If you're a wholesaler, you can use DealCheck's wholesale analysis tools to calculate the closing costs and total profit of every wholesale transaction, figure out your maximum allowable offers to sellers, and create marketing reports for your buyers and investors.
This tutorial will show you how to analyze wholesale deals with DealCheck in just a few minutes.
Adding a New Property
Step 1: Click the "Add Property" Button from the Property List
Navigate to the wholesale list and click the Add Property button at the top right:
Step 2: Select the "Enter Manually" Option
Our software allows you to import property data from public records or copy an existing property, but in this tutorial, we'll add the property manually and explain all of the parameters you can customize along the way.
Select the Enter Manually option to launch the step-by-step wizard:
Tip: You can save a lot of time by customizing your property templates and using one of them when adding new properties. Read this help article to learn how to do this.
Step 3: Fill in the Property Description
The first step is to enter basic details about the property, including a name, property type and address. All of the fields here are optional, so you can fill in as many details as you want.
Here are the most important fields to fill in:
Name: this will be the name of the property used throughout our app. Some people simply use the property's address, while others like more creative names, like "3/1 SFR in South Park, Extensive Rehab".
Tags & Labels: you can add custom tags and labels to this property to help you categorize it, track its status and quickly find it later.
Address: enter the address of the property to view it on the map, look up sales & rental comps, as well as to access its public records later.
Property Type: select the type of the property from the available options. This field is important, as it will enable or disable other fields based on your selection.
Description: enter any of the basic home facts that you know about this property, including bedrooms, bathrooms, square footage, year built, parking, etc.
Click the Next Section button at the bottom of the page to continue:
Step 4: Fill in the Wholesale Purchase Information
The next section describes the property purchase from your wholesaler's perspective, as well as from the perspective of the investor.
First, customize the following fields under the Wholesale Purchase section:
Purchase Price: the amount you're paying to purchase this property from the seller.
Closing Costs: these are all closing costs and fees that you will have as the wholesaler. You may or may not have these, depending on whether you're assigning the contract to the investor or performing a double-close with the seller and the investor. You can enter a total amount as a percentage of the purchase price, or click the Itemize button and enter a detailed list of each closing cost separately.
Investor Strategy: select the strategy that will most likely be used by your investors when they purchase this property - rental, BRRRR or flip. This will help you target specific investors and create more relevant marketing reports for them. You will be able to change the investor strategy later, or create multiple versions of the same property targeting different investor types.
The remaining sections of the new property wizard should be filled out from the investor's perspective, to help your buyers and investors see how the deal will look for them.
Steps 5-7: Fill in the Remaining Property Wizard Tabs
Depending on the type of investor strategy you selected earlier (rental, BRRRR or flip), the next three tabs of the new property wizard will be slightly different.
Go through them and fill in as much information as you have about the property's purchase, rehab, financing and other information from the investor's perspective:
If you need any help, or have questions about a specific field, see these help articles for more information:
When finished, click the Save Property button at the bottom of the last page to add this property to your account:
Viewing the Property's Wholesale Analysis
Now that you've added this property, you can view a full breakdown of the wholesale and investor analysis for it on the Property Analysis page:
Tip: Hover over the question mark icon next to any metric to view its description and calculation formula.
The Wholesale Analysis section will show you the calculated closing costs and total profit you will get from this transaction as the wholesaler.
If you need to edit any of the parameters of this deal later, go to the Purchase Worksheet page from the property menu on the left side:
Calculating Your Maximum Allowable Offer
You can use the Offer Calculator to help you figure out the maximum price you can offer to the seller, as well as the price you can then offer the property for to your investors to satisfy both your desired profit, as well as the investors' criteria.
You can access the Offer Calculator from the property menu on the left side:
Tip: Read this help article to learn how to use the Offer Calculator in detail.
Viewing Investor Analysis & Creating Reports
The Investor Analysis section of the Property Analysis page will show how this deal will look from the investor's perspective, including their purchase and rehab information, financing and investment returns:
You can create and share professional marketing reports that include all of this information for your buyers or investors by going to the Reports & Sharing page for this property from the menu on the left side:
Tip: Read this help article to learn more about creating and sharing reports.
Once you've added a new wholesale deal, it will remain in your account and you can come back to it at any time from the property list:
Here are some other things you can do with this property:
View Recent Sales Comps: view a list and a map of recent comparable sales to help you estimate the ARV of this property
View Recent Rental Comps (Rental & BRRRR Strategies): view a list and a map of comparable rental listings to help you estimate the potential rent of this property
View Public Records & Active Listings: view up-to-date property and listing information to help you do research and watch for price changes
Look Up Its Property Owner: view the name(s) and contact information of the current owner(s) of this property
Check This Property Against Your Criteria: customize your target investment criteria and see if this property meets it
Analyze Alternative Strategies: quickly copy this property to analyze different acquisition or investor strategies
Compare This Property With Others: compare this property side-by-side with other potential wholesale properties to help you find the best deals