I love wholesaling. I’ve been buying from and selling to wholesalers in Chicago for decades. We can kind of represent the best of the city: moving fast, always looking for a deal, filled with kind of a brash optimism. Of course, as with everything else, not all wholesalers are the same. And, not all ways of connecting deals between everyone are the same.
As with everything else, Chicago real estate is about finding the most efficient ways to get leads and then sell quickly. It’s all about who you know, how you know them, and how well they know the business. Building that network–and trust—takes some elbow grease, though.
Let me share some of your local options for finding Chicago real estate wholesalers to do business with—including the best one that I use all the time.
Understanding Wholesaling in Chicago
Even though most Chicagoans are loath to admit it, Chicago is in fact part of Illinois. And, as such, we’re all subject to the law passed by Governor Pritzker. From a surface reading, you will see that it says if you wholesale more than one house in Illinois in a 12-month period, you have to have a real estate broker’s license. That’s why, these days, it’s important to check with your attorney before making any deals with wholesale sellers and buyers.
Basically, there were too many people buying contracts and selling them without even letting the homeowner or even the investor-buyer know. They weren’t required to act with anyone’s best interest in mind other than their own. And, of course, this seemed like a low-risk way of doing business, so a lot of inexperienced people got involved.
What I like about the new law is that it tends to weed out the people with no business being in the business. It goes without saying, perhaps, that they are still out there, though. So, you will want to work with Chicago wholesalers who are running a stand-up business, not just some schmuck with a bandit sign who isn’t following an attorney’s advice. The challenge is finding them.
How People Find Chicago Real Estate Wholesalers
Before the law was passed, you basically could find wholesalers on any street corner. They had signs tied to light posts. For whatever reason, I always saw a bunch up and down Belmont, from the lake to Cicero. Don’t ask me why Belmont; I guess it’s a place with hidden real estate sharks. The point is, they were everywhere.
That’s not where you want to look for Chicago real estate wholesalers. There’s plenty of other options here in the Windy City—if you know where to go to connect. These all have their drawbacks as well, though.
There are a couple of different kinds of professional wholesaler groups. There are the types that pay professionals to buy and sell houses and there are the amateurs that pay to become “professionals” themselves. The first one is usually reputable, but expensive. The latter is cheaper, but you get what you pay for. They are clearinghouses to pump out licenses without paying for things like “training” or “oversight.” These have names like ChicagoWholesalersDepot and the like. Avoid them.
Wholesaler Facebook Groups
These were very popular back when Chicago real estate wholesaling was like the Wild West. You could search 100 different online groups and find 1,000 different houses. These still exist, and you can find good reputable wholesalers on there, but you are cutting through a lot of people who are either skirting the law or aren’t even sure what the law is. It’s a pretty risky process. For the same reasons why trying to find a deal on Chicago real estate Craigslist is a dead-end, finding the diamond in the rough on Facebook is an exercise in frustration.
These are better networks. These have some real professionals in them. It’s a good way to be connected to regular wholesalers, real professionals. But there are a lot of groups in Chicago, and finding the right people can take a lot of time.
Signs on the Highway
No joke, while looking around online, I saw a website that said you should put up “bandit signs… on ramps on 290 and 90/94.” Now, I’m sure these people are selling something. But, I rarely am getting off the Dan Ryan thinking, “That’s a good sign, I should give that person $80,000.”
A quick Google search turned up dozens of websites on which, for a small fee or a medium one, you could get connected to wholesalers selling true gems! I’ll be honest. I’ve never signed up for one of those. Maybe they’re great! But I’m guessing that everyone would be using them if they were. They might not be a pure scam, but lead lists are not a place where real, reliable wholesale professionals go to make a deal.
So, these aren’t really the best ways to do business. But, you can work with reputable, ethical, and highly-trained wholesalers. And, you also don’t have to rely on other wholesalers to get leads or sell your properties to investor-buyers. There are better ways.
A Better Option for Buying And Selling In Chicago
I’m a professional. I like being able to help out people who need to sell their homes. And I like working with professionals. I don’t like dealing with amateurs who think they can pull one over on me. Luckily, since becoming an independently owned and operated HomeVestors® franchisee, I never had to.
See, as a longtime HomeVestors® franchisee, I am used to being able to get qualified leads. We’re a nationally-recognized marketing campaign. In fact, I saw one of our “We Buy Ugly Houses®” billboards over the Dan Ryan today (it stood out a lot more than a bandit sign). People who are ready to sell should contact franchisees like me.
Not only that, but we also have a great network for wholesalers and other real estate professionals to post their wholesale properties. The proprietary DealVestors®™ network is like the best REIA in the city: I know that everyone selling property on there is trained, ethical, legal, and professional. It’s a vast network of connections I can have faith in. And when I want to sell, I have that network as well.
That’s big. Chicago is still a place where trust and personal connections go a long way. In a world of anonymous websites and cheap signs, being a HomeVestors® franchisee gives me a true connection for buying and selling. It gives me trust.
If you want to find the best ways to buy and sell Chicago real estate, contact HomeVestors® today. That’s a sign you can rely on.
Each franchise office is independently owned and operated.