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Wealthy Way

Wholesaling vs Flipping vs Rentals: The Capital-Efficient Truth

Wealthy Way

Ryan Pineda

Entrepreneurship, Business

4.82.1K Ratings

🗓️ 20 December 2025

⏱️ 13 minutes

🧾️ Download transcript

Summary

Send us a text Everyone talks about rentals and flips but few talk about capital efficiency. In this episode, Ryan breaks down why wholesaling minimizes risk, avoids holding costs, and creates faster cash flow... especially in uncertain markets. If you’re trying to make money now instead of waiting 10–20 years, this conversation may completely change how you think about real estate. Learn how to invest in real estate with the Cashflow 2.0 System! Your business in a box with 1:1 coaching, mo...

Transcript

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0:00.0

I think wholesaling is a really interesting and a great move because it doesn't tie up capital. I love it, dude. Right. Just remind people what it is, why it is such an efficient use of capital. Yeah, I mean, we're talking about rentals right now. We're talking about, you know, multifamily, right? We've talked about house flips. All of them require capital. Yeah. And they all have risk. Big piles. Yeah. I mean, at the end of the day, a house slip could go south, like I said, and it just doesn't sell for what you think. It goes over budget, whatever. A rental can go south, a tenant wrecks it. It's vacant forever. You got to cover the monthly payment, even when nobody else is renting it. So like all these things happen that make it very risky, however you dice it.

0:41.3

But with wholesaling, man, I don't want to say there's no risk because there's risk with everything,

0:45.3

but like it's the least risky thing you can do in real estate.

0:49.9

Yeah.

0:50.2

And I think one of the things, again, people don't realize why I think it's a great move in 2025 is a half your competition is gone. They are. They are for sure gone. Pretenders are gone. And there will be more and more people that raise their hands, right? You and I know a guy named Adrian Hernandez. Yeah. Right? And he's telling me that he's getting more inbound calls now than he's gotten in three years.

1:11.4

Yeah. Right? Because some people have listed with an agent, didn't do this, didn't do this. And some people just need to sell. And that's why I think in 25, investors are going to win because we can, I'll call it transaction engineer a solution. Yeah. Right. It doesn't always have to be cash or alone it could be some other vehicles

1:27.7

novations and yeah other ways to help people and that's kind of like the path we went and um

1:32.6

you know for those who don't know what wholesaling is the one minute version is instead of you know

1:37.7

locking up a contract with a seller and then buying it yourself for a flip or rental you sell the

1:42.2

contract to another investor and they buy it and they just pay you a fee for connecting the dots. And the fee is just the difference between what they're willing to pay and what you have it under contract for. And so for me, when I look at that model, it's like, well, I don't have to come up with the capital. I don't take any construction risk. You also don't even take any market risk because you don't

2:01.3

actually buy the home. Right. So if the market shifts six months from now, four months,

2:05.7

it doesn't matter. You never owned it. You have no holding cost. So your only risk just becomes

2:10.6

marketing and spending money to get in front of sellers. And to me, the more I've thought about it,

2:16.8

the more I'm just like,

2:18.2

well, dude, if I could spend a thousand bucks a month, $2,000 a month, I mean, let's just take that same money and you would apply that to say, well, let's just even say a rental, right? You buy a rental for two, you know, your mortgage is $2,000 a month. I mean, you're investing two grand a month into it.

2:33.5

Sure. Whether you look at it that way or not,

2:35.6

right? And it's like, all right, well,

2:37.4

what's the upside? grand a month. I mean, you're investing two grand a month into it. Sure. Whether you look at it that way or not, right? And it's like, all right, well,

2:37.4

what's the upside? Okay, I'm going to make 200 bucks. Now, granted, over the next five years,

2:43.0

10 years, 20 years, you will make money. But if you're trying to make money today and quit your job

2:48.4

or there's no chunk money in rentals. There's no chunk money. No. It's long term. Right. So it's like, well, if somebody's just starting now and they need to make money, it's like, take the thousand, take the $2,000, invest into marketing, and you could legitimately make $10,000, $20,000 in chunk money right now. Yeah. Yeah, I think there's a lot of wisdom in that. And one of the things that I appreciate conversations with you is I've always looked at the world as an entrepreneur. Yep. And I believe you've always seen it as an entrepreneur. Yep. And, you know, employees, right or wrong, right? It's like, you know, I'm going to sell my hours and I'm going to get a relatively certain paycheck. Yeah. Right? And then we live our life on that paycheck. Entrepreneurs don't see it that way. And, you know, what I see is risky, you just see is like, that's the deal. Yeah. It's like, what do you mean risky? It's just, that's the deal. And you get, you know, all the potential upside from there.

3:55.8

Yeah. It's funny. I've been doing this workshop that, uh, has been really successful for not only the people who have attended it, but less financially doing it. Right. And, uh, we call it the cash flow 2.0 workshop. And, uh, we do it every month now. Oh, Anyone can go, it's virtual.

...

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