Breaking into real estate wholesaling can feel overwhelming, but with the right strategy, you can land your first wholesale deal quickly. This guide will walk you through the exact steps to go from zero to closing your first wholesale deal, helping you start your journey in real estate investing. If you’re looking for the fastest way to your first wholesale deal, follow these steps to streamline your process and maximize efficiency.
What is Wholesaling in Real Estate?
Real estate wholesaling is when you find a discounted property, put it under contract, and assign that contract to an end buyer for a fee. You don’t need to purchase the property yourself—making this one of the fastest ways to your first wholesale deal with little to no money upfront. Understanding how to get your first wholesale deal requires a solid strategy and consistent effort.
Step 1: Educate Yourself
Before diving into wholesaling, it’s crucial to understand how the process works. Learn about:
- The real estate market in your target area
- Contract assignments and double closings
- Marketing strategies to find motivated sellers
Resources such as Guided books, online courses, and YouTube channels can provide valuable insights into how to get your first wholesale deal efficiently.
Step 2: Choose Your Target Market
Selecting the right market is key to finding good wholesale deals. Look for areas with:
- High demand for investment properties
- A strong rental market
- Affordable housing prices
Research local real estate trends, network with investors, and join local real estate groups to gain insight into where to focus your efforts.
Step 3: Build a Buyers List
A strong buyers list ensures you can close deals quickly. Build your list by:
- Attending local real estate meetups and networking events
- Connecting with cash buyers on social media
- Posting in real estate investment groups
- Using online platforms like Craigslist and Facebook Marketplace
A solid buyers list makes the process of selling contracts much smoother and faster.
Step 4: Find Motivated Sellers
Finding motivated sellers is one of the fastest ways to your first wholesale deal. Some proven methods include:
- Driving for dollars (looking for distressed properties in neighborhoods)
- Cold calling and direct mail campaigns
- Running online ads targeting homeowners in distress
- Networking with real estate agents and attorneys
Motivated sellers are often facing foreclosure, divorce, job loss, or financial distress, making them more likely to accept a wholesale deal.
Step 5: Get the Property Under Contract
Once you find a property with potential, negotiate a purchase price that leaves room for your wholesale fee. Ensure the contract includes an assignment clause, allowing you to transfer it to a buyer.
Important contract elements:
- Clear assignment clause
- Inspection period (for due diligence)
- Earnest money deposit (small but reasonable)
Step 6: Assign the Contract to a Buyer
Once you have the property under contract, present the deal to your buyers list. Send them details such as:
- Property address and pictures
- Estimated repair costs
- After-repair value (ARV)
- Your asking price (including your wholesale fee)
When a buyer agrees to purchase, you’ll sign an assignment contract transferring your rights to them. They will then close on the property, and you collect your wholesale fee!
Step 7: Close the Deal and Get Paid
On closing day, the title company or closing attorney will finalize the transaction. Your buyer funds the deal, and you receive your wholesale fee—usually ranging from $5,000 to $20,000 or more!
Final Tips for Success
- Be consistent – Finding deals takes persistence.
- Follow up – Many deals happen through consistent follow-ups with sellers.
- Network constantly – The more people you know, the more deals you’ll find.
- Stay ethical – Always be transparent with sellers and buyers.
Conclusion
Now that you know how to get your first wholesale deal, it’s time to take action! Wholesaling is one of the fastest ways to your first wholesale deal with minimal risk. Follow these steps, stay dedicated, and you’ll be closing deals in no time.
Need help generating leads for your wholesale business? Contact REI Marketing Experts today!