Real estate Wholesaling

5 Replies

Good Day Bpers.

My name is Dineo from South Africa, and im very much interested in real estate investing .

as advised by Brandon before staring read a lotof books , which i am, im currently reading the ultimate guide to real estate investing .

I'm  not sure if reading correctly or not understanding wholesaling at all . i understand the contract part and so forth i just want to know if you assign the contract then who really owns the property ?. i also read that you don't need any money or maybe little money to go into it , here is my problem ,when you go looking for properties below market value these properties already have owners right ?so the property belongs to someone and i approach them and ask to sell that the property for them ,i then get the buyer and they buy the property and i get paid the fee . 

Who pays the fee ? the seller or the buyer?.

Please help me understand here is this much like being a real estate agent?.

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Hello Dineo,  Often times when you are buying a property, you are buying it from a bank that got back the house on a foreclosure.  You might want to start by getting a real estate agent in the market you want to invest in.  They will represent you when making offers.  When you get an offer accepted, you have your escrow period to sell the property.

@Dineo Siziba  There are a few different ways to do wholesailing. The owner has the property, you get a contract, and sell the contract to the end buyer, the end buyer will become the owner at closing. You would take a fee + your ernst money to assign the contract and you never have to go to closing. The buyer pays you the fee. Much different than an agent. 

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I have often wondered about the same thing. In South Africa, the selling process seems to be a little different. There is no escrow period, or at least, it is not called that. After the buyer signs the offer and the seller countersigns, it goes to the conveyancer or transferring attorney who handles all the details.  I think one woud have to ask a transferring attorney to act on your behalf and to work with you as you try to sell the property on to another buyer.

Originally posted by @Dineo Siziba :

Good Day Bpers.

so the property belongs to someone and i approach them and ask to sell that the property for them ....

Please help me understand here is this much like being a real estate agent?.

There is need for care by wholesalers.YOU are the principal to the transaction,hence YOU are buying that property....nevertheless contract law allows you to assign your rights to anybody else....which is what you'll do.

My point is :DO NOT say you will "SELL FOR"