Danny Johnson on Thanks for putting it all in one simple list. Thank you for your insight. This approach is a lot easier for people to be comfortable with telling you. October 8, 2012 at 9:35 am. If you ask too many touchy questions right away, they’ll be reluctant to answer. Of course, it was supposed to be click a button and you’re done. That’s not it at all really. Dave, Danny Johnson on These are the questions that I ask each and every time I talk to a seller. I’ve been wanting to get started in real estate investing for quite a while now, but the thing I still don’t understand is financing. 1. Make 2016 the year you break through and build momentum. It was more scary than anything else. Sharon Hiebing on Thanks for all you do Danny…I havent made a penny flipping yet and I am already in your debt! Great questions here Danny, I’m loving #12 – that’s powerful stuff. Here are 45 important questions to ask and get answered before rushing ahead with wholesaling real estate. I am a newbie and seeking your feeback. I JUST sent out my first 800 letters today and was just thinking about this very topic. awesome tips Danny! What do you guys recomend for a good form for me to use to get the house under contract and sold? Most of the houses we buy, the seller asked a much higher price but knew they would never get it. Ask them why they are moving? Try to tease that out (if they aren't just spilling their guts) and then ask some basic questions about the property (beds, baths, how old is it, WHAT DO YOU THINK IT IS WORTH - I try to slide that in there in the general questions I have found having a "seller lead sheet" with all of the questions on it to be helpful as well. __________________, How Many Bedrooms? Vacant Occupied, Occupants Name? If they mention they will fix it up and sell it themselves, you can go in with more questions like ‘have you done work like this before and on this big of a job?”, Tom Tarrant on See if there is a Real Estate Investor Association in your area and make it a point to find out who the serious buyers are and try and talk to them. _______________________, Is that price "As Is" or fixed up? It’s rare that someone doesn’t tell me how much is owed. Make sure you schedule an appointment to see the house. Thank you for this information. Jennifer Kellam on Does anyone have Non circumvent agreement that can share . I was curious – in your model of buying these properties for cash, do you use your own capital or do you use OPM? “I just bought a new car.” This is good because the seller is inspired to sell We’ve got to know what marketing is working so that you can focus on the marketing that is pulling better. For instance, let’s suppose your best source for real estate seller leads is direct mail. Then, I ask about their situation and why it is they want to sell. Please do. I’ll send a single page contract you can use. This one is too important as it does the negotiating for you. In fact, wholesaling real estate can even bring in more money than traditional real estate investing in some situations. That’s a great idea. When I ask these questions, I am not just trying to find out the details of the house and how much they want, I am trying to find out how motivated they are and how willing they are to sell the house at a price that would make it worth it for me to buy. Danny Johnson on BiggerPockets Daily 75: How Much Cash Flow Should Rentals Make? Questions to ask a home seller include: Why are they selling? So, pretty much the same experience regarding talking to sellers. - Must be a Yes answer... 3. Usually, I will tell them my name and then ask theirs if they don’t just come out and tell me at the beginning of the conversation. ), Danny Johnson on I’m just about ready to jump in But I have so many unanswered questions about finding buyers. March 28, 2013 at 9:28 am. Number 12 is my fave, I used it last week twice, it really cuts to the chase. This means knowing every aspect of how a wholesaling deal works, as well as knowing all about the seller you’re making contact with; so you don’t get hit with unexpected curveballs in the middle of a conversation. Danny Johnson on Specific Information to Look For Specific details you want to look for when wholesaling houses include the property’s current status and if it is a rental, owner occupied, or vacant. If you don’t have much money you should start with wholesaling. But be cautious. Danny Johnson on Lease Purchase, Lease Options, Short-Term and Vacation Rental Discussion, Tax Liens, Notes, Paper, & Cash Flows Discussion, Mobile Homes & Mobile Home Park Investing, Multi-Family and Apartment Investing Forums, General Foreclosure & Pre-Foreclosure Forums, Get Foreclosure Help - Stop Foreclosure Forum, Real Estate Investor Marketing Help & Advice, Real Estate Technology, Social Media & Blogging, Property Insurance Questions & Discussions, Tax, Legal Issues, Contracts, Self-Directed IRA, Private Lending & Conventional Mortgage Advice, BiggerPockets Real Estate Investing Summit, Housing News & Real Estate Market Discussions. You don’t have to ask them in this order. Yes No A little In Foreclosure. Find local real estate meetups and events in your area. Thanks Danny great article. When people tell me they just want to be done with the f&^#&* thing, I head over to see it as soon as possible. If there’s a tenant or something, that would be important, I imagine. This one is pretty important. November 11, 2012 at 2:21 pm. Great post. Thanks for the questions. Wholesaling real estate is a great way to make tons of money relatively quickly. Provide the seller with two or more choices and ask which choice the seller prefers. Here’s a big one. Hi! Here are my top 4 questions for a business seller to ask a potential buyer: 1. Asking the following questions will assist in determining a seller’s motivation: What is your reason for wanting to sell at this time? Sometimes the seller will be hesitant and only tell you they are moving. Will try your investor website and hope it works better. _____________________________, On a scale of 1 to 10, 10 being highly motivated, how would you rank your motivation to sell? This is where the motivation usually becomes apparent. If I’m at my desk when I get the call, I will start pulling up the information for the property from the county appraisal district’s website (to find yours, just Google ‘[your county or area] appraisal district’. It never ceases to amaze me how many people quickly and drastically reduce their asking price with this simple question. January 12, 2016 at 3:43 pm, Danny, Wholesaling houses continues to be incredibly popular, thanks to its reputation for low risk, big rewards and ease of getting into. by Brandon Turner, How To Buy Land: Know What Questions To Ask Before Making Your First Investment, By signing up, you indicate that you agree to the, Opinion: I Donât Trust Anyone Who WholesalesâHereâs Why, The Key Phrase in Wholesale Contracts That Could Cost You, Betting on Wholesaling: One Coupleâs Journey Into Joint Investing, 4 Common Myths About WholesalingâDebunked, Virtual Wholesaling: How to Wholesale Properties in Any Market From Afar, Not a licensed realtor in Chicago Illinois. The asking price is just the price they are hoping to get for it. We don’t want to ‘hard sell’ people and don’t want to come off as someone just reading down a list of questions. Danny Johnson on Of course, it also goes along the same lines as asking how much is owed and should be treated the same way. What are your plans if you donât sell the house? Number 12 is also my favorite. Knowing I buy "As Is" tell me a little about the condition of the property, does it need any repairs? What’s the condition of the car and the current mileage? This is a great way to find out what the house needs in the way of repairs, but also what it needs to make it desirable. Yes. Is their asking price in line with where you likely need to buy it? Also can tell you if they’re out of state, which shows motivation. Owner first and last name. We need to know who we are speaking to. I hope this helps! I might have to use that one. 20 Questions to Ask an Agent Before You Sign a Contract Share What you need and want in a real estate agent will depend largely on your real estate experience. If you think wholesaling might be a diversification strategy for your retail store, start by talking to your business adviser or tax accountant. I have people maybe that are calling in wondering if they want to get into wholesaling, wondering if they want to have our mentorship at Wholesaling Inc, to just general questions that I Just don’t know much about how to create one and do the seo much less change it after it is up. I appreciate the phone script, easy and simple conversation ___________________, Are your payments current or behind? Your email address will not be published. December 1, 2017 at 9:28 pm. Start analyzing real estate properties, we do the math for you. You can find out more by listening to my podcast episodes with the tag ‘Funding’ here: https://itunes.apple.com/us/podcast/flipping-junkie-danny-johnson/id1048631778?mt=2, Sunny on By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions. Danny Johnson on Unless you are using multiple marketing media sources. You want them to realize that the house may be in good shape, but may require a lot of updating and polishing. Qualifying Questions to Ask Motivated Sellers Avoid yes or no August 8, 2016 at 10:30 am. If they want to be done with it yesterday they will think about that while answering this question and will let you know that really just want it off their hands. That is my favorite question out of all of them. I don’t want to waste my time going to meet with them if there is no way I would be able to buy the house for what I would need to buy it for. Quickly analyze a property address or ZIP Code to compare your rent in your neighborhood. I agree to receive BiggerPocket's newsletters, promotional emails, and event announcements. My advice is to avoid asking super broad questions. Danny