How to Make Big Profits Wholesaling Real Estate 🏠💸 | Founders Club ft. Cory Boatright

Feb 15, 2019

Motivated sellers are usually dealing with some kind of distress, be it an illness in the family, a divorce, or a financial emergency. If you can step in and provide a solution, not only will you be a hero to the homeowner, you will be several thousand dollars richer. So, what does the process look like? How can you give people peace of mind AND score big profits wholesaling real estate?

Connect with Founders Club Host Oliver Graf on Instagram

Cory Boatright is an expert in the realm of wholesaling, completing more than 100 deals in 2018 alone. He is also the founder of Real Estate Investing Profits and Phenomenal Results Coaching, serving as a mentor for high-achieving entrepreneurs and their teams. Cory has played a role in buying and selling over $75M in real estate and realizing 1000 transactions, and now he is pursuing multifamily syndication.

Today on the podcast, Cory joins Oliver to explain how he earns big profits by way of wholesaling real estate. He discusses the fundamentals of the process, sharing some of the reasons why a homeowner might be motivated to sell and how he serves as a solutions provider who can take their pain away. Cory describes how he finds deals, how he relates to sellers, and how his team gets paid at closing. Listen in for insight around a few of Cory’s biggest wins to date and learn his proven system for wholesaling real estate!

Key Takeaways

[1:29] Cory’s ability to hunt and capitalize on great deals

• Found wholesaler, sold Ginsu knives online
• Filling 500 orders/day from stock in garage

[4:49] The fundamentals of wholesaling

• Get property under contract, resell immediately
• Solution for those who need to sell quickly

[9:36] Why a homeowner may need to sell quickly

• Illness in family, divorce or inheritance
• Ask questions to connect on human level

[14:55] How Cory finds deals

• Data scientist on staff
• Direct mail, PPC, niche lists and referrals

[17:12] The approach Cory uses with motivated sellers

• Script to gather basic info (e.g.: location, mortgage)
• Ask price AND what accept if close quickly for cash
• Set appointment on first call

[20:44] How Cory determines an offer price

• WMRP method (worth, market, repairs and profit)
• Speak with seller in person to read body language

[23:44] Cory’s insight on contracting a property

• Focus on gap between offer and asking price
• Walk through your numbers using comps

[26:03] The role of the title rep in the wholesaling process

• Clean and marketable title to end buyer
• ‘Assume that all homeowners are liars’

[28:04] How to proceed if the seller won’t accept your offer

• Option-to-purchase agreement
• Seller usually end up compromising

[30:21] How the double closing works in a wholesale deal

• Cash buyer puts money in escrow
• Payout seller, spread goes to you

[33:17] Cory’s biggest wholesaling wins to date

• Paid $11K for property, sold at $70K
• $300K profit on apartment complex
• Single-family short sale profit $160K (negotiate liens)

[42:08] How Cory’s team gets paid at closing

• Simple cash transaction, net wire distributed to team
• Marketing spend of $25K/month, $3K/deal

[44:11] Cory’s take on the benefits of investing in multifamily

• Wholesaling provides cash now with little risk
• Multifamily affords passive income indefinitely
• Incredible tax benefits along with cashflow

Connect with Cory

Cory’s Website

Cory on Facebook

Cory on Instagram

Real Estate Investing Profits Master Series Podcast

Connect with Oliver

Big Block Realty

Oliver on Facebook

Oliver on LinkedIn

Resources

Lab Coat Agents

Kevin Easterly on In the Know EP006