Exit Strategy for a (possibly bad) Wholesale deal
Investor · Bristol, CT · Member since 2013 · 80 posts · 14 votes
Hello everyone I'm somewhat of a beginner wholesaler and I currently have 2 Unit Multifamily under Contract. What I thought was a good deal after walking through it for rehab cost and pulling comps then going by the 70% rule and calculating my numbers, I'm at a dead end. I put the property under contract with the seller for a set price then went back after realizing an investor wouldn't pay what I was selling it for and was surprisingly able to talk the seller into bringing the price down 5k AFTER the fact we already had the property inked for a set price.
My closing date is coming up fast I'm thinking I may not be able to sell the house. I have roughly 2 weeks to make something happen. I really don't think the seller will be willing to renegotiate the price and I've cut my whole sale fee down to the point where I will barely make any money. Anybody have suggestions?
Kiss this goodbye and stop holding up the owner with BS during the peak marketing time keeping their property off the market!
A 2 unit is not a multifamily so, like the other 32,368 wholesalers out there, you haven't learned real estate before you jumped in with the wheeler-dealer whizbang guru stuff, other wise you wouldn't be in this mess.
What I'm seeing here is:
1. you didn't know the local market
2. you didn't value the property correctly
3. You missed the boat on rehab costs
4. you didn't have a buyer who would be interested before you contracted
5. you entered into a contract you couldn't perform
6. you took the seller's property off the market so they can't sell chewing up their marketing time during the summer months
7. probably put it under contract under false pretenses (you did renegotiate it)
8. you thought a duplex was a multifamily
9. now you'll have egg on your face trying to jump in to do something you don't have enough knowledge about, so you lost this seller as recommending other investors
10. Hopefully, the seller won't sue for breach of contract, even if you had weasel clauses, which will point out your attempt to some judge and the RE Commission.
Wholesalers who don't learn the basics of real estate before trying to follow the guru dream are simply an accident waiting to happen and a public nuisance.
Real estate isn't that hard, but it's not easy either, learn the basics before you begin messing with the public, which adds to the regulators wanting to torch all investors! :)
@Sherri Southwellthanks again, and best of luck to you as well!!
Good luck to you Darrell!
Put me in the camp that appreciates your frank, and straight-forward candor. And I say this as someone on the receiving end of that candor. I started a thread a little while ago on a lead I had where the owner was doing a short-sale. I inquired on here the possibility of leasing it back to them with an option to buy. Your response had the same tone, the same "learn real estate" comment, along with other information.
People need to understand that @Bill Gulley doesn't need to be on here helping others, but that's what he chooses. With somewhere near 20,000 posts, there is a wealth of info in them. Other members have two choices: 1) be hurt and offended by his "tone", or 2) actually take to heart the content of his message and use it for your benefit.
Bill--Just letting you know many of us here appreciate what you doing here.
I'm not emotional. I don't know you, or your seller. I was trying to impress on the lady why the previous responses were not excessive.
Darrell, you seem like you are trying to do the right thing. You seem a lot more up-front, honestly, than most wannabe wholesalers here. But you let other people, those other wholesalers and investors, tell you to do something you know is wrong. You are not an acquisition partner. You had no intention of ever buying that house. You want to assign a contract and make a facilitation fee.
Just say so. It is not necessary to lie to anyone in this or any other business.
@Richard C. I am a very open-minded guy and I can understand where you're coming from. I appreciate you clearing the air and still taking the time to speak some positivity into the forum. I listened to a BP Podcast and heard another successful experienced wholesaler use that because in fact it was truthful. You find properties for an end buyer who's bringing the money to the table to buy. It was how I thought of it. And in no way did I think, hey I'm going to try and deceive these sellers.
So it is good you admit you made some mistakes and I hope that will take some of the advice and get out of the contract so the seller can look for another buyer. If you don't think it is dead in the water then you better do a marketing blitz NOW and if that isn't fruitful try not to get a day or 2 before closing to try to get out of things.
First for your marketing.
Sounds like all you did is BP Marketplace and some letters of people that were identified as cash buyers that don't know you from a hole in the ground? While I'm not a big "Build Your Buyer List" guy, I do assume that most people have made SOME contacts. If not then you need to network with local RE investors.
Thing you need to do right away is get to any local REIAs or other real estate investor events and promote the deal. Not sure if there are any very local ones but for a Hartford deal I'd assume you want to go to the CTREIA and you can also check out the Western Mass REIA in Springfield as I believe you got CT investors that go there as well.
