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Wholesale Properties 8 posts by 8 users

Joseph I.

Real Estate Investor

Posted: 10/04/2008 at 02:25PM

I have learned to focus on vacant, run down/distressed homes when wholesaling properties. Does this include REO properties/foreclosures as well? And if you can wholesale these properties, is the process the same as it would be dealing with the owner of a property?

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Jason C.

Real Estate Investor
Katy, Texas

501 posts

Posted: 10/05/2008 at 05:38PM

REO's are VERY hard to wholesale. There are people who do it. The process is not even close to what it would be dealing with distressed sellers.

Dealing with the banks and RE agents make wholesaling REO's very tedious. I don't do them.

Mike C.

Real Estate Investor
Waterbury, Connecticut

12 posts

Posted: 10/05/2008 at 07:40PM

Originally posted by Joseph Ilg

I have learned to focus on vacant, run down/distressed homes when wholesaling properties. Does this include REO properties/foreclosures as well? And if you can wholesale these properties, is the process the same as it would be dealing with the owner of a property?

Hi, What is a REO property? I am fairly new to RE business.

Jon H.

Real Estate Investor
Denver, Colorado

Moderator

3993 posts

Posted: 10/05/2008 at 09:03PM

Real Estate - Owned. A property that's been taken back by a bank. More correctly, OREO or Other Real Estate Owned, to distinguish it from property such as bank buildings and branch offices.

Andrew M.

Real Estate Coach
Tampa, Florida

102 posts

Posted: 10/14/2008 at 07:49AM

I don't do them, or teach them, either. I don't deal with lenders in any way, shape or form. You have to close, or double-close, when flipping REO's. If your buyer flakes out, you're left holding the bag. You leave the lender hanging, and they won't deal with you anymore.

But, with that being said, there are a bunch of people out there making a lot of money in this field. Similarly, you wouldn't catch me dead try to short sale a property. But, people are out there making good money doing this, also. It's just about preference.

Reverend C.

Real Estate Investor
Draper, Utah

20 posts

Posted: 10/14/2008 at 11:20AM

Originally posted by Jason Cummins

REO's are VERY hard to wholesale. There are people who do it. The process is not even close to what it would be dealing with distressed sellers.

Dealing with the banks and RE agents make wholesaling REO's very tedious. I don't do them.

First you need to stop working with the reo re agents that is no way to buy foreclosures, you just need to go to the servicer direct.

We go there direct to the servicer and pick up properties from $12,000.00 to $9,500.00 per property, so it is really not that hard to wholesale foreclosure properties we do it all day long.

Reverend Corey

crosswind_

Real Estate Investor
Ocala, Florida

55 posts

Posted: 10/15/2008 at 05:30AM

We market to properties that are in preforeclosure. In our marketing we have found that several of them are vacant. If we can get the homeowner to agree to allow us to buy through a short sale we move forward. We are finding in our area (Central Florida) that we are finding it easy to wholesale to either rehabbers or landlords looking for a deal. Hope that my experience in my area helps in any way. If I can be of help or if you are in need of more explaination let me know.

Debra B.

Real Estate Investor
Long Beach, California

3 posts

Posted: 10/22/2008 at 09:26PM

I do REO wholesales also, no problem. Just do cash deals no financing, but you better close.