What are the Benefits of Selling to an Investor?

What are the Benefits of Selling to an Investor?

If you own a distressed property and can no longer afford to keep the real estate, then you may consider selling your home to a real estate investor. But how does this benefit you? And what can you expect? That’s exactly what we’ll explore in today’s article from Gallegos Enterprises, LLC.

Why Sell to a Real Estate Investor?

You’ll enjoy many benefits when you sell your home to a real estate investor, especially if you own a distressed property — that is, a property that is owned by someone who is behind on their mortgage a property that is dilapidated and poor condition.

When selling to a real estate investor, you can typically look forward to an offer at a competitive price and they can ensure that the transaction moves quickly, providing a major benefit to   distressed property owners who are facing the loss of their home due to foreclosure. 

When dealing with a typical home buyer, the transaction can take several weeks or even longer, as most buyers may need to sell their own home before they can complete the transaction to purchase your home. This can result in some major delays. And, of course, there’s the matter of securing financing which can be both difficult and time consuming.

If you sell your house to a real estate investor, you’ll enjoy lots of benefits when it comes to the speed and ease of the transaction. A real estate investor typically has money-in-hand and since it’s an investment property, there’s no need to sell an existing home before the sale can proceed. In short, they’re ready to buy your home immediately!

What’s more, when you sell a distressed property to a private investor, there’s no need to go through the short sale or foreclosure process, which can have a negative impact on your credit score. By working with homeowners, we can help you avoid foreclosure. 

Sell Your Home to the Real Estate Investors of Gallegos Enterprises

At Gallegos Enterprises, buy homes for cash and sell our properties to soon-to-be homeowners who are seeking a new home.

We also work with lots of fellow investors and rehabbers, as we sell properties on a wholesale basis and get involved in a number of fix and flip ventures as well.

If you would like to sell your home for cash, please take a few minutes to complete our form. Or, alternatively, if you’re interested in acquiring one of our properties, simply complete the form on the property listing page. 

If you have questions for our real estate investing experts, contact Gallegos Enterprises, LLC at 602.753.8252.

What is Real Estate Wholesaling?

What is Real Estate Wholesaling?

If you’re in the process of getting started in real estate investing, you may benefit from getting involved in real estate wholesaling, which is a great way to raise capital that you can re-invest in other properties or in another investment venture. At Gallegos Enterprises, LLC, we take part in lots of real estate investing activities, including fix and flips and wholesaling, which has given us a lot of experience in this area. So in today’s article, we’ll take a look at how real estate wholesaling works and why it’s beneficial.

What is Real Estate Wholesaling?

In its simplest, purest form, wholesaling involves the user of an intermediary between a source of goods or services (or in this case, real estate) and the end consumer. The intermediary is called the wholesaler.

In the case of real estate wholesalers, you serve as an intermediary between the seller and the end buyer. The wholesaler typically secures a contract on the property. Then, they set out to locate a buyer — usually a rehabber — who will purchase the property at a higher price.

There are two basic forms of wholesaling: residential real estate wholesaling and commercial wholesaling. In most cases, the transaction involves a distressed property, where the owner is behind on their mortgage payments and at imminent risk of losing the property.

In the case of a distressed property, the wholesaler can often acquire the real estate for a price that’s significantly lower than market value. Additional room for profit lies in the fact that the home will be rehabbed and renovated. This is what makes wholesaling viable.

How Does Real Estate Wholesaling Work?

Real estate wholesaling is best illustrated with an example. Let’s say you’re a wholesaler who has found a distressed property that will be worth $500,000 once it’s fully rehabbed.

The property requires about $100,000 in improvements, repairs and general rehabbing work. So you secure a contract on the property for a sum of $300,000.

Now that you have a contract on the property, the wholesaler must connect with a fellow investor and rehabber who’s ready to purchase the property as-is for a sum of $350,000. Once you find a rehabber who’s ready to take on the project, you sell the contract to the investor/rehabber and subsequently earn a profit of $50,000. The rehabber remodels and repairs the property and ultimately sells it for $500,000, so the rehabber profits too, creating a win-win-win scenario.

Real estate wholesaling is appealing to many because there are no real significant risks or disadvantages to the wholesaler. The amount of money you earn on each transaction can vary dramatically, but there’s very little — if any — money required to secure a contract on a property. Some wholesalers offer a token payment.

The most significant challenge is finding and connecting with fellow investors and rehabbers because the key to turning a profit is transferring the contract to a rehabber in a prompt and timely manner.

Acquire Real Estate Investment Properties from Gallegos Enterprises

At Gallegos Enterprises, we work with lots of fellow investors and rehabbers, as we sell properties on a wholesale basis and get involved in a number of fix and flip ventures as well.

We also buy homes for cash and sell our properties to soon-to-be homeowners who are seeking a new home.

If you would like to sell your home for cash, please take a few minutes to complete our form. Or, alternatively, if you’re interested in acquiring one of our properties, simply complete the form on the property listing page. 

If you have questions for our real estate investing experts, contact Gallegos Enterprises, LLC at 602.753.8252.

Tips for Buying Real Estate Investments

Tips for Buying Real Estate Investments

If you’re new to real estate investing, you may feel overwhelmed and unsure of what to look for as you check out potential real estate investments. At Gallegos Enterprises, LLC, we take part in lots of real estate investing activities, including fix and flips and wholesaling, which has given us a lot of experience in this area. So in today’s article, we’ll take a look at what points you should consider if you’re seeking to acquire a real estate holding, fix and flip, or other real estate investment.

What to Look for When Buying Real Estate Investments

When considering a potential investment property, the process that you’ll utilize and the major points of consideration are very different from those that you would keep in mind when buying a home for yourself.

In order to maximize your profits, you simply cannot consider your personal tastes and preferences. Instead, focus on the purchase as a business transaction. The following are a few of the points that you should keep in mind when visiting possible investment properties

You need to make some careful considerations as you view the real estate, so keep these tips in mind as you view potential investment properties:

• Consider rehab and repair costs. A majority of the money you expend on an investment property will be spent on repairing, upgrading or rehabbing the home. This will have a tremendous impact on how much it costs to get the property into the right condition so you can ensure a maximum profit. Don’t ever attempt to guesstimate when it comes to repair and rehabbing costs. Always get an expert opinion.

• Evaluate the profit margin. Determining the likely profit margin is key. If you don’t have sufficient profit margin, then it doesn’t make sense to acquire the property. It can be challenging to accurately determine the cost of repairs and other factors that impact profit margin. So take the time to evaluate the property, looking at the current market value, the cost of upgrades and other factors that impact your bottom line.

• Evaluate salability and the current real estate market. When acquiring a property, whether it’s to sell or to maintain as a rental holding, you’ll want to evaluate the property’s salability or rentability in the current market conditions. Some properties are very challenging to rent or sell, while others sell or rent in very short order. To ensure that you don’t tie up your investment capital for longer than expected, make a concerted effort to be realistic about how difficult it will be to find a renter or buyer for the property.

Acquire Real Estate Investment Properties from Gallegos Enterprises

At Gallegos Enterprises, we work with lots of fellow investors and rehabbers, as we sell properties on a wholesale basis and get involved in a number of fix and flip ventures as well.

We also buy homes for cash and sell our properties to soon-to-be homeowners who are seeking a new home.

If you would like to sell your home for cash, please take a few minutes to complete our form. Or, alternatively, if you’re interested in acquiring one of our properties, simply complete the form on the property listing page. 

If you have questions for our real estate investing experts, contact Gallegos Enterprises, LLC at 602.753.8252.