This question is kind of like another question where people can’t seem to agree on the answer; “Which came first; the chicken or the egg”? Real estate investors all have a different opinion when they are asked whether you should find a deal first or start a buyer’s list and then find a deal.  For me, the answer has always been “the deal.” If you have a great deal, you can always find a buyer for it.

I had someone email me recently that said they had wanted to begin wholesaling houses for a couple of years, but he just couldn’t bring himself to buy that first investment property. He was afraid he wouldn’t be able to sell it. This man had spent a number of years learning the business, but had become paralyzed with fear over this prospect of putting a house under contract that he wouldn’t be able to sell.

If you are just getting started and you find yourself having the same problem, here are 4 tips for you.

1. Know What a Good Deal Looks Like

This is no doubt the hardest part when you are brand new. You almost always pay too much for your first couple of deals. Before you sign on the dotted line, run your potential deal by someone that is an experienced investor. Marginal deals are hard to sell.  If you have any doubt about the numbers or the area where the house is located, just walk away and find another deal. There’s always another one around the corner.

2. Know Where Investors Like to Buy

It won’t do you any good to get a house under contract at a great price if it is in an area where investors don’t like to buy.  Ask experienced rehabbers and landlords where they like to buy. Be sure to find out what types of properties they like, and the price range they prefer. In general, you will be pretty safe in bread and butter neighborhoods; the kinds of neighborhoods for first time homebuyers.  In my area there is a market for more expensive houses, but there are fewer investors in this group.  Buy houses that would work for either a rehab that would be sold to a retail buyer, or a home that would make a great rental and they will always be in demand.

3. Put an Escape Clause in Your Contract

This is vital especially when you are brand new.  Make the deal subject to inspection or partner approval. This is your safety net. It will make it easier for you make offers with confidence.

4. Begin Immediately to Build Your Buyer’s List

There is nothing like having a good buyer’s list to call or email when you have a property you want to sell quickly. It is truly a wholesaler’s secret weapon.  These folks will be loyal repeat buyers if you always have great deals for them, and if you conduct your business with them in an ethical manner 100% of the time.

Implementing these 4 tips will make it easier to make those first offers and get your first few houses under your belt.

Finding a Buyer for Your Deal

There are a number of ways you can quickly find a buyer for the property you have under contract even if you don’t have a buyer’s list.

You can take the deal to your local REIA group where you will find a group of people that are looking for their next house.  At my monthly meeting, we have a table set up for vendors and for folks that want to put out fliers about properties they have to sell. This is usually the first place people head after signing in.

You could list the house on Craigslist. I have sold several properties there, but I would rather much sell to someone at my REIA group; they are usually more experienced investors.  But even if they are brand new, they will almost always be educated to some degree if you find them at this meeting. Most investors are more than willing to help them if they can close the deal.

Concentrate on getting a great deal, and you can be sure you will find a buyer.

Author: Sharon Vornholt

Sharon’s Website: http://LouisvilleGalsRealEstateBlog.com

Here’s a sophisticated plate to serve while friends and family are watching the game at home, or for any gathering that calls for some creative gourmet cooking. The spicy grape chutney is a natural with roast beef.

Roast Beef Party Platter with Grape Chutney

Grape Chutney

Ingredients:

1/2 cup chopped red onion

1/2 cup tawny port

1/2 cup red wine vinegar

1/4 cup raisins

1/4 cup brown sugar

1 teaspoon finely grated fresh ginger

1 teaspoon mustard seeds

1 cinnamon stick

2 cups seedless red California grapes, halved

Salt and pepper to taste

Directions:

Preheat the oven to 450 F. In a medium saucepan, combine the onion, port, vinegar, raisins, sugar, ginger, mustard seeds and cinnamon. Bring to a boil and simmer until reduced to 1 to 1 1/2 tablespoons of liquid, about 15-17 minutes. At the same time, spread the grapes on a baking sheet and roast until soft and juicy, about 10 minutes. Add to the chutney, season with salt and pepper and let cool. Can be made a day ahead and refrigerated. Makes 2 cups.

Party Platter ingredients:

2 pounds thinly sliced roast beef

1 pound thinly sliced sharp or mild provolone

Red, green and black seedless California grape clusters

A variety of rolls

Directions:

Arrange roast beef and provolone on a large platter along with the grapes. Place rolls in a basket and serve with the chutney. Serves 8.

Here’s a refreshing way to use grapes and apples to balance the strong flavor of cabbage with tart sweetness. Plus, the bold red and green colors make for a striking salad that is also easy to make. This versatile slaw pairs well with roasted chicken, hamburgers, pork chops and many other family favorites.

Grape and Red Cabbage Slaw

Ingredients:
 1/2 small head red cabbage (about 1 pound), finely shredded

2 cups halved green seedless California grapes

1 Granny Smith apple, julienned

1/4 cup cider vinegar

1 tablespoon honey

1 tablespoon Dijon mustard

2 tablespoons extra-virgin olive oil

Salt and freshly ground black pepper

Directions:

In a large bowl, combine the cabbage, grapes and apple. In a small jar, combine the vinegar, honey, mustard and olive oil. Shake well and pour over the cabbage mixture. Season generously with both salt and pepper and let stand 30 minutes at room temperature. Serve at room temperature or chilled. Serves 8.

Grape and flower centerpiece

Instead of using glass or plastic marbles to secure autumn flowers in a vase, consider filling your vase with grapes instead. Green, red and black grapes can easily complement your flower colors as well as securely holding the blooms and greens in place.

Directions: Fill a tall vase with grapes until about 2/3 to 3/4 full. Fill with water and arrange the flowers. Grapes can be placed in single color layers or mixed together like a mosaic.

For more grape ideas, go to grapesfromcalifornia.com or facebook.com/grapesfromcalifornia.

Includes recipes