Need to put it more online. Some I think think mentioned postlets which is definitely a good one to get on. Put it on Craigslist. Don't say you are selling a property, since you aren't. Say you are selling your interest in a purchase contract for a property and give a description and your calculations.
Might be too late for this one but this is the kind of stuff to do ASAP next time. And overall get out and network, if you had a dozen local investors to get in touch with you might have sold it already. Or just as valuable they could have told you WHY it isn't a deal and you could try to fix it or just bow out after a day or two instead of stringing the guy along, even if that is not your intent.
Okay so as far as the deal. It is hard to say if it is any good or not since it hasn't been marketed well enough to know if people are going to reject it or not. IF you get some feedback use that next time.
You say you pulled comps, did a rehab estimate and got it under contract at or maybe even below the 70% rule number. If that is all true if you can't find a buyer you probably didn't do the comps right or are way off on the rehab. I'd guess a 70% deal in most of CT will go pretty easy.
@Richard C. I am a very open-minded guy and I can understand where you're coming from. I appreciate you clearing the air and still taking the time to speak some positivity into the forum. I listened to a BP Podcast and heard another successful experienced wholesaler use that because in fact it was truthful. You find properties for an end buyer who's bringing the money to the table to buy. It was how I thought of it. And in no way did I think, hey I'm going to try and deceive these sellers.
Well, as Bill explained above, "partner" has an actual, legal meaning. So no, it wasn't truthful, and whoever said it was on that podcast was themselves not being truthful.
As far as the "no intent to deceive", I understand what you are thinking, but I think you are fooling yourself a little bit. You knew you weren't buying the house for a partner. You were just trying to wholesale it. If you didn't want to deceive, at least a little bit, then why would you say anything at all to the seller about your intentions? You could have just presented your offer without saying anything at all. But in fact, you wanted them to think that you were a buyer. So you did try to deceive them.
I can understand why you didn't THINK that is what you were trying to do. That is what Bill meant when he mentioned "cognitive bias" above. That is basically an instinct toward self-justification. We all have it, but it is in fact a bias. It distorts.
You can tell the truth to prospective sellers and still do deals. In a lot of businesses, reputation is very important, and referrals are the leading source of new business. You get referrals by being honest with people, and following through on your promises. And an offer to buy a house is, for sure, a promise.
Thank you Jason, you get it!
@Darrell
@Darrell Jonesundefined
Good man! That's the way to take advice and responsibility, I like that, you're now on my favorite wholesaler newbie list! You have potential.....and my nose didn't grow!
Any business can be tough, , ethics is usually foreign to most and there are thin lines in decisions at times. Own up to mistakes and move on. Real estate is not just some product like shoes, it is part of the foundation of our economy and rights as citizens, it carries huge social implications that effect other parts of our economy. That's why it is highly regulated, why rules and laws are in place and why property owners are protected. The wheeler-dealers don't care and don't know, the newbies don't know, the gurus don't care and after you understand RE you'll understand how we deal in RE.
If you're going to be a professional, get a professional education in the industry. Any time you have a question, just ask! Out here! :)
Ok so what would be the correct contract to use as a wholesaler?? I am absolutely terrified of getting into this situation and I understand fiduciary duties to the seller, but some of these comments confuse me as to how to go about wholesaling a property and which contract to use or better which contigencies to add to the contract. I would just be honest and tell them that I was a wholesaler. I think I would also not put it under contract unless I had spoken to the people on my buyers list who would bite on the deal if the numbers were right. I have spoken with buyers and they will tell you whether it is a deal or not before you even approach the seller with a contract. Now is this naivity or stupidity? I am new too so this thread was helpful. Not trying to hi-jack here just curious. Thanks!
Darrell Pm me.. Maybe I can help.
Hi,
I am a newbie also and I am not here to bash you, it is a learning experience. I can tell you that I am working on my first property also. Try to keep everything limited within the "inspection" period, that is when you walk through the property with your GC and any other technician you think is needed for the property and let them put their input in on repairs, I always take the middle price. Then if you feel the repairs are actually going to jeopardize any profit that is potentially going to be made then you can exit out of the contract. My typical "inspection" period is 14 days (including weekends) and I explain to the seller if there is any reason for me to back out of the contract I will.
