Wholesaling for complete novice

Wholesaling for complete novice

Tampa, FL · Member since 2019 · 22 posts · 31 votes

Hello BP community I wanted to ask those who are experienced in wholesaling a question. Do you know what it is and how it works? I am a little confused as to what this actually is.

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Flipper/Rehabber · Oakland, CA · Member since 2019 · 30 posts · 18 votes
7y

Real estate wholesaling occurs when a party (the "wholeseller") contracts with a home seller, markets the home to potential buyers, and then assigns the contract to one of them. The wholesaler makes a profit, which is the difference between the contracted price with the seller and the amount paid by the buyer.

in simplest terms you're flipping contracts, by purchasing discounted properties and turning around and selling it to an investor.

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  • Flipper/Rehabber · Oakland, CA · Member since 2019 · 30 posts · 18 votes
    7y

    Real estate wholesaling occurs when a party (the "wholeseller") contracts with a home seller, markets the home to potential buyers, and then assigns the contract to one of them. The wholesaler makes a profit, which is the difference between the contracted price with the seller and the amount paid by the buyer.

    in simplest terms you're flipping contracts, by purchasing discounted properties and turning around and selling it to an investor.

  • Tampa, FL · Member since 2019 · 22 posts · 31 votes
    7y

    @Evgeni Romberg

    So does this mean we tend to search for distressed properties or those under market value in order to try to make a profit off the sale of the contract?

  • Flipper/Rehabber · Oakland, CA · Member since 2019 · 30 posts · 18 votes
    7y

    You're simply looking for motivated sellers. Owners that are in a situation that requires them to sell there property in a short time, at a discount. Think in a perspective of situation, rather then the property condition. In what situations is the seller that requires them to sell their property? Example: Inheritance , Divorce, Tax delinquency, Absentee owner, Distressed properties, etc. 

  • Tampa, FL · Member since 2019 · 22 posts · 31 votes
    7y

    I have also heard there are 2 strategies in wholesaling which were 1) assigning the contract and 2) a double closing. what are those 2 things exactly?

  • Rental Property Investor · Valdosta, GA · Member since 2018 · 33 posts · 31 votes
    7y

    @Luis Zuniga. https://www.thanmerrill.com/assignment-of-contract/

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