In the world of real estate investing, there are a lot of different strategies that Connecticut investors can use to make money. One such strategy is wholesaling.
What is real estate wholesaling?
Real estate wholesaling is a strategy whereby an investor purchases a property and then assigns or sells the contract to another buyer before closing on the property themselves. Wholesalers typically find properties that are in need of repair or otherwise represent a good deal. They then work to find a buyer who is willing to pay more than the wholesale price.
What are the benefits of wholesaling?
First, wholesalers don’t have to put up any of their own money when they find a property. They simply need to secure a buyer who is willing to purchase the property, and then, they can assign the contract to that buyer for a fee. This low barrier to entry makes wholesaling an attractive option for new investors.
Wholesaling can also be a great way to build up your buyer’s list. When you wholesale a property, you’re essentially making contacts with other investors who may be interested in purchasing future properties from you. These relationships can be immensely valuable down the line.
In addition, wholesaling can be profitable even if you don’t make any repairs to the property. If you’re able to find a buyer who’s willing to pay more than the wholesale price, then you can walk away with a tidy profit without having to put in any extra work yourself.
If you’re thinking about getting started in real estate investing, real estate wholesaling might be worth considering as your first strategy. This may make it a great option for people who don’t have a lot of experience in the real estate realm or a ton of up-front cash but who still want to get started with investing.