How to Wholesale Real Estate in Oregon (2024 Updated)

Embark on a journey of wholesaling houses in Oregon with this all-encompassing article that provides essential information.

We will explore the types of required agreements, successful marketing tactics, and a wide range of additional tools crafted specifically to jumpstart your Oregon real estate wholesaling business.

Keep reading to gain valuable knowledge about how to begin and thrive in the world of real estate wholesaling in Oregon.

As aspiring real estate investors enter the industry, their primary focus often shifts to the legality of engaging in real estate wholesaling activities in Oregon.

The most frequently asked question is whether it is legal to wholesale real estate in Oregon. Rest assured, the response to this commonly raised concern is an unequivocal and comforting yes.

To ensure the legitimacy of your business, it is crucial to fully grasp the potential risks of wholesaling real estate and acquire a comprehensive knowledge of the Oregon real estate wholesaling laws.

One notable risk associated with real estate wholesaling is the potential consequences of using improper language when marketing contracts to prospective buyers.

It is essential to highlight that advertising a property in Oregon is limited to homeowners or licensed Oregon real estate agents, while a wholesaler focuses exclusively on promoting contractual rights and obligations.

In addition, we strongly recommend enlisting the expertise of the best Oregon real estate attorneys who can evaluate and potentially develop templates for a purchase agreement and assignment contract on your behalf.

For a better understanding of the applicable regulations in Oregon, we recommend examining the rules and regulations provided by the Oregon Real Estate Agency.

These methods are commonly employed in Oregon for conducting real estate wholesale transactions:

1. Contract assignment
2. Double closing

We are going to cover each of these methods further.

It is also worth mentioning that being a resident of Oregon is not obligatory for participating in real estate wholesaling activities within the state.

In today’s era of advanced technology, it is entirely possible to carry out the entire real estate wholesaling process remotely by utilizing digital tools and platforms from the comfort of your own home.

Contract Assignment

When new investors set out to understand how to wholesale houses in Oregon, they often begin by exploring the contract assignment strategy.

Here is a step-by-step explanation of how it operates.

First, you need to obtain a purchase contract that is signed by both yourself and the motivated seller, establishing the perception that you are the intended buyer.

However, it is crucial to emphasize that you have no obligation to proceed with the actual purchase of the property.

Included in the contract is a specific clause that empowers you to transfer it to a third party, who will serve as your final buyer.

Once you have identified an end buyer and after getting the house under contract, the next step involves coordinating the signing of an assignment contract by both the seller and the end buyer.

Consequently, you will transfer the right to purchase the property to the investor who has the intention of acquiring the house.

For having the contract assigned to them, the investor will provide you with an assignment fee, which is your real estate wholesaling revenue.

By adhering to this strategy, you can bypass the necessity of having the funds to personally acquire the home.

Generally, a refundable earnest money deposit of approximately $1k to $2k is required to participate in a wholesale transaction by using this approach.

Double Closing

To gain a comprehensive understanding of everything you need to know about wholesaling real estate, it is essential to acknowledge the significance of mastering the double closing method, even though the contract assignment strategy is more commonly preferred.

The double closing approach involves carrying out two separate closing transactions: one with the seller and another with the end buyer.

In scenarios where a wholesaler foresees a significant assignment fee and desires to maintain confidentiality regarding their profits from both the seller and the end buyer, the double closing strategy is frequently utilized.

It is necessary to carefully consider the pros and cons of real estate wholesaling with this method.

The double closing strategy provides the benefit of preserving the confidentiality of your profits, as there is no requirement to disclose them to either party.

However, the downside is that if you do not have sufficient funds, you will need to secure transactional funding to facilitate the closing process.

Obtaining this funding can be accomplished through the best Oregon hard money lenders.

Establishing a partnership with a reputable title company that possesses a comprehensive understanding of double closings and can effectively facilitate them is of utmost significance.

At the forefront of your comprehensive Oregon real estate wholesaling checklist, it is essential to prioritize finding a wholesale-friendly title company.

Virtual Wholesaling

Regardless of where you are located, engaging in virtual wholesaling in Oregon is entirely possible.

As you won’t be physically present at the property, it is vital to have a thorough grasp of the entire process of wholesaling real estate step-by-step before undertaking the endeavor of remotely managing it.

Before finalizing your first property under contract, it is essential to actively participate in extensive networking to build valuable connections within the industry.

Forming partnerships with Oregon investor-friendly real estate agents can prove to be highly advantageous, especially when it comes to effectively managing communication between yourself, the buyer, and the seller.

