If you want to be successful in a real estate wholesaling business, you’ll need to access cash buyers. After all, without buyers lined up, it’s difficult to wholesale a property. Investors with cash to close don’t need to wait on financing, greatly accelerating the wholesaling process. This enables you to keep on finding distressed properties.
So how do you find a dependable supply of cash buyers in your real estate investing venture? Check out these tips to get more cash deals.
How to find Cash Buyers for Wholesaling
In the digital age, you can utilize a variety of old-fashioned and online methods for cash buyer lead capture. Here are some of the ways you can find cash buyers.
Buy an online directory of cash buyers.
Being a new wholesaler can be tough, and not having connections to cash buyers can be the hardest part. Buying a cash buyers list can give you a good starting point. It takes just minutes to browse directories online, and it can potentially give you valuable contacts to accelerate your business.
These services have the contact information of cash buyers who have bought homes with 100% money down. Instead of doing all the sleuthing yourself, these list providers can save you a lot of time. For a fee, you can get the most up-to-date directories of buyers that are likely to own multiple investment properties and have bandwidth for more. These databases should include phone numbers and email addresses of known cash buyers.
To ensure you’re getting the best information, verify any directories through reviews. In this way, you’ll use directories that provide accurate listings of cash buyers in your target market. Wholesaling real estate is a lot easier when you accumulate enough cash buyers who are willing to work with you.
Look for local real estate investors.
If you are looking to connect with cash buyers, then you can most likely find a few when you network with local real estate investors. Not only do these experienced investors often pay in cash, but they may have other off-market connections that can help you find more houses to wholesale. Overall, your list of cash buyers and investors may end up having a lot of crossover! Wholesale real estate is easier when you have more investors on your contact list.
- Pro Tip: Want a cheap marketing option? Put up a bandit sign that attracts cash buyer investors. Ask Flip Man from YouTube shares insights from over 7 years of experience in this area of real estate. Many of the homes he has moved were under risk of foreclosure and needed a cash buyer to take it over and sometimes pay off liens against it. These homeowners needed to avoid the credit hit and it was a win-win for all parties: the homeowner, wholesaler, and cash buyer.
Connect with real estate agents.
If you’re looking to find buyers for a quick sale, contact local real estate agents. Agents have many connections in the real estate industry, from lenders to investors, who may have a few investor clients who can assume your wholesale contract. Ask your local realtor if they have any clients who are looking to buy properties quickly, preferably with all cash.
Agents may also know other agents that know suitable home buyers for your property. As you develop a good rapport with a few real estate agents, you can ask them about past clients or other potential cash buyers in their network.
Make a business website and social media pages to capture leads.
The internet has opened more opportunities for expanding your business network. As a serious wholesaler, you can create a website for your LLC, as well as business pages on prominent social media platforms like Linkedin, Facebook, Instagram, Tik Tok, etc. Be sure to create many opportunities for website and page visitors to enter their information. A lead capture “contact us” box or “email me” form helps investors take action even after hours.
Search public records and online classifieds.
If you want to save money on buying a cash buyer directory, you can turn this project into a (rather lengthy) DIY. Search public records and free online directories for people purchased homes with cash transactions.
Whenever you find a buyer, it’s important to take time to verify the details of the cash sale. This will ensure that you find legitimate prospective buyers. When done correctly, searching through online classifieds websites and free public records can be a great way to fund a real estate transaction.
Find cash buyers on social media.
Real estate cash buyers can be found in many places in the digital landscape. For example, you can do an all-call for cash buyers on social sites like Facebook or Craigslist and in forums for real estate investors or house flippers. These digital spaces are hubs for cash buyers and provide a creative option for any wholesaler looking to quickly sell a property.
However, before you strike any deal, do your homework. Wholesalers should take extra care to confirm the identity of the cash buyer and get the help of a real estate attorney to ensure the contract assumption is sound. Doing some research upfront could save considerable time and hassle down the road.
Find cash buyers in your local market.
Whether you drive around your local area and see a “we buy houses” sign or attend local real estate business meetups where investors congregate, there are opportunities to meet cash buyers everywhere. Auctions and professional networking events are prime ground for making new connections.
When you go where cash buyers gather, you may find a goldmine of people to add to your list. Have business cards handy so that these cash buyers know where they can find more rental properties to take over.
Property auctions attract cash buyers from all around in hopes of obtaining a property for a discounted price. If you have wholesale contracts that need to be taken over, then you can potentially strike a wholesale deal with a local investor who gets outbid.
Finding Cash Buyers in Real Estate
Finding cash buyers is the cornerstone of a successful wholesaling investment strategy. However, starting a list and keeping your list fresh takes time and effort. You need to do lots of research and network digitally and in your desired markets.
Take the time to diligently pursue leads and create an extensive network with real estate professionals in your area. Being persistent with attracting cash buyers can pay off when you can make quick real estate deals through wholesaling.
What are some different ways to make money through investing?
While being a real estate wholesaler is one of the fastest ways to get started in real estate investments, finding buyers who can do cash offers involves a learning curve. As you build relationships with cash buyers and practice wholesaling, you can also try other methods if investment, such as:
- Fix and Flip: Acquire a distressed property below market value via a hard money lender. Then you sell the property on the open market for top dollar. Flipping a home turns you into the investor-buyer and temporary owner of the house. Conversely, with wholesaling, you just sell the right to buy the house to an investor.
- Buy and Hold: After you buy a house and finish the closing process, you fix and market the property for rent. This is called buy-and-hold investing. Then, you hire a property management company to care for your tenants and collect rent. Or, you may do this yourself as a landlord/property manager.
Whether you want to wholesale, buy and hold, fix and flip, or just find your dream new construction home, our real estate experts can help you with your real estate needs.
Alicia Persson is the real estate content writer for Marketplace Homes. She has several years of experience working in real estate teams that specialized in investments and property management. Before she joined MH, she was a freelance writer for 7 years, providing real estate and home living content for boutique digital marketing agencies.
She is a proud University of Virginia master’s graduate and enjoyed her undergraduate years at the University of Mary Washington. When she is not writing, she plays keytar and does female lead vocals in a local 90’s band or spends time with her amazing family.