I know you are anxious as I am, definitely try to focus on SFHs and don't rush into anything. Definitely focus on your local REI meetings also.
That is why it is important to put an out clause in your contract. It will protect you just in case they will try to take you to court.
That is why it is important to put an out clause in your contract. It will protect you just in case they will try to take you to court.
*sigh*
Please refer to Bill's post above.
Watch this video
A respected attorney is interviewing the Dept of Real Estate Licensing and Enforcement.
I know the discussion is in Ohio, but the regulators are pretty fed up with the abuses of wholesalers saying
1. they have money partners when they do not
2. have no intention of buying the property if their so called money partners do not fund (and the wholesaler has no plan B if the cash partners do not fund)
3. wholesaler is acting like the owner being on title, marketing to sell a property on CraigsList (where they should be advertising "a contract for assignment", not a property for sale)
@Bill Gulley has written ad nauseum about this.
One of the biggest risks I feel to the newbie that is not licensed is his-her activity is reported to his-her State Dept of Real Estate for not being licensed and selling property they are not on title without a license.
Get a "Cease and Desist" letter from your Dept of Real Estate.
Now you need a lawyer. And a big check to pay for the attorney.
And you are going to get a legal problem and perhaps a misdemeanor or maybe felony.
Lastly, how hard is on this public forum to be reported to the Dept of Real Estate authorities?
Here is my advice.
1. Get licensed and act as principal and a fidiciary. See
http://homebuying.about.com/od/glossaryf/g/Fiducia...
2. Tell the seller you will buy it (have transactional funding set up or buy it sub2, etc)
3. Market and Sell something you own.
4. If you do not own it, tell cash buyers they are buying your contract, not the property. Advertise it as such.
I agree with @Richard C.
Senior BP posters are fed up with wholesalers that waste precious summer marketing home selling time for unsuspecting home sellers. If you lie, you should pay.
Just like insurance sales. Don't lie to consumers.
And investment sales. Don't lie to consumers.
The home is too important.
Here is the video of the attorney.
After reading some of the responses to your original post I have to say that I felt ashamed to announce myself as the dreaded "wholesaler" 4-letter word for about maybe 4 seconds. I then got over myself as I may suggest some other people do as well. Look, I am new to real estate investing game such as yourself, but the one thing I have learned from BP and one "GURU" whose course by the way, I didn't take for personal reasons, and would certainly not invest in if it didn't bring me value (it did by the way) is that you are absolutely not going anywhere in this business if you do not have the following;
1). Dedicated cash buyers lists; these are to whom you are personal shopping for. You aren't going out and buying properties that you want and then marketing to buyers. You should consider yourself, from now until you are able to buy your own props, a personal shopper. It's whatever they want. do that and you won't fail.
2). A reliable team i.e R.E Agents, Property appraisal, Contractor, and a Title company or lawyer depending on your states requirements. I may be forgetting something I'll double check
3). PATIENCE, just because something seems like a good deal doesn't mean it is necessarily. I mean there's maybe a reason that they were willing to work with you, I'm assuming only. You may have been the only one to come around and "show them the money" for lack of a better phrase.
4). Marketing: You have to find your cash buyers 1st and all you have to do is find them. LEGALLY market to them and get them into network. Sellers come later so for now, BUYERS BUYERS BUYERS
5). EDUCATION: I put this last but it really is 1st, 2nd, 3rd, 4th, 5th basically, all the way down to 100th is education. You should have atleast 4 exit strategies even in wholesaling. As mentioned before, have contingencies in place. 10-14 day inspection clause should give you time in the beginning to lock down a buyer from the list you should've created. Im not well versed in all of the contingencies that you can add but a great attorney can help you out with all the legalities.
Please don't beat yourself up or let someone else do so. Unless a person started out under the guide of an investor/mentor they've all made mistakes and will continue to. We will make more mistakes then they do now but the key is learning from them. Best of luck
Congrats on getting out there and trying to make something happen, @Darrell Jones. We all make mistakes (I do everyday), and you're learning from them.
You definitely need to have an idea of who you're going to sell a property to, or at least how you're going to get it sold, before you put it under contract. You don't necessarily have to have your own "buyer's list," but you need to know how you're going to market it or partner with someone else to sell it. If it's truly a deal, it won't be hard to sell in today's market. Also try to make sure your rehab numbers are correct and leave some room for error.
