Wholesaler question for rehabbers

[Joseph Ziolkowski]

Hi all! This is a 2-part question. First, how many of you use wholesalers in your business? Secondly, how many of them help you find money to fund their deals to help you conserve your cash? Just a quick survey. It's something I'm looking into putting together, and wanted to know how common it is right now. Thanks :cool:

[Bill Gulley]

I suggest you read the SAFE Act again. The law applies to the type of property, not to who buys it, just because you are in the business and while you might consider you financing a commercial venture, does not make it a commercial loan, financing any property that is used or to be used as a residence must comply with the SAFE Act, unless the Seller is exempt as an owner occupant (not the buyer) and they do no more than the set number allowed under HUD guidelines with the applicable state, so far ranging from one to five deals a year.

Joseph, you might adjust your advertising. And, you might check closely what constitutes arranging financing as that is very close to the origination of financing. DIscussing loan terms with a potential borrower for funds from another source puts you in a position as an originator/broker.
To flip that, you need to close the deal in your name and allow the new buyer to assume existing financing, which doesn't seem to go with your past posts, but still a doable line of facilitating deals.