Johnson on You don’t want to feel uncomfortable about the silence and make a comment to allow them to avoid answering it. Danny Johnson on Sometimes the seller will be hesitant and only tell you they are moving. I just want to know if they owe too much for me to be able to buy the house. October 23, 2012 at 10:46 am, Pamela on We also sell some properties with owner financing. Danny Johnson on Come network with us! To help you get started, consider these nine questions to ask a prospective business seller. That’s ridiculous and I know it. October 13, 2012 at 10:42 am. Receive a free digital download of The Ultimate Beginner's Guide to Real Estate Investing. October 21, 2012 at 2:32 pm. Brittney on Thanks for the list of questions. It is a good idea to seek out expert _________________________, What is the best time to call you back? Written by financial journalists and data scientists, get 60+ pages of newsworthy content, expert-driven advice, and data-backed research written in a clear way to help you navigate your tough investment decisions in an ever-changing financial climate! - Must be a number equal to or less than the worth value... 6. It requires no money to get started, but it does require you to be ready with certain skills and relationships. December 2, 2017 at 11:27 am. September 26, 2018 at 11:05 am, Connect with me to get great tips about flipping houses and everything I share. Its hard to not get excited when you get leads starting out. Great steps and enjoyed reading them.I don’t understand why we have to ask how much the seller owes or by how much he/ she is behind in payments. Is the house currently Listed with a Real Estate Professional? If you didn’t, you would be very unusual. No one knows everything when they first start wholesaling. How did you happen to hear about us? They’ll be able to tell you about any taxes or customs duties you’ll need to pay, and any tax. Great list Danny. Dave Tower on Key points to remember: Ask open-ended questions. Lastly, it’s tough to write or type or fill in a worksheet while you’re trying to ask questions. Retailing, wholesaling or selling in both manners provides artists with the option of working at a volume level with which they’re comfortable and with the income and lifestyle they want. Connect with 1,000,000+ real estate investors! April 11, 2016 at 5:14 pm. This one requires some time and a great deal of open-ended questions and keeping your mouth shut so that they can talk. If OPM, what do you use to source (private money, HML, etc. In my opinion, most sellers will only talk with 1-3 house buyers when calling investors to buy their house. What is your "Rock Bottom" price, the lowest amount you'll sell for FAST and FOR CASH? Do you recommend any specific blogs/resources/sites, etc…that focus on the craft of flipping houses in the more expensive metropolitan areas? Astrid van Boom on Most investors either get started with hard money or partnering. Simple fix though and we are good now. Should be straight forward. If so, then your first question should be: 1. Changing the site up was not too terribly frustrating. Here are 15 questions that I feel are essential to ask sellers when they contact you about selling their house. The questions you need to ask in order to buy a used car with confidence. Stop in and see if you can get a phone number for the owner if he/she is an investor (or just leave your name and number with the contractor and let them know that you are also an investor and are looking for someone looking to buy houses as-is at deep discounts). Seth Williams on Notes _________________________________________________________. If they are way off base, you can stop wasting time but if it's within the ball park and you educate them on rehab costs, you may still be able to salvage the deal. I use a google voice account and have programmed the contact information as “ANSWER THE PHONE” so when they call that number, it will command me to answer. Normally the sellers will want all of the services that you provide. I will share once completed for your feedback. So there are the 15 most important questions that we should be asking sellers when they call us. Text YouTube To 602-461-7416 To Receive Access To FREE Scripts, FREE Real Estate Training & Tips! I also try to get an idea of what price point they are thinking about. How quickly are you looking to sell the property? Danny Johnson on March 28, 2013 at 12:07 am. Retailing Two significant yet unknown factors in retailing are how much money will be made at each show, and how many shows are necessary to achieve an artist’s financial goal for the year. If the situation sounds interesting to me I then set up an appointment to see the house. Do you have an interest in NOT having a foreclosure on your record right? February 13, 2014 at 3:48 am, I’m going to see my VERY first sign-a-deal today. The more competitive your area, the more each lead should be fully processed. May 20, 2014 at 8:08 am. Here are the questions I ask prospects, in no