As a wholesaler, I am always completely honest with sellers about exactly what I will do with their property. I'm also a licensed realtor, so I'm held to a higher legal standard anyway (which is a good thing). I'll answer any questions they have about what I'm doing or investing in general. I once spent an hour talking to a guy who had all these questions about what I do as an investor. And guess what? He ended up selling me his house, and I may buy another one from him in the coming months.
When I meet with a seller, I essentially say something along these lines (but you have to imagine this flowing more naturally with the conversation): "I'm an investor, and I'm looking for properties both for myself and for other investors, depending on the deal. I have a group of investors who want to buy properties off market without having to go through realtors. Some of them are looking for houses to flip, like you see on TV. Others are looking for houses to use as rental properties. But they don't want to mail letters or go out and search for properties themselves. That's why they rely on me. I go out, meet with people like you, and put properties under contract. I then go to my list of investors and try to sell the property to one of them for a higher price. They end up buying the house from you, and they pay me the difference in price as a finder's fee for doing their work for them. That's how I get paid. They'll pay for all of the closing costs and you won't have to pay any realtor commissions or other fees (except prorated taxes). That's what I plan to do with your house if you sell it to me, and I'm pretty sure I'll be able to resell it to one of my investors. But I just want you to know there's always a chance I won't be able to sell it and I might have to cancel the contract. I'll likely know with 7-10 days whether I'll be able to sell your property. If it doesn't sell, then I'll cancel the contract and you can go sell to someone else. Or if you want out of the contract and I haven't resold it yet, just let me know and I'll happily cancel it."
I go into a little more detail, but I try to keep it as simple as possible. That's all you have to say. It's 100% honest on every point, and I find people prefer that over big promises. I think some sellers get nervous when an investor says, "I guarantee I will close on your house! Don't sell to anyone else." Some people respond to that, but others are suspicious of it as they know nothing in life is certain. If a seller prefers to sell to a different investor because that person guaranteed to buy their house, that's fine with me.
Regarding contingencies and how you frame the contract, I'm not sure how it is in Connecticut, but in Texas, our standard state real estate contract includes a paragraph for an Option Period. When I put a house under contract, I try to always put in a 21-day option period (negotiable, of course, but I always start with 21 days). And I explain to the seller that this gives me the unrestricted right to cancel the contract for any reason within 21 days, and I receive my earnest money back. No other contingencies necessary. Sellers are accustomed to some type of option period in contracts, whether it's for inspections or financing or whatever, so they're never surprised by this. In fact, it's in line with what they often except in real estate transactions. Again, I explain to them that this gives me time to market the property to my investors, and it gives my investors time to bring in a contractor or inspector and look at the property, even though they're purchasing it as-is. And I tell them, with full disclosure, that if I can't sell it, then I'll cancel the contract. With the standard Option Period built into the Texas contract, it's never necessary to have a "weasel clause." As others have said, it can also be legally dangerous to use the term "partner" in contractual language. My contracts only ever list my LLC, no one else.
The are other things I do to protect myself in any transaction, which people on BP may have various opinions on, and I get that. The first is, I use an addendum prepared by my attorney when I'm buying a house. It addresses some issues that are not in the standard contract, including: disclosing that I'm a licensed agent acting for myself and not for the seller; providing some clarification around "time is of the essence" issues; disclosing in writing that I intend to resell or assign the property immediately for a profit; giving me the right to advertise the property for sale and show the property to buyers; and it has what I jokingly refer to as the "you can't sue me clause." All it states is that if I default on the contract, the seller's exclusive remedy is to keep the earnest money deposit, not to force me to buy the house. Again, I explain this explicitly to the seller with a little humor, and they get it. It's not a total "out," as I still lose my earnest money (usually $250-$500, more if it's a higher-priced home), but from a business risk management perspective, it's good practice. Defaulting would be if I didn't perform on the contract after the option period had already expired, or if my end buyer didn't close. Most wholesalers I know in Dallas try to use only $50 or $100 EM deposits. I actually voluntarily offer more a little more because while I never want to have too much money tied up in a contract (I'd rather have that money working for me elsewhere), I do want the seller to know that I'm serious and that I have some money on the line as well.
