Wholesale in West Phoenix
Investment Info:
Single-family residence wholesale investment in Phoenix.
Purchase price: $88,000
Sale price: $104,000
A tenant of ours who was buying a mobile home from us had a home going through foreclosure. We helped buy it and wholesaled it to another flipper in the valley stopping it from going through the foreclosure process.
What made you interested in investing in this type of deal?
I made a decision back in March 2017 that I was going to be a "Millionaire Real Estate Investor" & "Millionaire Real Estate Agent" one day. Wholesaling had the lowest barrier to entry.
How did you find this deal and how did you negotiate it?
We create really good relationships with people who work with us. Our tenant trusted that we would put her best interests in mind in helping her get out of a sticky situation and into a better one. I let her know all her options on how to sell a home and with the condition that it was in, the pending foreclosure, and the lack of funds and time to do the repairs, it was her best decision to get a cash offer from an investor. Ill assign it for as much as the market will allow and we split proceeds
How did you finance this deal?
0 of my own money was involved. I had the investor place a $5000 non refundable earnest deposit down before i ever had to place one.
How did you add value to the deal?
I comped the property, found the investor, negotiated terms, assigned the contract, managed the paperwork, helped to release liens/judgements, and made it all happen within 10 days.
What was the outcome?
Everyone wins. My tenant gets money her pocket and to save her credit, the flipper gets to make profit on the end, and i am rewarded for being the middle man of it all.
Lessons learned? Challenges?
People have a lot of things rolling around their heads. You need to check, double check, triple check title/escrow, with the buyers, their lenders, and the sellers that things are moving toward closing smoothly.