Before commencing the wholesaling process, it is crucial to identify and establish relationships with two key vendors:

1. A reliable contractor or home inspector in Oregon who can provide accurate rehab cost estimates for the properties you have under contract. This will enable you to effectively analyze real estate deals. Make sure to incorporate an inspection contingency clause in your contract, allowing the contractor to assess the property and provide an accurate estimate before proceeding.
2. Look for an Oregon wholesale-friendly title company that has a reputation for supporting wholesalers and efficiently handling virtual closings.

To ensure smooth virtual wholesaling operations, it is crucial to employ electronic signature software, such as Dotloop, for signing documents throughout the entire closing process.

To succeed in the field of Oregon real estate wholesaling, it is vital to gain a deep understanding of how to find properties to wholesale that you can offer at favorable prices to an investor.

These properties are frequently obtained from motivated sellers who are willing to offer their houses at a discounted rate.

There are different types of motivated sellers, each with their own unique circumstances.

These sellers often find themselves in need of quick cash and face limitations in terms of time and finances to undertake property repairs or address legal issues associated with it, hindering their ability to sell through traditional channels.

Now, let’s delve into three different approaches you can utilize to find distressed real estate.

#1 Buy Oregon Distressed Seller Leads

One convenient method is to purchase leads from companies that focus on finding motivated home seller leads.

These companies generate leads by advertising cash house buying service to property owners who need to sell their houses fast and for cash. Then they sell these leads to investors and wholesalers.

As a payment model, they either require a per-lead fee, or offer a monthly or annual subscription package.

Some real estate wholesaling tools also offer the capability to purchase leads as part of their plans.

Although you can never have a 100% conversion rate with any leads, it is common to encounter variations in lead quality among different companies.

To ensure the best results, it is important to choose a reputable company with a proven track record of generating high-quality leads.

Real Estate Bees provides a specialized lead marketplace that allows you to purchase high-quality leads specifically tailored for wholesaling or buying investment properties.

You can explore this curated list of the top lead generation services for real estate wholesalers to evaluate various providers offering leads.

#2 Hire an Agency to Do Marketing for You

An alternative option is to delegate tasks such as wholesale real estate lead generation and other marketing responsibilities to an agency specializing in real estate investor marketing.

Using digital marketing agencies allows for the creation of a customized plan tailored to your budget, while they handle the management of your campaigns, freeing up your time to focus on other crucial aspects of your business.

Typically, agencies will require wholesalers to pay a monthly retainer for their services. But some services, like website design, can be paid on a per-project basis.

Digital marketing agencies offer a wide range of services that encompass:

• Real estate website design
• Blog writing and other web content creation
• PPC services for real estate investors
• Implementing real estate investing SEO (search engines optimization)
• Managing social media marketing campaigns for real estate businesses
• Branding
• Public relations (PR)

Some strategies provide quicker results than others. At the same time, a strategy that works slower, like SEO, can provide you with other benefits.

Once established, an SEO-optimized website can become a valuable asset that generates leads automatically with minimal ongoing management.

Note also that just like lead providers, digital marketing agencies can be unscrupulous, failing to deliver services as advertised.

If you are leaning towards hiring an agency, you have to be able to sift through an overwhelming sea of bad companies to find one that will serve you as advertised.

But since you are our reader, our team has already done all the heavy lifting for you. We’ve polled and surveyed thousands of our real estate wholesaler members and the overwhelming majority recommended Magnyfi, run by Jacob Hicks.

The service provided by Magnyfi is not cheap. But it is definitely worth it if you are serious about growing your real estate wholesaling business.

Go ahead and watch Jacob’s video presentation on the Magnyfi profile page discussing their methodical process they have been using to successfully help other investors grow their businesses.

#3 Do Your Own Marketing by Yourself

If you want to start your business with minimum marketing expenses, it is essential to be proactive and take on the responsibility of executing the marketing tasks yourself.

To kickstart this process, the first crucial requirement is to have a professionally designed real estate investor website that generates motivated seller leads on autopilot.

When choosing a website solution, it is vital to opt for a platform that enables you to create a user-friendly and search-engine-optimized resource.

Your website attracts leads from web search as well as serves the final destination for leads coming from digital and offline advertising channels.

Not only do motivated sellers learn about your company on your website, but they also leave their contact details and information about their property via the contact form.

To ensure that your real estate investor website stands out, take the time to research and select one of the best website builders for real estate investors.

In addition to online methods, there are several offline strategies you can employ to find motivated sellers, such as searching through public records, using bandit signs, driving for dollars, networking with other real estate professionals, sending out real estate wholesaling postcards, and more.

To find real estate investors every time you get Oregon wholesale properties under contract, use a local cash buyer list.

