EPISODE 19: WHOLESALING REAL ESTATE WITH SEAN HOWE

In this spirited discussion, Rob Break, the podcast host, is joined by the knowledgeable and seasoned real estate wholesaler Sean Howe. Sean elaborates on his journey in the real estate wholesaling business, providing valuable insights and tips based on his wealth of experience. 

During the discussion, Sean touches upon several critical aspects, explaining the fundamentals of wholesaling real estate, sharing his strategies for finding motivated sellers in the market and offering advice on building your network in the vast realm of real estate. In addition, he enlightens listeners about negotiation tactics to secure the best deals and provides tips to overcome common challenges encountered in real estate wholesaling. 

Whether you're an aspiring real estate investor keen on learning the ropes or a seasoned professional seeking to refine your strategies, this episode offers a wealth of knowledge. Please pay close attention as Sean shares his advice for anyone interested in diving into real estate wholesaling. 

Sean's journey in real estate wholesaling is both inspiring and enlightening. From his early beginnings to reaching the pinnacle of success in this industry, Sean discusses, in comprehensive detail, the various highs and lows, trials and triumphs he encountered along the way. 

With a keen interest in real estate from a young age, Sean ventured into wholesaling and has since carved a niche in the industry. Throughout the podcast, he delves deep into his experiences, sharing detailed anecdotes demonstrating his relentless efforts and the strategies that brought him success.

Over the years, Sean has gained invaluable experience in real estate wholesaling, which he generously shares with listeners in this podcast episode. He discusses various elements paramount to succeeding in this complex business and shares real-world examples to elucidate the points further. 

Whether it be identifying motivated sellers, establishing a solid network in the industry, or bargaining the best deals, Sean's shared experiences paint a vivid picture of the workings of the real estate wholesaling world, providing listeners with practical knowledge to help them navigate this industry.

As the conversation concludes, Sean leaves listeners with a handful of key takeaways, empowering them to take decisive steps towards achieving success in real estate wholesaling. So, tune in to this enlightening dialogue and tap into the wealth of knowledge offered by industry expert Sean Howe.

But first, if you want financing for your next investment and want to know what type of collateral may be involved, click the link below for a free strategy call with our mortgage team at LendCity to discuss your specific situation.

Understanding the Basics of Real Estate Wholesaling 

Host Rob Break initiated the podcast episode by inviting his guest, SEAN HOWE, to shed light on real estate wholesaling. Rob asked Sean to walk their listeners through the process of this unique investment strategy. 

"So Sean, can you please explain what real estate wholesaling is? And how does it work?" 

Well, Rob, real estate wholesaling is a short-term business strategy where you contract to buy a property at a lower price and before closing the deal, you sell the contract to another buyer at a higher price. - SEAN HOWE

Sean further explained that the profit arises from the difference between the two price points. This creative real estate investing tactic is a win for both parties involved – the original contractor makes a profit without investing in the property, and the end buyer obtains a property at a price typically lower than market value. 

In wholesaling real estate, the wholesaler is a middleman between the property seller and potential buyers. Their primary roles are finding undervalued properties, crafting beneficial contract terms, and finding suitable buyers - preferably within a swift timeframe to maximize profitability. 

Rob was keen to know about the legal implications of wholesaling and asked Sean to elucidate for the listeners. Sean insisted that while wholesaling is legal, wholesalers must know their local regulations and laws to avoid legal hassles. 

"Remember, a well-informed wholesaler is a successful wholesaler," advised Sean.

Finding Motivated Sellers in the Market 

In today's episode, Rob and Sean delve into fascinating strategies for finding motivated sellers in the real estate market. Intense competition and the fast-paced nature of the industry can make this process challenging, but as you'll soon discover, it's not impossible. 

To start, Sean emphasizes the importance of understanding the motives behind why a seller might be motivated. For him, it's crucial to recognize that every situation presents an opportunity to create a win-win scenario that benefits both the seller and the investor. Identifying this opportunity requires empathy, keen observation, and excellent communication skills. 

