Foreclosure wholesale deals?

10 Replies

Hey Guys!

Any wholesalers have luck with foreclosures? I need some input. Im thinking about going after the foreclosure market. 

@Dominique Poindexter , why?!?! Do you have cash to put down for the non-refundable EMD you will have to put down, once you sign a contract? Do you have a title company to do a double close? Do you have a buyer's list that you can close quickly, before your EMD goes hard?

Unless you have a well oiled system, this avenue may not be the best for you at this time.

Hi @Dominique Poindexter , - You can easily complete wholesale real estate deals with little/no money by creating your own “options” transactions. That means: 1. find a property that meets your criteria, 2. negotiate price with seller and enter into an “options” contract, 3. Re-market and SELL property, and 4. Pay seller AFTER you get paid and make a profit!

We do this with land and with deals under 5K I don’t use a title company. (No “double escrow” needed but that works for the bigger ones.) One deal I negotiated to buy for $3k and sold the same week for $9k.

I have a number of those transactions happening all the time. Super easy to complete. Hardest part is reaching the sellers at the “right” time but the more people you reach out to the easier it is.  Make sense?

Originally posted by @Account Closed :

Hi @Dominique Poindexter , - You can easily complete wholesale real estate deals with little/no money by creating your own “options” transactions. That means: 1. find a property that meets your criteria, 2. negotiate price with seller and enter into an “options” contract, 3. Re-market and SELL property, and 4. Pay seller AFTER you get paid and make a profit!

We do this with land and with deals under 5K I don’t use a title company. (No “double escrow” needed but that works for the bigger ones.) One deal I negotiated to buy for $3k and sold the same week for $9k.

I have a number of those transactions happening all the time. Super easy to complete. Hardest part is reaching the sellers at the “right” time but the more people you reach out to the easier it is.  Make sense?

 And how often do you do that with a foreclosure, which requires dealing with a bank or servicing company and their lawyers?

Originally posted by @Account Closed :

@Richard C. never, don't need to!

 Then how is your post responsive to the question, which was specifically about foreclosures?

@James Green Illnois doesnt support double closings anymore. My attorney does have a title company to close at. and as far as the EMD the end buyer will provide. My question was geared more toward if any wholesalers deal with foreclosures that haven't hit the MLS yet. a seller knows when their house is going under. If I can catch that seller before the bank does is what I would be looking for. thanks for the input even though it seemed a little condescending.

@Account Closed thanks for the feed back! Ive put options in my contract before, and I am hoping to do another creative deal soon! your feed back was valuable none the less! 

@Account Closed   how does buying western high desert land relate to Illinois foreclosures..

land game is an old game.. I know your just phishing here..

@Jay Hinrichs , Frankly and finally to you.   Regarding @Dominique Poindexter asking a question directly to "wholesalers", which I responded with what I feel may be helpful information.

@Dominique Poindexter I didn't mean for my response to come off condescending. This question had been asked before by a new wholesaler that thought wholesaling foreclosures was an "easier" deal to do. They were looking at a guru program about wholesaling MLS listed foreclosures.

Each state is more than likely different. I know where I am, there are tricky laws associated with investors buying houses that are in default, that if done incorrect can result in some hefty penalties(jail time).

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