What is Wholesaling and How Does it Work?

Wholesaling, or buying properties at a low cost with the intention to resell them in order to make a profit, is not as lucrative and easy as it may seem. In reality, wholesaling real estate takes hard work and dedication. Wholesaling is a fast-paced, high-stakes business. Despite the many benefits to wholesaling property, the reality is that there are also some disadvantages to this business model. This article will examine these pros and cons so you can decide if wholesale real estate might be right for you. Pros: One of the biggest advantages is that you can generate an income quickly with a lower start up cost. You can also work on your own time and hours because most wholesalers work as independent contractors. This means that there are usually good margins on properties which makes it easier to turn a profit. Cons: The downsides of wholesale real estate include the risk factor, competition from other wholesalers and having to deal with distressed properties that often have problems like mold, broken appliances or even foreclosure notices. If you are considering wholesale real estate as a career choice, you will have to do your research first and figure out if it is really for you. The next couple of the post will cover many things that you need to know about wholesaling real estate.

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