"It's always a people business. You have to understand the seller's situation and be willing to provide a solution that works for both." - Sean Howe

Sean shares several methods that have proven effective for him in finding motivated sellers. These include direct mail campaigns, online and offline advertising, networking, and word-of-mouth recommendations. Here is a brief overview: 

1. Direct Mail: This involves sending out letters, postcards, or flyers directly to homeowners. It's a traditional approach, yet it still works effectively.
2. Advertising: Online platforms such as social media networks and real estate websites or offline mediums like newspapers and radio can be potent for reaching potential sellers.
3. Networking: Building solid relationships with real estate professionals can lead to referrals of motivated sellers.
4. Word of Mouth: Offering excellent service to your clients can generate referrals, contributing significantly to finding motivated sellers.

Sean's experience and insights offer an invaluable guide to finding motivated sellers. By understanding the sellers' needs and circumstances, employing effective methods, and nurturing relationships in the real estate sector, you, too, can discover profitable opportunities in real estate wholesaling.

Building Your Network in Real Estate 

Building a solid network in real estate is a critical factor that often determines the level of success you will achieve, as both Rob Break and Sean Howe emphasize during the podcast. It's all about building connections and knowing who to contact when you have a property deal. Networking allows you to tap into resources and potentials you might otherwise not have access to. Here are the key points Sean shared about creating a robust network in real estate wholesaling: 

1. Start Locally: Sean advises starting with local professionals like real estate agents, brokers, and other wholesalers in your area. These connections can provide valuable insights and recommendations.
2. Attend Seminars and Events: Real estate meetings, seminars, and events offer a platform to interact with experienced individuals and learn from their experiences.
3. Online Networking: Utilize social media and online real estate platforms to reach a broader audience and professionals across the globe. 

Creating a network requires faith in your abilities to establish beneficial relationships. It's about mutually beneficial relationships where you can give and receive assistance. It might not be immediate, but putting in the effort to build a strong network certainly pays off, according to Rob and Sean. 

When networking, Sean emphasizes some essential points that can help you make the most of it: 

• Authenticity: Be genuine in your interactions. Don't just connect for personal benefits; strive to add value to others.
• Persistence: Building a strong network doesn't happen overnight. It requires perseverance and consistent effort.
• Visibility: People need to know you exist. Be active, attend events, and have an online presence.

Networking in real estate wholesaling is more than just exchanging business cards. It's a long-term strategy and commitment that, when executed correctly, can reap significant rewards.

Negotiating the Best Deals in Wholesaling 

In this exciting episode with SEAN HOWE, Rob Break discusses valuable strategies for negotiating the best deals in real estate wholesaling. Negotiation is a critical skill and can often decide between profit and loss in wholesaling. 

From SEAN's experience, setting the right price from the beginning is the foremost aspect of the negotiation process. Researching the market and understanding the correct value of a property is crucial. It's not about what you want from the deal but what the property is worth. 

SEAN emphasizes the importance of clear communication in negotiating deals. It's vital to present your case logically and convincingly. Good communication helps build trust with sellers and get them to agree to your price. 

Patience can be a game-changer when it comes to making a deal. Often, the need for a quick sale can lead a wholesaler to make hasty decisions. SEAN advises taking the time, researching, and waiting for the right deal. 

Negotiation is not solely about price. SEAN insists that flexible terms on contracts can also help to seal deals. Work on mutually beneficial terms, offering options to make the deal more attractive to the seller. 

In conclusion, SEAN HOWE shares that successful wholesaling is more than just flipping properties. It's about negotiating the best deals, building solid relationships, and being flexible.

Overcoming Challenges in Wholesaling 

Within the world of real estate wholesaling, like any other sector, there are inevitable roadblocks that come our way. In this section, Rob Break and Sean Howe delve into some common challenges they've faced in wholesaling and how they overcame them. 

