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Hot markets can be fabulous for investors—buy and hold owners, for instance, can score a sweet deal selling. But wholesalers may struggle to compete against the tide of eager buyers. Worried? Don’t be. Virtual wholesaling may be for you if you’re you seeing these trends occurring in your market:
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- Response rates lowering on your direct mail campaigns
- Sellers are not as motivated as they were a year ago
- Sellers stating they are receiving too many marketing pieces.
These trends indicate a seller’s market—which means your deal flow and ROI may decrease and your marketing budget may increase. Our solution: Virtual wholesaling.
Related: 7 Tasks Wholesalers Can Easily Outsource to Virtual Assistants
What Is Virtual Wholesaling?
Virtual wholesaling is similar to traditional wholesaling—except in a different market. (Note that beginners may be ill-suited for this strategy.) Facilitating a transaction involves manipulating many moving pieces. To succeed, you need excellent conversational skills, great networking abilities, and an organizational mindset.
My Virtual Wholesaling Experience
I speak from experience: While I live in Phoenix, I currently working another market—my hometown of Chicago. As I am writing this article, I have one property set to close today in Phoenix, one set to close in Chicago, and two more in Chicago under contract.
So how did this come about?
It occurred literally by accident. About a year ago, I began posting some of my Phoenix success stories and testimonials on Facebook. A lot of my Facebook friends live in Chicago, and they asked if I could buy their houses. At the time, I was focused exclusively on the Phoenix market.
When a close friend of the family wanted out of an inherited house, I worked on the project as a courtesy. I was timid at first. This was a close family friend, and business and family normally don’t mix. I had never wholesaled virtually, so I had no connections with title agents or attorneys, and I didn’t want to over-promise and under-deliver. She sent me pictures and had confidence in me, so I got to work.