Real estate wholesaling has become a much-discussed way to create short-term profits in the real estate industry. From the many “how to make money by wholesaling” guides on finance blogs to popular social media posts on Instagram, it may seem like you are missing out on this incredible opportunity.
Ultimately, there is money to be made in real estate wholesaling. That being said, there are plenty of headwinds that make wholesaling much more challenging in the future. It isn’t impossible, but it has certainly become more difficult. As a seven-figure per-year wholesaler myself I am seeing these trends firsthand.
Because of this, I want to take some time to explain some of the future challenges that are emerging with real estate wholesaling. With these challenges in mind, you can better understand, and perhaps overcome, the challenges that await you.
The Many Headwinds of Real Estate Wholesaling
While there are many current and upcoming challenges with real estate wholesaling, there is one issue that is most prominent. That is the fact that the space is getting much more crowded.
Simply put, everybody is now trying to become a real estate wholesaler. There are plenty of reasons for this. The economic opportunities are certainly there. Wholesaling can be lucrative and you can make a good amount of money in a short period of time. Not only that, but you can get started with little cash and low credit.
It is partly for these reasons that there are significantly more people who are becoming real estate wholesalers. The barriers to entry are few. If you search for “real estate wholesaling” on websites like Google Trends, you can see that there has been a significant increase in interest from 2004 to today.
Another significant challenge is that the real estate wholesaling market size isn’t unlimited. While the trends may vary based on a particular city, simple numbers dictate that there are more real estate wholesalers and fewer potential homes to sell. Markets are getting saturated, which makes it more difficult to find sufficiently high-quality leads. While those leads are certainly out there, you and your peers will need to work much harder to find those leads. Everything from a robust search engine optimization (“SEO”) strategy to following-up with slightly interested clients is fair game.
Because the headwinds have gotten much more intense, there has been consistent interest in real estate wholesaling training. These training programs often contain flashy marketing material and promise that you can supercharge your real estate wholesaling business. The unfortunate news, however, is that these trainings are often extremely expensive. Their course content is outdated or not relevant to the current challenges and headwinds in real estate wholesaling.
To put it bluntly, many well-intentioned real estate wholesalers are throwing their money away in pointless trainings. Even though it may feel like they’re making progress, these wholesalers are staying stagnant. Arguably, they are taking one step forward and two steps back, as the money that they are investing in these trainings could instead be used to grow their businesses.
Ultimately, the real estate wholesaling world has significantly changed in the past few years. What used to be a massive opportunity with little competition has transformed into a much more saturated market. More competition and fewer high-quality leads don’t completely eliminate the opportunity. However, it’s important to be aware of these risks as you proceed on your real estate wholesaling adventure.
How I Can Help You
Having been in the real estate wholesaling world for many years, I have seen these shifts occur firsthand. While it is always difficult to predict the future, I think that the real estate wholesaling world will continue to be more challenging for the foreseeable future.
If you are looking for a way to accelerate your real estate wholesaling work, I encourage you to contact me or visit Ramon Wholesaling Sharks Unlike those other wholesaling “gurus” who try to enroll you in expensive training programs, I can help you find the quickest way to success without needing to pay ridiculous amounts of money.
To learn more about me and how I can help your real estate wholesaling business, you can check out my website or my Instagram page. I’m looking forward to work with you.