Posted by Trish on June 06, 2006 at 13:37:36:
Nicole, I am still new at this also. Trying to do the wholesaling thing to. You cannot assign(wholesale) bank owned properties for sure. I believe that you will not be able to wholesale a property that is financing with FHA. FHA requires that the owner/occupent is buying it and the bank will not acknowledge the ‘and/or assigns’ on the contract. Please don’t just take my word for it though. Get more verification. And if you learn anything more about it, I would be greatly appreciative for some info also. Preforeclosures seems to be a way to get to some good equity properties also. But it is a lot of people work; which you may be able to do since you are a realtor.
Newbie - Posted by Nicole
Posted by Nicole on June 06, 2006 at 13:08:13:
Hello,
I have been a realtor for the past 2 years now, haven’t made much so I would like to get into wholesale properties, and just keep my licence for comps and tax records etc… This is my question I have found a lot of fixer upers on the market listed with agents some corp. owned and some not. Is it possible to wholesale these? I am not sure how it would work since it is listed, are they going to laugh at $10.00 for consideration? Most of the corp owned want proof of funds letter with offer.which, I wouldn’t have because I would just be the middle man per say. I would like any advice on how to approach this and if I am even going about about it the right way or not, any advice would be very helpful,
thank you.
Re: Newbie - Posted by Max-Va
Posted by Max-Va on June 07, 2006 at 02:36:46:
You have a rough situtation here.
Most properties listed with an agent are at retail prices, if not the agent is not doing their job. Getting an offer accepted at a 40-50% discount of listed price is very slim, the agent will kill the deal before it happens with their advise against accepting if it is even presented. Most agents use a contract that forbids assigning the contract and will not allow “and/or assigns” on an offer. As an agent yourself you will have to write this fact on the offer very promantly.
Proof of funds letter is easy to get from a HML
Why not find rehabers in your area and work the deal as an agent? If you find 2-3 busy rehabers that buy
2-4+ properties a month, and supply them with these properties, as a buyers agent, for a commission. You may do better than the 1K -5K assignment fee on a wholesale.