A lot of people want to know what wholesaling houses
Flipping houses
Really is; it seems like a cool concept but people don't really know what it is
So, if you're one of those people keep watching and I'll explain to you what wholesaling and flipping houses is
Hey, I'm Dara, real estate investor and entrepreneur out of Atlanta, Georgia
And you're watching this video because you want to know what wholesaling and flipping houses means
But before I get into that make sure you hit the subscribe button
That way you can always say up-to-date on the content that I drop on my channel because it's fire
Alright, well
I hope you did it. So what is wholesaling? What is flipping?
Flipping is an overarching term, it's a general term that simply means buying and selling
Real estate within a year
Now you can flip a lot of things cuz trust me people be flipping a lot of things
You know what I mean? But we're talking about real estate
So when I give you that definition it's Dara-Webster's definition of flipping
And that's why I said real estate. So buying and selling real estate within a year's time
So that could mean you bought a house and you sold it in three days, seven days, seven months, twelve months
Any of that
Is considered flipping. Now wholesaling is a type of flipping. Wholesaling is
Pretty quick as far as turnover as far as
When you buy it and sell it, and a lot of times you aren't really ever buying a property
When you're wholesaling. And the reason I want to specify the difference between
Wholesaling and flipping is because somebody who's a fix and flip investor, they buy houses, renovate and sell
So that is a form of flipping and then you have wholesaling
Which is getting a property under contract with the intent to purchase
And you just assign your right and your intent to purchase to someone who's actually gon purchase
Period. I mean, I'm really trying to make this as simple as possible. Let's use elementary alphabetics. [Huh?]
I mean alphabet.
So we've got A, B, C
Easy as A-B-C
As simple as Do-Re-Mi
A, B, C one, two, three baby you and me girl
So we've got A
B and C
And A is your Mister or Miss Seller
B is you, the flipper, the wholesaler; and C is your investor or cash buyer
You're the matchmaker
You are matching a
Buyer, an investor, who maybe doesn't have the time like you do to go and beat the streets and grind and hustle to find
Discounted properties at a great wholesale price. You're matching them with what they want
Which is distressed properties at wholesale prices
And you're matching a homeowner who has a distressed property or a situation that they need help from and
You're matching them with your services of finding discounted properties and
Helping the homeowner sell their unwanted property in a matter of days. So again, just to recap in our elementary
Simplistic, simple way of exscribing
Escribing?
Describing and explaining-- I said exscribing that's describing and explaining-- what flipping and wholesaling is. So flipping is
Buying and selling a property, one property, the same property. You are taking ownership, you're changing, you're transferring ownership
Within one year
So you're buying and selling a property within a year, that's flipping. Did I make that clear?
Flipping is buying and selling a property in a year
And wholesaling is a form of flipping where you, as the wholesaler, are not ever
You may take title to the property
You may come out of pocket and buy the property
But typically, wholesaling is where you're not coming out of pocket to purchase a property. You're just facilitating the
Buy and sell of a property by being the middleperson connecting a homeowner with a property and
A cash buyer or an investor
To this homeowner.
I think that was so difficult
Did that make sense?
You're the middle person, you're curating the deal, and then you sell your rights to the terms and price
For a fee. Of course. Oh my god. That's the-- oh my god, that's the main part that I forgot.
You get paid. You get paid to do this. You get paid whatever you want to do this, it's not a commission
It is your fee: your assignment fee
So you get the property with Miss Seller for $10,000 and you sell it to Mr. Buyer for
$20,000 and that $10,000 is yours. That wasn't mean I'm gonna say the numbers and the best part of it
So yeah, wholesaling is
Curating a deal, you're matching a homeowner and a cash buyer to each other for a fee
Now the whole idea, the whole name of the game is to buy low and sell low
But you buy low and sell higher. So buy low sell higher so that the end investor, the cash buyer has
More chunk of the profit in the end, in the long run
So. I hope that cleared things up on what wholesaling is and what flipping is, what the differences are and
If you learned something in this video, if you like this video, if you like my
Ranting and rambling, then go ahead and hit the thumbs up button
If you want to talk to me, just go ahead and comment below. Subscribe to my channel and share this video. Thanks for watching
See you in the next one. So we've got
Did I do that right? So we've got A
B and C
A B C
As simple as Do-Re-Mi
1 2 3 ABC you can tell I'm not from the eighties
cuz I don't know the words