Your under-contract properties can attract diverse types of real estate investors, including but not limited to:

1. Hedge funds
2. Real estate investment firms
3. Individual investors

Given that cash buyers vary in their preferences and criteria for purchasing, creating individual lists for each buyer type is an excellent strategy to encompass all possibilities comprehensively.

Accessing these cash buyers can be achieved by implementing the following wholesale real estate deal marketing strategies.

Below are two ways you can get access to a cash buyers list.

Build Your Own Cash Buyers List

To create a robust list of Oregon real estate cash buyers, it is crucial to initiate the process of networking as early as possible, as building such a list takes time.

Joining multiple virtual real estate networking groups is highly recommended. These groups are frequently active on platforms like Facebook and conduct virtual and real-life meetings that you can actively participate in.

Also, communicate with reputable vendors in Oregon who specialize in serving real estate investors.

Examples include contractors repairing homes for investors and Oregon lenders whom Oregon real estate investors use to fund their deals.

Building a cash buyers list doesn’t happen overnight. It’s a continuous process. Fortunately, it can be significantly sped up by Real Estate Bees’ revolutionary invention — Property Marketplace Widget for Wholesalers.

It basically allows you to build your own cash buyers list on autopilot, and it’s the only online tool of this kind on the market.

What’s even more powerful is that this tool lets you syndicate your contracted properties directly to Real Estate Bees’ massive marketplace of wholesale deals for sale in Oregon and instantly reach thousands of potential buyers!

Leverage Other People’s Cash Buyers Lists

A list of companies that buy houses in Oregon takes a long time to build. While starting your business, you may not have one yet.

An alternative strategy is to utilize pre-existing cash buyers lists curated by others.

While choosing this path can expedite your business development, it’s crucial to acknowledge that list owners commonly request a percentage of your assignment fee, potentially reaching as high as 50%.

Countless successful Oregon real estate wholesalers and other real estate experts have dedicated years to nurturing relationships with investors, and they will surely want to be compensated for sharing their own lists.

If you want to avoid giving away half of your profits while using someone else’s cash buyers list, you can use a robust property syndication tool developed by Real Estate Bees to help wholesalers with the disposition.

The tool lets wholesalers leverage Real Estate Bees’ extensive list of Oregon cash home buyers to blast their contracted properties for free.

To take advantage of this cutting-edge functionality, create your free account and list your contracted properties.

Contract Assignment

For wholesaling houses in Oregon, the main documents are a contract to purchase real estate and an assignment contract.

To solidify the agreement, both you and the seller affix your signatures to the initial purchase contract, which says that you are the buyer and specifies the details of your deal.

Upon discovering your prospective end buyer, the next step involves obtaining signatures from both the seller and the buyer on an assignment contract.

By presenting this contract, you transparently convey that the investor is the one who is purchasing the house instead of you, thereby maintaining integrity in your dealings.

To proceed with the closing process, the title company will require copies of both contracts.

Double Closing

Wholesalers often opt for double closings to keep the seller and end buyer unaware of their exact profit in the transaction, as we have previously discussed.

To complete the closing process, you must provide the title company with two contracts as follows:

• A contract for the purchase of real estate — for you to buy the house.
• A contract for the purchase of real estate — for you to resell the house.

In case you do not have enough cash to cover the full price of the property, you must acquire transactional funding.

Transactional funding is a type of loan that is usually available for a short period, usually 24-48 hours.

This loan is designed to help you complete the purchase with the seller first, and then proceed to close the deal with the end buyer.

Wholesaling can be practiced even without an active Oregon real estate license. However, if you choose to practice wholesaling with a real estate license, it can make things safer and provide additional opportunities.

Being licensed, you have the authority to market property both as a real estate agent and as a wholesaler.

So if it happens that you can’t wholesale it, you can still have it sold the traditional way and make an agent commission.

Also, being licensed provides you with wider marketing opportunities as now you can legally advertise the property you don’t own publicly — on social media, real estate listing websites, etc.

Joining an Oregon real estate brokerage is a prerequisite for obtaining a license as a real estate agent.

Ensure that you schedule interviews with various brokerages and select one that is supportive of wholesaling, as numerous brokers prefer their agents to refrain from engaging in wholesaling activities.

If you are interested in obtaining a real estate license in Oregon, we encourage you to explore our informative guide on how to get a real estate license in Oregon.

In the realm of real estate wholesaling in Oregon, there is no specific age prerequisite.

However, it’s important to note that in the United States, the minimum age to enter into legally binding contracts is 18.

As a result, if you are under 18, title companies will be unable to serve you, and your contracts with sellers will not have legal power.

If you are below that age, you have the option to collaborate with another individual who can sign contracts on your behalf.

In Oregon, having an LLC is not a requirement for engaging in legal real estate wholesaling.

