9 Advantages New Investors Have for Wholesaling Homes
Newer real estate investors shouldn’t be intimidated or discouraged by larger businesses and more established ones. In fact, being young, small and new has many incredible benefits when it comes to real estate investing, all of which should be exploited to their maximum capacity.
9 advantages new investors and young real estate start-ups have and should capitalize on:
1. Agility
Those new to wholesaling homes aren’t held down by the cumbersome structures which negatively affect larger and more established players and giant private equity firms. Newbies are better able to make adjustments to emerging trends and industry changes enabling them to constantly maximize profit and stay ahead.
2. Speed
More nimble, newer real estate investment businesses can make decisions faster and reallocate resources quicker to establish themselves as the dominating player in new niches ahead of bigger and better funded competitors with slow processes.
3. Not Suffering Tunnel Vision
Those who have been in the business of wholesaling homes for years suffer from tunnel vision and are often a victim of their own ‘expertise.’ They have their blinders on and are often out of touch with what really matters to consumers. Those fresh into the business share much more affinity and empathy with buyers and sellers and can better market to them.
4. Better Handle on Tech
Whether 20 something or 60 something, new investors have a much better handle on tech today than those who got started before email and cloud computing. This makes them much more open to adapting and using the latest tech which gives them a huge advantage.
5. Better Connected
This better handle on tech also means that those getting into wholesaling homes today often have much larger social networks and pools of contacts to hit up from the beginning. This doesn’t just mean their immediate email list or Facebook friends, but the ease of connecting to the second line of prospects behind that as well.
6. Not Tied to One Area
Being new means not being tied in to investing in real estate in just one area. This leaves investors free to seize any opportunities in emerging and rebounding markets and to diversify.
7. Not Limited by Issues Facing Big Corporations
Newer wholesalers often spend hours envying larger competitors, but the truth is that they are far more limited. Big companies are permanently in emergency defense mode, more worried about not making mistakes than actually making progress. They are afraid to write interesting blog posts and afraid of posting anything on social media platforms.
8. New Investors Can Afford to Take Risks
The above means that in contrast, newer investors can afford to take risks. Not financial risks or investment risks but they can afford to be more creative and aggressive in marketing and promotion.
9. Timing
New real estate investors are getting in on one of the best markets for wholesaling homes we’ve ever seen or will likely ever see, dramatically increasing their returns and chances of success.
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