How do you find cash buyers?
Find investors who have bought nearby recently using public purchase records, then reach them directly. Real estate investor meetups, online investor groups, other wholesalers, hard-money lenders and your own past buyers are also good sources.
Look for people who have bought several properties in the last year in the area and price range of your deal. A buyer who has purchased three similar homes this year is more likely to buy yours than a newcomer.
Ask what they buy before you send deals: areas, prices, property types, repair level and how they pay.
Common mistakes
- Building a list of people who say they buy but have never closed. Look for recent cash purchases in county records.
- Sending every deal to every buyer instead of matching price range, area and property type.
- Holding back the numbers and photos buyers need to decide, which slows them down and costs you the deal.
- Taking one buyer’s word without proof of funds or earnest money, then losing the closing date.
More questions
How do I know a buyer is real?
Look for recent purchases in public records and ask for proof of funds. A buyer who has closed several similar deals recently is the strongest signal.
Should I charge buyers a deposit?
Many wholesalers take a deposit when a buyer signs the assignment, to show commitment. The amount and refund terms belong in the assignment agreement.
How many buyers do I need?
A handful of active buyers who close in your area is worth more than a long list. Add to it steadily as you see who buys.