Nevertheless, it is important to consider that selecting the appropriate business entity can offer additional safeguards for your enterprise.

In the realm of real estate asset protection strategies, incorporating an LLC or another suitable type of corporation plays a crucial role.

By operating as an LLC rather than an individual, you become eligible for business loans.

Additionally, choosing to conduct business under an LLC provides you with tax advantages that you would not be able to access if you were operating under your name.

Establishing your business as an LLC will enhance its professional image and elevate your reputation and influence within the Oregon real estate investing community.

Moreover, being recognized as an LLC instills a sense of trustworthiness in the eyes of home sellers, further solidifying your standing as a credible investor.

Due to its cost-effectiveness, wholesaling serves as the preferred choice for numerous investors when commencing their real estate journey.

Although it is necessary to allocate a portion of your budget towards marketing to connect with distressed sellers and end buyers, as mentioned earlier, various methods are available to minimize these expenses.

To proceed with wholesaling, it is important to note that an earnest money deposit ranging from $1,000 to $2,000 is required.

Furthermore, in the case of planning a double closing (unless you have ample cash reserves), it becomes imperative to secure transactional funding.

The advantage of transactional funding is that it is a short-term loan, meaning that eligibility does not depend on factors such as a high credit score or employment history.

When searching for the most suitable transactional funding in Oregon, make use of the request financing form provided by Real Estate Bees.

With this user-friendly tool at your disposal, you can effortlessly acquire quotes and compare rates from various lenders in a matter of clicks.

The potential profit in Oregon’s real estate wholesaling is directly linked to the number of deals you close per period of time.

To provide you with an approximate notion, a typical property within its community, valued at $150,000, often entails an average assignment fee ranging from $10,000 to $15,000.

However, the subsequent outcomes are contingent upon the speed at which you can expand and develop your business.

To assess the potential of the real estate wholesaling market in Oregon, it is crucial to consider the particular city or neighborhood where you plan to operate.

However, for a broader perspective, you can analyze the prevailing trends within the Oregon real estate investing market.

Here are the top ten cities in Oregon that offer good opportunities for wholesaling real estate.

View their local real estate investment statistics to analyze their potential for your wholesaling business.

1. Portland OR
2. Eugene OR
3. Salem OR
4. Bend OR
5. Medford OR
6. Hillsboro OR
7. Beaverton OR
8. Corvallis OR
9. Gresham OR
10. Grants Pass OR

We have covered the fundamental concepts of wholesaling real estate in Oregon. However, it is crucial to get deeper knowledge before fully diving into this field.

Below are the top-notch strategies for gaining comprehensive insights into how to become a real estate wholesaler.

Courses

Passionate individuals who have achieved success as wholesalers are dedicated to educating and assisting others in attaining financial independence.

Their extensive knowledge empowers them to create comprehensive educational programs.

Unfortunately, the industry is also plagued by numerous fraudulent individuals who seek to take advantage of newbies.

To ensure you enroll in the most valuable and authentic courses, it is recommended to refer to Real Estate Bees’ curated compilation of the best real estate wholesaling classes.

Mentors

For comprehensive and personalized guidance, we strongly urge you to consider enlisting the services of a real estate wholesaling mentor.

Their step-by-step support is invaluable in avoiding costly errors and maintaining a focused and strategic approach.

To find the most exceptional mentors or coaches in the field of real estate investment, we recommend exploring the list of the best Oregon real estate investment mentors or coaches.

Collaborating with one of these esteemed professionals will enable you to develop a well-defined business plan, establish attainable objectives, and make informed decisions regarding your marketing strategies.

Books

Expanding your knowledge of the real estate wholesaling business through books is an inexpensive and highly beneficial approach.

To explore a wide range of recommended resources, we encourage you to browse through this curated compilation of the best books on wholesaling real estate.

Investor Clubs

If you’re looking to learn from experienced members who possess real-world expertise, there are numerous local investor clubs available throughout Oregon that you can become a part of.

Refer to Real Estate Bees’ list of real estate investor clubs in Oregon.

Within these clubs, you may find a wealth of seasoned investors who are genuinely dedicated to supporting the members of your local real estate investor community.

By connecting with them, you can receive insights on local market trends and ways to run your business in accordance with the local laws.

Moreover, attending these clubs serves as an effective means to find cash buyers for wholesaling real estate.

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About the Author

With over 20+ years of experience in real estate investment and renovation, Brian Robbins brings extensive knowledge and innovative solutions to the HouseCashin team. Over the years Brian has been involved in over 300 transactions of income producing properties across the US. Along with his passion for real estate, Brian brings with him a deep understanding of real estate risks and financing.