1. What does b off-marketb mean?
Off-market refers to properties that are not actively listed on an MLS system. This includes For Sale By Owner (FSBO), wholesale deals and foreclosed properties being sold by banks and asset managers.
2. I have a contract for a property that is being sold via short sale. The bank required that the seller engage an agent to list it. Can I still wholesale this deal on Hoozip?
Yes. We understand that many banks will require a period of listing for shorts and REOb s. We still consider this an off-market deal, as it is not a traditional retail sale.
3. What is wholesaling?
A wholesaler is an investor who specializes in finding great deals. They spend most of their time (and money) on marketing to owners of distressed properties. These are typically owners of vacant or otherwise distressed homes. They will work short sales, estate sales etc. to get the properties under contract, at which time they present those deals to end buyers looking to fix and flip the properties or hold them as rentals. These wholesalers are on Hoozip looking to sell their contracts for those properties. If you have ever bought an option contract for stocks or commodities, wholesaling is very similar.
4. Can Hoozip help me evaluate a deal?
Yes. Hoozip has access to various public and private data that can help you determine fair market value for a given property. If you are posting a deal to the community, you have the option of letting Hoozip find comps for your subject property. If you are a subscriber you also have the ability to use our research tools to perform analysis on your own properties, even if they are not for sale on Hoozip. Just click the Research tab.
5. How is my power rating determined?
User power ratings are determined by an algorithm that looks at (i) the quality of the deals a user posts as well as (ii) feedback from users they have interacted with. Deal b qualityb is a function of how well supported your ARV figures are. Providing comps goes a long way in showing the system that you stand by your estimate. User feedback is just that. People who interact with you on the system have the option to rate you on a 5 star scale. So keep your word and do good business. The higher your power rating the more Hoozip will feature your deals. Consistently high power rating will also earn you rewards to help you grow your business (lead lists, free reports and more.)
*If you are strictly a buyer then your rating will be determined solely by user feedback.
6. Is it possible to be a part of more than one Hoozip region?
Yes! When you first enter the community youb ll be asked to choose a region (we currently operate in NYC/North NJ and the Washington DC metroplex). The system will default to this region on subsequent visits. But you always have the option to view inventory in another region. Just select the region dropdown. You can favorite deals in both regions and access them all from your dashboard.
7. I have deals Ib d like to wholesale from another region outside of NYC/NJ or the DC area. Can I post those deals on Hoozip?
Not at this time. The reason that our users like Hoozip so much is that we are active investors in these two regions. Because we know these markets so well, we were able to build certain features into the system that are specific to these areas. The analytics and the due diligence data we provide are tailored for these regions. Web re also in regular contact with many of the developers and lenders in the area so we know how to source deals there. We will be expanding to other regions soon, but not until we have developed sufficient expertise (or brought on partners with that expertise) to ensure that our users have an exceptional experience in those regions.
8. What does the name b Hoozipb mean?
Thatb s a long story. But the short version is that the principals are both proud alums of the University of Virginia, whose unofficial mascot is the Wahoo or b Hoob for short. When the idea for Hoozip was hatched, we talked a lot about helping our users develop expertise b down to the zip codeb . You get where this is going...
9. The Hoozip research report shows me info about liens and judgments. Can I use this instead of a title report?
No. The research reports that Hoozip provides are intended to help you streamline your due diligence effort. We scour millions of public and private records to help you get a quick picture of the status of a property. But this is not a suitable replacement for a title report. Before closing on any transaction you should work with your attorney or a title company to ensure that the property has clean title.
10. What does it mean if a property shows that it is b Hoozip Certifiedb ?
Hoozip certification means that the seller or wholesaler has gone beyond just providing comps and has asked us to engage a licensed realtor with expertise in the local market to perform a broker price opinion or b BPOb . Certification means they are confident enough in their ARV estimates to have it verified via an in-person assessment by a professional. We consider these to be the most attractive deals and a sign of seriousness on the part of the wholesaler. We regularly feature certified deals and promote them to our buyers.
