So, you bought a property, made some repairs, sold it for HUGE PROFITS….right?
In baseball, all the players dream of hitting that pinnacle achievement of the grand slam, much like a pitcher aiming to throw a perfect game. Statistically, it just doesn’t happen that often. Here are some real stats from Major League Baseball:
- Years: 138
- Games: 204,931
- Runs: 1,855,308
- At Bats: 14,005,129
- Hits: 3,668,401
- Home Runs: 274,375
- Grand Slams: 6,357
So, you ask, what’s the point? This is a real estate blog, not baseball stats! Here is the point: in real estate, if you are only swinging for Grand Slams, you might miss a lot of opportunities to $core from all of the other potential runs. All properties, with a solid investment criteria, and that yield a healthy profit should be considered, even if it’s not going to put you on a Caribbean island for a 6 week vacation.
Working with Wholesalers
Much like baseball, you need to develop a pitch strategy. Whether you are a wholesaler or you buy from a wholesaler, you need to understand a few metrics. One strategy is the three strikes rule for the buyer. If you are a buyer of wholesale properties and you consistently see a seller that throws a curve ball of a property, then determine how long you will accept their pitches before they’re OUT! My strategy is three strikes and you’re out. Send three deals that have really bad ARV estimates or significantly under-estimated repairs and you’re wasting at-bat time. You’re out. Next pitcher!
Getting from Buy to Sell
A baseball game is like any other, with offensive and defensive strategies.
- Your offensive strategy should include several batters, or buying methods. Just …read more