The second thing I do to limit my liability is with the assignment contract when I'm wholesaling it. The assignee who purchases it from me agrees to assume all legal liability if they default on the contract. So once I've assigned the contract to them, if they don't close, the legal liability is on them, not me. I'll also never wholesale to them again, but that's a separate issue. This is also why I will wholesale at a discount to people I know will close on the deal. I'd rather get a slightly lower wholesale fee from someone I trust than sell at a higher price to someone I don't know who strikes me as "iffy." I don't get paid my full assignment fee until the deal goes through, so I have every incentive to make sure it closes. Plus I feel an obvious obligation to the seller to make the deal work.
Keep in mind that contracts are complicated legal instruments, but they're also just words on a page that aren't necessarily good or bad (actually that's not true, I've seen some bad contracts). My point is that what is more important is your intent and how you approach your business from an ethical standpoint. If you use a standard contract and add some language that limits your business's legal liability, one can argue that's good business practice. If you're adding language so that you can knowingly walk away from a deal at the last minute, waste a seller's time and money after you've promised them the moon, and not have any skin in the game yourself, that's different.
There are caveats to all of this. I haven't put a house under contract yet where the seller was in some dire straights, where if I didn't close in time they would lose the house or suffer a significant financial loss. Whenever I eventually find those leads, I will handle it very differently as I never want to be in the position of causing financial hardship for someone. My whole goal in this business is to help people solve their problems. Again, just be honest and people will appreciate it!
Best of luck,
Chad
From a respected trainer, Vena Jones-Cox, I LOVE THIS....
"Before ya'll get too excited about "downloading the contracts from the internet for free", remember that unless you have the frame of reference to understand what you're looking at, the contracts themselves could blow your deal up.
I TRIED to buy a deal from a wholesaler earlier in the year who had put together the right price, but when he presented me with the contract that I was supposed to accept assignment of, it was clearly the option portion of a longer lease/option contract. It referenced rents, a possible ultimate FHA purchase, and worst of all HE had mixed up optionor and optionee, and had me paying a bunch of SELLER costs including $8,000 in back taxes.
The "wholesaler" (and I use that term loosely, because he wasn't actually bringing the value to the transaction) was furious that I wanted him to go back and get the RIGHT deal signed. His response was, "This is ___'s contract [a well known lease/option assignment guru] and his attorney wrote it up and everyone uses it. My seller is under control and he knows that he has to pay the back taxes, I'm not risking this deal by going back and trying to get a new contract."
At best, what he had was not what he intended. At worst, it was a contract that obligated him--or any buyer who was dumb enough to accept assignment--to things that neither the wholesaler nor the seller necessarily INTENDED, but which were nonetheless enforceable.
He ultimately, or so I hear, was unable to sell the deal and now it's listed.
Download away--but if you don't understand enough about what you're doing to know whether the contract you got is complete, enforceable, or even applicable in your state, don't whine when you don't get paid. This is not a game, it's a business, and you should know your business."
I also echo @Brian Gibbons. Use a standard state contract or something prepared by an attorney. Spend the money if necessary. Don't download contracts from the internet or even use contracts from other investors without having them vetted by an attorney first.
If you're brand new and want to learn about contracts, go to your local used book store and buy the Contracts textbook that it used for you're state's real estate exam prep. It's not quite the same, but if you read through and take the quizzes, etc., it will give you at least a little better understanding of the most common forms you'll be using and what addenda are required for your state.
More people on BP need to step up and explain to all of the new investors trying to jump into the real estate business via wholesaling, that it's simply unlicensed brokerage activity.
If every time it was brought up people would explain to the naive newbie trying to learn how to get into real estate dealings that wholesaling is just unlicensed brokerage activity there may be fewer threads like this one here.
It's all the guru stuff, mentor stuff and ra ra you can do it garbage that's out there that leads guys like The O.P. down this path.
@James Wise I know Ohio in particular has been very direct about treating wholesaling as an unlicensed activity. From my understanding, other states have different interpretations based on whether or not you have equitable interest in the property via a contract (and I've learned lawyers have different interpretations as well). How you advertise the property/contract is also important and can obviously get you in trouble. Either way, you're right, getting licensed is a good idea, and too many people start wholesaling without understanding the legal ramifications. I got my license specifically to avoid any potential issues raised down the road.
(Disclaimer: none of my posts on this thread are meant as legal or financial advice.)
