Why I love Wholesaling Real Estate Part 2
Posted by ericmedem | Posted in Wholesaling Real Estate | Posted on -05-2008
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As a realtor who loves wholesaling real estate, I cannot stress the importance enough to have full disclosure to all parties both buyers and sellers, you also need to be sure to get the disclosure in writing as I am sure you all know.
The beauty of real estate wholesaling is that it can be done for any price property if you get a proper buyers list in place. I had spent years locating properties for other investors and then taking my commission and walking. I was selling to the same guys everytime, so there was great money and little effort. Today I locate properties that I know my buyers will like, and instead of going through the hassle of calling them, and trying to get them out to the properties, I put them under contract myself, and then do a new contract with them.
The eisiest way to wholesale from a risk standpoint is to assign contracts, the problem is many banks wont allow you to assign contracts, so to get around that you can either do a back to back closing, or add the customer on to the aggreement, and then deed yourself off after closing.
I know to most of you $22k for a home (refering to part 1) seems like nothing. It is far below typical price in my market as well. The home just needed alot of work. Many people would have rehabbed and made a slower dime rather than my quick nickel. I have other investors that done the same thing on $500k homes, for example one of the gentlemen that i work with Put a home under contract for $350k and then sold it to a buyer that was already in place 2 days later for $500k on a 6 month lease option with 80k down. He made over $150k for locating and holding a property for 6 months. That really isnt that bad of money!
I will be continuing to ad to “Why I love Real Estate Wholesaling“
Eric Medemar specializes in Wholesaling real estate, flipping real estate, and investment properties including Grand Rapids Foreclosures, Grand Rapids Rental Property, and Grand Rapids HUD homes.