Real estate markets can be unpredictable. Unexpected changes can either be opportunities or stumbling blocks. Sean points out how vital it is to remain adaptable and resilient in the face of unpredictability. "You can't control the market," he remarks, "but you can control your reaction to it." 

Legal complexities could also pose challenges in the realm of wholesaling. Sean emphasizes the significance of understanding laws and regulations around wholesaling. "Having a knowledgeable legal advisor by your side can be a game changer," he suggests. Rob concurs, stressing that legal clarity can save you from potential headaches down the line. 

Sean readily admits that consistency is one of the most significant challenges in wholesaling. "Staying organized and maintaining a routine has helped me keep my business on track," Sean reveals. He encourages listeners to find a system that works for them and stick to it. 

In conclusion, Rob and Sean stress that overcoming challenges in wholesaling primarily depends on patience, persistence, and a flexible mindset. The obstacles may be challenging, but Sean wisely notes, "Use them as stepping stones, not roadblocks."

Advice for Aspiring Real Estate Investors 

Listening to SEAN HOWE's advice to aspiring real estate investors, you must understand that success doesn't happen overnight. According to SEAN HOWE, you must remain patient and persistent to thrive in the real estate industry. Let's dive into some of the critical pieces of advice he shared: 

• Master Due Diligence: Howe emphasized the importance of due diligence. Dig deep into property details, and never make an investment decision blindingly. Understanding the history of the property, its market value, and potential repair costs is crucial.
• Grit and Perseverance: Howe shared that wholesaling real estate isn't always a smooth operation. There will be difficulties, but the key to success is perseverance. Do not let temporary setbacks deter you from your end goal.
• Consistently Learn: The real estate industry is forever evolving; new strategies and rules can emerge. The ability to continuously learn and adapt is a trait that Howe believes all aspiring investors need.
• Build a Strong Team: One can get overwhelmed trying to manage all aspects of real estate wholesaling independently. Develop a reliable team to help you carry out your investment plans efficiently.

In the words of SEAN HOWE, "The path to success in wholesaling real estate frequently involves mistakes, learning opportunities, and consistent effort. Never let the fear of a wrong decision prevent you from deciding." 

Remember, the road to becoming a successful real estate wholesaler is filled with ups and downs. But with due diligence, persistence, and building a solid team, your journey in this industry can be fruitful.

Key Takeaways from the Episode 

In this riveting episode, Rob Break speaks with Sean Howe, a seasoned professional with a wealth of knowledge in real estate wholesaling. They cover various insightful topics relevant to industry newcomers and established practitioners in their discussion. 

Sean didn't start his career in real estate. Drawing from his experiences, he talks about his transition from a different industry, dispelling the myth that you need a robust background in real estate to start wholesaling. He emphasizes the value of ongoing learning in this dynamic field. 

Sean highlights the importance of a growth mindset in the business. Making mistakes and encountering hurdles should be viewed not as failures but as opportunities for learning and personal development. This viewpoint, as suggested by Sean, can be a significant determinant of success in wholesaling. 

Understanding the market and conducting due diligence is crucial in real estate wholesale. Sean delves into his process of researching properties, market trends, and prospective sellers, shedding light on why these tasks are integral to his impressive wholesaling strategy. 

Sean says leveraging digital tools and technologies can significantly streamline wholesaling operations. He talks about some applications and platforms that have enhanced his business efficiency. 

Sean believes a competent and dedicated team is essential for increased productivity and success in wholesaling. He shares some practical advice on hiring and managing team members, emphasizing the value of clear communication and mutual respect. 

In conclusion, this episode provides an exclusive look into Sean Howe's approach to wholesaling real estate and offers valuable advice to new and experienced investors.

If you are ready to start investing today and want more information about how your mortgage may be secured – or are looking to apply for a mortgage today – click the link below for a free strategy call with our mortgage team at LendCity today.

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