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In real estate wholesaling, finding your buyers is the most important step. However, once you have your buyers, you need to market your property to them. Marketing involves work: it is not simply showing a picture and talking up the location. Marketing requires due diligence because in wholesaling, you are generally working with buyers who are experienced with real estate. They are looking for facts and figures, and unless you can give them that information, you are wasting their time.

The presentation of your property to a potential buyer is very important. In your presentation, you should know the general market data of the area. This includes the average rents, average holding time of a house, the gross rent multiplier, and the actual after repair market value of the house. If you’re dealing with a buyer who generally deals with properties out of town, this data will be more useful and help develop a level of trust. The presentation should also include data specific to the property you are selling. If it needs rehabilitation, you should have some general bids from contractors (this is also especially useful for an out of town buyer, as they don’t know which contractors to use). You should have the property inspected and include the highlights from their reports, such as any plumbing, electrical or infestation issues. It’s also important to have cash flow data, which includes the management fees and any other expenses that make up the total expense of owning the property. These facts and figures will help an experienced real estate buyer know if the property is a good deal and they can make a quick, informed decision. They will appreciate your work and will likely agree to look at other properties you own. Before you know it, voila! They are an active buyer who repeatedly buys from you. Treat all your buyers with professionalism and show them the work you’ve done to research the market and the property, and you can build a reputation that allows you to wholesale properties in minutes.

The effort involved in locating buyers, properties and marketing is substantial. Of course, if you wholesale a few properties now and then it is not as labor-intensive, but you must make sure your buyer-list is up to date. Wholesaling can be a rewarding experience after you’ve completed a successful sale, but in order to get there, remember to line up your buyer first then market your property.

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Based out of Indiana, Jay Redding is a real estate entrepreneur, with experience in single family and multi-family investing.