@Darrell Jones
Darrell,
A lot of folks here have given you good advice--even if they might have been a bit harsh in some cases; but, hey, didn't we just have an international economic meltdown created by bad real estate investments, bad banking practices, etc., causing the nation, as a whole, to lose somewhere in the 5-10 trillion dollar range in accrued wealth?! It's no wonder some folks are touchy about this subject. Your best bet might be to go to the seller, hat in hand, and beg out of the contract. But let's explore a couple of other options--you still have time to get something done if you're willing to work hard, fast, and also be teachable/humble towards someone out there in your market area who can help you.
My first observation is that you seem to have a decent rapport already established with the seller, and the seller seems to be very motivated, as evidenced by the agreement to reduce the already agreed-upon price. The first rule in negotiating is don't stop talking; keep at it, 'no' doesn't mean the end, it simply tells you where boundaries or pitfalls lie. Second, you need to determine what makes a win-win scenario, and steer towards that--nothing else matters. Don't appear to be a wolf; be a sheepdog instead. Protect the seller's interest, as much as possible. Here are some ideas:
1) Find out what the seller needs--this really ought to be the first thing you do every time. Listen, ask questions, find out the why. Solve a problem for them. Maybe they simply need cash--would they be willing to refinance, take cash out, and let you take over the payments, with a little extra each month, same scenario as 2) above. Do they need credit help? Although not usually a good tactic, since you're already in a pickle, maybe you can help them with your credit to get the refi loan, for some consideraton on your deal's terms.
2) Do you have funding in place? If you're able to buy the house, why not hold onto it and rehab it yourself? Or rent it? You said you're getting it at better than 70% of market value. You need to find a partner or a private lender fast; sweeten the deal by giving them the lion's share of the potential profit for the benefit of saving the deal and also mentoring you.
3) Find out if the seller has to sell immediately, or can they provide more time, if you make it worth their while. One method might be to pay them an option to allow you to control the property for 1-3 years, and give you permission to sub-lease the property. Then you pay the seller enough each month to create a modest cashflow, but not too much to hurt your own cashflow (for example, if the mortgage payment is $1200, offer them $1250, plus $500 to $1000 per year for the option to control the property). Then market the property as a rent-to-own or lease-purchase option. Don't make the same mistake of not actually having the property under control, so that you'd be marketing something you don't have; but if the seller is willing, then you have a property you can market. (I don't know your numbers, so these are all just examples.) Place an ad like this: "Rent-to-own. 3BR/2BA, 1/2 ac, fenced yard, good schools, great neighborhood. Darrell, 212-123-4567."
Find out what the realistic rents are for like properties in that locale, because banks will insist that you charge a fair rate at a minimum, plus the additional amount over that for the eventual down payment from your lessee-buyer. Do some research on rent-to-own/lease-purchase options here on BP to determine how you want to set up your deal. But the basic idea is, ask for an option payment (for the option of renting-to-own) that would apply towards your buyer's down payment (some folks don't apply it; I always do); then your lessee-buyer pays an amount above fair market value each month, which overage is also applied to the down payment. So, if you had a $100,000 property, you might ask for $3000 for the option; if the rents in your area are $750/month for that property, then you might charge $1000/month, and $250 goes each month toward the down payment. You set the time period, and let the lessee-buyer know that these funds are not refundable if they do not exercise their option to buy, since they've taken your property off the market.
4) Inform the seller that you cannot make the purchase, but you'd be willing to help them find a renter and manage the property for them to ensure they get a good deal. (This is the least preferred, but it's a possibility.)
5) Ask the seller if they'd be willing to give you the option to purchase the house at said price in the next three to six months, and you'd be willing to pay them $5000 to $10,000 for that option, a non-refundable purchase, regardless of the outcome. Half of said option will go towards your down payment. Essentially, you're buying time so that you can go do the work needed to fix your deal by finding funds, buyers, a mentor, all of the things the previous posters excoriated you for not doing in the first place. You need to close your deal fast or make it worth the seller's while to let you control their property and take it off the market.
Darrell,
A quick correction: I made reference in 1) to "2) above"--I actually meant 3) below! Sorry for the confusion. Good luck!
Thanks @Chad Benedict that was really sound advice and I appreciate the time and effort you put into breaking it down for me to get a full understanding. I will apply some of your strategies and see how it works.
@John Shultis wow I'm really blown away at the creativity that you offered as a technique I could apply. I don't have too much time left but I will try to see what I can do. I believe I can still make something happen because the seller owns this property free and clear and doesn't want to keep holding on to it while paying property taxes every year. I'll surely take into consideration the advice you gave me and see what works. Thanks again.
@James Wise Thanks for the input.