Finding Deals, Wholesaling and House Flipping in a Hot Market With Anson Young | BP Podcast 96

TL;DR

Anson Young shares strategies for wholesaling and flipping in competitive markets.

Transcript

are you looking to become a better real estate investor then hang on because you're about to experience another episode of the world's most popular real estate podcast the BiggerPockets podcast but before we get to this week's show I wanted to invite you to become part of our community biggerpockets.com the real estate investing social network the ... Read More

Key Insights

• Anson Young emphasizes the importance of networking and learning from local real estate groups to understand market needs and buyer criteria.
• In a competitive market, focusing on quality over quantity can lead to better margins on fewer deals, as seen in Anson's strategy of keeping more properties for rehabbing and flipping.
• Direct marketing through door knocking and targeted mailing lists, particularly for pre-foreclosures, has proven effective in finding deals that others might overlook.
• Anson finds success in suburban areas of Denver, where properties require less extensive renovation compared to older, central city homes.
• Co-wholesaling, or collaborating with other wholesalers to find buyers, can be beneficial but requires transparency and agreement to avoid reputation damage.
• Private lenders can be sourced by identifying individuals who have previously loaned on similar projects, offering a personalized approach to financing deals.
• Establishing a cohesive brand and professional web presence can enhance credibility and attract more business opportunities in real estate.
• Organizing local meetups fosters community and knowledge sharing, which can lead to new partnerships and insights into the local real estate market.

Questions & Answers

Q: How does Anson Young find deals in a competitive market?

Anson Young finds deals by focusing on direct marketing strategies, such as door knocking and targeting pre-foreclosure lists. He believes that these methods help him reach potential sellers who might ignore traditional mail marketing. By personally engaging with homeowners, he reduces competition and uncovers opportunities that others might miss.

Q: What is co-wholesaling, and how does Anson approach it?

Co-wholesaling involves collaborating with other wholesalers to find buyers for a property. Anson approaches co-wholesaling with transparency, ensuring he has permission from the original wholesaler before marketing the deal to his buyer list. This approach helps maintain trust and avoids reputation damage within the real estate community.

Q: Why does Anson prefer suburban properties for flipping?

Anson prefers suburban properties because they typically require less extensive renovation compared to older homes in central city areas. Suburban homes, often built in the 1970s, have fewer issues like outdated plumbing or electrical systems, making them more cost-effective and quicker to rehab, which aligns with his business model.

Q: How does Anson source private lenders for his deals?

Anson sources private lenders by identifying individuals who have previously loaned on similar real estate projects. He uses tools like listsource.com to find these lenders and then reaches out to them with a personalized approach, demonstrating his track record and offering them secured first position notes on real estate.

Q: What are some mistakes Anson has made in his real estate career?

Anson admits to making mistakes early in his wholesaling career, such as trying to sell deals without proper permission, which could have damaged his reputation. He learned the importance of transparency and building trust within the real estate community to avoid such issues.

Q: How does Anson manage contractors for his rehab projects?

Anson manages contractors by project managing small crews himself and subcontracting licensed work like electrical and HVAC to trusted professionals. He emphasizes the importance of finding reliable contractors and maintaining good relationships with them to ensure the success of his rehab projects.

Q: Why are local real estate meetups important according to Anson?

Local real estate meetups are important because they foster community, allow for knowledge sharing, and provide networking opportunities that can lead to new partnerships and insights. Anson found that these informal gatherings are a great way to connect with other investors and professionals in the industry.

Q: What advice does Anson give to new wholesalers?

Anson advises new wholesalers to get involved in local real estate groups to learn about buyer criteria and market needs. Understanding what experienced investors are looking for can help new wholesalers target their efforts more effectively and build a network that supports their growth in the industry.

Summary & Key Takeaways

• Anson Young discusses his journey in real estate investing, starting from his first live-in flip in Arizona to becoming an active wholesaler and flipper in Denver. He highlights the importance of networking and learning from local real estate groups to better understand market needs.

• In the podcast, Anson shares strategies for finding deals in a competitive market, such as direct marketing through door knocking and targeting pre-foreclosure lists. He also talks about the benefits and challenges of co-wholesaling and the importance of transparency in such collaborations.

• Anson emphasizes the value of establishing a cohesive brand and professional web presence to enhance credibility. He also discusses the benefits of organizing local real estate meetups for community building and knowledge sharing, which can lead to new partnerships and insights.