The Benefits of Wholesaling Houses
Wholesaling houses has many benefits which, once discovered, could easily make this the preferred strategy of many real estate investors who currently find themselves struggling to realize their goals and dreams via other forms of real estate investing.
It is sad to see so many real estate investors making so many mistakes and working so hard, only to not see their dreams come to fruition simply because they have the wrong strategy or have been misled by the media.
Real estate investing can be highly profitable and rewarding in all of its forms, but some strategies are much more intensive and complicated than others and come with many more risks.
Unfortunately, many investors who have entered the business in the last seven years have been blinded by misconceptions found in reality TV shows causing them to abandon common sense and core investment principles, while others are feeling intense pressure from competition among buy and hold investors and too many have failed to get a decent education before leaping in with their wallets open.
So how do wholesaling benefits stack up against running rentals, rehabbing and flipping houses or even investing in mortgage notes?
Many confuse ‘flipping houses’ with wholesaling and fail to realize the massive differences between rehabbing and true wholesaling. Rehabbing has entrapped endless investors in recent months, forcing them to go broke in record time due to horrible acquisition choices and underestimating the complexities and risks of remodeling homes. Rehabbing means huge financial risks and speculation.
Acquiring and self-managing rental homes comes with many similar risks and more. Every day a property is held, it means risk of major loss. DIY property management is riddled with danger from physical risks to increasing chances of being the victim of malicious and unfounded lawsuits which can result in not only hefty fines, but even criminal prosecution and jail time. And you can forget the old “innocent until proven guilty” concept, the economy is bad and that puts pressure on everyone to bring money in, including the courts and law enforcement. Sandy was another major wake-up call of how the worst can happen despite the best laid plans, and none of this begins to touch on just how tough it is to keep positive cash flow coming in on a consistent basis.
Investing in mortgage notes has become very popular recently, precisely because it offers many of the wholesaling benefits other investors enjoy. The main problem facing note investors is a horrible lack of understanding exactly what they are getting into and acquiring. If you are going to do it, at least recognize what makes a good note investment and what is a complete waste of money. You’d be surprised at how many individuals are essentially flushing cash down the drain on worthless pieces of paper.
While the benefits of wholesaling real estate include virtually zero risk, maximum ROI and simplicity, the importance of investing in real estate education and perhaps even more importantly, an up to date and proven system cannot be ignored or underestimated.
Click the Join Now Button Below to Get Your 30 Day Risk Free Trial of Flip2Freedom Academy
Click the Join Now Button Below to Get Your 30 Day Risk Free Trial of Flip2Freedom Academy
