I'm a new wholesaler and I don't have a RE license or LLC.
I found an agent who was able to give me information to off market properties in the Bay Area but he said before he gives me the info he wants my company name and address.
I do plan to get an LLC after my first deal but since I don't have one I'm not too sure how to respond. Is the request of a company name and address normal? I informed him in our original conversation that the contract will be assigned to me and I am looking for properties for my buyer.
Think about it this way. The agent has off-market properties. The seller has entrusted the agent to sell these exclusively without listing them on the MLS. The agent is trying to qualify who the buyer is before spending a lot of time and effort with the buyer. Any smart agent would do that. They may ask for proof of funds, or pre-approval from a lender before even agreeing to show the property. No sense wasting time with a buyer who could never purchase the property. Does that make sense from the agent's point of view? While an assignment of contract is legal, some lenders won't fund a loan for an assigned contract, and some title insurance companies may not insure title. There was so much wholesaling activity in the past decade, that some members of the "old guard" industry have tried to implement procedures to make wholesaling more difficult.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you