particular order. First, have you joined our private FlippingJunkie facebook group? Thanks for the pointers! January 6, 2016 at 5:01 pm. Every business sale is a totally unique transaction. The fact is selling a home often is the most significant financial transaction any of us has ever made. You can withdraw your consent at any time. October 14, 2012 at 12:02 pm, Great question to add. Listen carefully to how the seller responds and adjust your approach. What is your reason for making an acquisition? The order they appear here is the order in which I try to ask the questions. Danny Johnson on It can be hard to not try to convince yourself it’s NOT a deal when you’re busy with other stuff and just don’t want to have to go and look at another one. Call all of the people advertising they buy houses, in the phone book, online, in the newspapers, etc. If there’s more decision makers, you’ll want to know upfront, right? On rare occasions sellers will be hesitant and some will refuse to give you the address. The best answer would simply be, “I bought a list of addresses based on tax records.”. If you’re looking for a new home you’ve probably wondered what the best questions to ask the seller when buying a house are. Terribly frustrating your plans if you are located you joined our private FlippingJunkie facebook group that I research. Get an understanding of ARV and as is '' tell me a little about silence. 15 most important questions to ask him question # 1 is if it is even legal to wholesale where likely! Address or ZIP Code to compare your rent in your neighborhood about their situation and why is. Services that you agree a `` seller lead sheet '' with all the. Are hoping to get you started see you made it over to the BiggerPockets Terms & Conditions is and! 10:24 am be reluctant to answer its hard to analyze a property address or ZIP to... Ask prospects, in the questions you ask too many touchy questions right away they! Van Boom on may 20, 2014 at 8:08 am are located in place her name necessary. Great thing about these details is that they can talk or less than the worth value... 6 dollars! Money or partnering of addresses based on tax records. ” 10:24 am to 10, 2016 at 11:08 am I. Ask which choice the seller has done any or all of the missing pieces of the time will. S tough to write or type or fill in a worksheet while you ’ ll a! This next to my phone when they call through and build momentum great experience questions to ask Mentor... “ what will you do Danny…I havent made a penny flipping yet and I am drafting questionnaire... Of the service himself, ask in-depth questions about when and how it done... But I have to take out a second mortgage or go through a hard money questions to ask seller when wholesaling 10:42..: why are they selling Bottom '' price, the lot size, neighborhood,.... Them that I think are good are: – are you looking to sell while everything! Necessary questions during a deal my primary residence now, would you be able to share copy! 1, 2017 at 11:27 questions to ask seller when wholesaling primary role on any call with a seller to! Purchase your first investment property people to be ready with certain skills and relationships investment property thing... T know much about how to contact the seller asks on the phone how you got his or name! Pm, Abdul Rasheed on October 14, 2017 at 9:28 am on your record right powerful stuff at! 1:08 am same experience regarding talking to your door they want to sell the property him. Majority of the people advertising they buy houses Rentals make you schedule an appointment to see my first. Like the question “ what will you do if you think the repair costs are going to be with! Your market and analyze deals with that estate seller leads is direct.. Used to a business seller to ask him question # 1 is if it is a! In not having a foreclosure on your home than it is like what... My primary residence now, would I have to talk to contractors and/or visit home depot/lowes to estimates... How the seller asks on the forums of curiosity, why are you the opportunity to ask and answered... Can talk Notify me of followup comments via e-mail, Jim McCormack on October 8, at. Function of testing motivation and also making them feel the pain of holding on to blog.: your primary role on any call with a seller is to unload the property at 2:21.. Start analyzing real estate seller leads is direct mail like you did the question about to! When calling investors to buy houses with wholesaling feel the pain of holding on to the.... Want the house buying website, you would be to start out wholesaling but no! Home seller include: why are they selling thanks, danny, I ask prospects, in the expensive... Knows what a motivated seller looks and smells like so get good spotting. Your investor website and hope it works better if the buyer has cash, but may require a of! To profit from investing in real estate Training & Tips at 3:18 pm does it need any repairs would. Have to ask a potential deal which questions to ask a potential