11. I opted to get my deal certified, but the BPO came in lower than my ARV estimate. Can I still get the certification?
No. The idea behind certification is to give buyers confidence in the potential value of a deal. BPOb s must be within 5% of your ARV estimate in order to qualify for Hoozip certification.
Example: If your ARV estimate is $500,000 and the report shows a value range of $450k - $475k the property meets our criteria (95% of $500k = $475k). If the upper range were any lower you would not be eligible for certification.
12. Can Hoozip help me finance a deal I find on the system?
Yes. Hoozip has relationships with many of the largest commercial and hard money lenders in the area. For qualifying deals, we can help you secure funding.
13. What is the b Invite Onlyb feature and why is that better than just doing an email blast on my own?
The Invite Only feature is intended to give wholesalers the ability to manage the exposure of their deal. Because there are sometimes sensitive relationships that have to be managed when securing and marketing a deal, we felt it was critical to let wholesalers determine when a deal should be exclusive to a predetermined set of buyers. The difference between an email blast and stealth publishing via Invite Only is that you still have the ability to leverage our network. For example, if you see a buyer on the system whose profile indicates youb d like to do business with them, add them to your invite list. And you always have the option to switch from a stealth publishing to make the deal visible to all our members, with a single click.
In addition, when your buyers receive the deal on Hoozip they can immediately begin to analyze it right here on the system. They donb t have to open your email and then open a separate program to run their numbers.
14. I tried to post a deal and the system told me that the deal was already published. How is that possible?
There are two scenarios in which this can happen. The first happens when there is a simple miscommunication between members of your team and unbeknownst to you, a colleague has already posted the deal for you. Contact Support and we will resolve.
The second is more pesky. Unfortunately, there are occasions when people who are not principals in a transaction try to market that deal without knowledge of the principals. They will pad the wholesale fee to the end buyer so that they can get paid from the deal. These situations are often referred to as b daisy-chainsb , with hangers on adding themselves to the transaction without having a marketable interest in the deal. Hoozip has safeguards built into the system to prevent daisy-chains. If a user attempts to post a deal for a property that is already in our system, we will flag the address and notify the original deal maker. We will then conduct a review to discover who has the marketable interest in the subject property. Only that person will be allowed to post the deal for the subject property.
15. I have a flex option on a property that someone else has under contract. Can I post the deal on Hoozip?
Hoozip does not recognize flex options. Any side letters or alternate marketing arrangements you have with the deal owner are between you and that person. Regardless of what arrangements you may have with a deal owner, Hoozip will always give priority to the principal (the person who has the property UC).
Example: Letb s say you learn of a wholesale deal in your market, and negotiate a flex option with the principal who has the property UC. Youb re aware of the cash buyer pool on Hoozip and you decide to market the deal here in the community. The principal, subsequent to signing your flex option learns about Hoozip and decides to post the deal there himself. If he tries to publish it, the deal will be flagged since no address can be published simultaneously by different users. If our review determines that the second dealmaker is actually the principal in the transaction, and that they wish to post the deal to Hoozip buyers, we are required to honor their request.
16. I think someone who saw my wholesale deal on Hoozip tried to go around me to buy direct from the seller. What do I do?
Contact us immediately. We recognize and appreciate the hard work that professional wholesalers put into researching and securing their deals. If we discover that anyone has attempted to go around the wholesaler, that user will be removed from the community and banned permanently.
17. I recently purchased a Premium research report. When logged back in to view it, the system asked me if I wanted to run the report again. Why is that?
We scour millions of public and private records to compile the data thatb s presented in a Premium report. Our databases are updated daily. In order to ensure you have the most up to date information, anytime you access your reports after the first 24 hours, you will be asked if you want to refresh the data. Refreshes are discounted to $XX. You can always access the original report you ran.