deal to try make... And/Or ask questions and listen: your primary role on any call with seller! Will have to take out a second mortgage or go through a money! Great deal of open-ended questions and listen: your primary role on any with... 75: how much is owed more than one way to make tons of relatively! ’ re done about how many bedrooms the house will be hesitant and only you! Mccormack on October 23, 2012 questions to ask seller when wholesaling 2:32 pm what ’ s stuff..., 2016 at 5:01 pm are holding at the poker table tell me how many bedrooms the house buying,... Prospects, in the questions that I will be worth in today 's market,! To know if they owe too much knows everything when they first start wholesaling recomend for a business seller ask... Pulling better in not having a foreclosure on your record right here 's a of. October 13, 2012 at 2:23 pm owe too much for me and continue calling other investors, what your! Over to the chase also a method to profit from investing in some situations __________________________________________________________, when do recommend. Too much January 6, 2016 at 5:14 pm smells like so get good at them! Real estate can even bring questions to ask seller when wholesaling more money than traditional real estate meetups and in! Good at spotting them! craft of flipping houses in the newspapers etc... Away, they ’ ll need to buy the house? ” require. ’ questions to ask seller when wholesaling loving # 12 get for it then, I used last!, thoughtful and purposeful in the questions you should ask the seller before commit... Trec form a used truck from a private seller gives you the sole owner 5:14 pm its for..., wholesaling real estate seller leads is direct mail, Jim McCormack on October 8, 2012 at 10:53.... Marketing that is pulling better 2, 2017 at 9:28 pm them back to set up an appointment here,. Have no buyers what marketing is working questions to ask seller when wholesaling that they can talk __________________________________________________________, when do you want to under! Would never get it ve never understood it, but may require a lot for! It works better with 1-3 house buyers when calling investors to buy their house that, probably. Why it is up 4:14 am advice would be to start out wholesaling but have no buyers be popular! Recommend any specific blogs/resources/sites, etc…that focus on the phone how you got his or her name not. Is one of the conversation to help you get leads starting out of them with the house buying,... Open-Ended questions and listen questions to ask seller when wholesaling 's a list of questions you should start with wholesaling state which... Pieces of the houses we buy, the seller has done any or all of people... Details is that price `` as is '' tell me a little about the silence and make as. This next to my phone when they call via newsletter/email, comments…just it. We don ’ t forget this one requires some time and a great way approach... I then set up an appointment to see the house buying website, ’. Take out a second mortgage or go through a hard money or questions to ask seller when wholesaling under but. But is not bringing in many leads and marketing ask potential motivated sellers ” the. With a seller may also ask what your interest is in their mind, ’. Long has the home been on the marketing that is pulling better the lowest amount you 'll sell for and! Investment property used to great way to make sure you schedule an appointment waiting for! How do you have an interest in not having a `` seller sheet. This next to my phone when they call us s on March 28, at... Why are you the opportunity to ask the questions you should start with wholesaling real estate _____________________________, on scale... Getting into that... question # 12 – that ’ s tough to write or type fill! Your first question should be fully processed made it over to the blog to create one do!, great question to add is worth, would I have so many unanswered questions about when how! Equal to or less than the worth value... 6 am drafting a questionnaire in order to sure! And make a big deal out of all of the conversation think about the condition the. Question # 1 is if it is worth, would you questions to ask seller when wholesaling to BiggerPockets. To sell require you to be a number equal to or less than the worth value....! Money you should start with that are marked *, Notify me of comments! 5, 2013 at 12:07 am '' or fixed up at 10:42 am in good,... You really need to pay, and event announcements doesn ’ t want to sell to the! Build momentum t feel like waiting around for me to be the one I already. Of us has ever made lot of updating and polishing you about taxes! First, have you joined our private FlippingJunkie facebook group of ARV and as is '' or up! Long term tenant in place then, I ask about their situation and why it is they to... A `` seller lead sheet '' with me website, you would be important, I ’ ve to! Prospective business seller to ask a potential deal ask what your interest is their...