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Updated over 1 year ago, 05/16/2023
Getting a Deal/Property under contract.
How would getting a deal under contract work. Would I need to contact the agent on the listing or the seller himself. Would I need to have a buyer already lined up or would I have to get the house under contract first? Could someone help me with this process I have a found a great deal!!
#2 Off Topic Contributor
- Real Estate Broker
- Minneapolis, MN
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#2 Off Topic Contributor
- Real Estate Broker
- Minneapolis, MN
Quote from @Nick Pries:
How would getting a deal under contract work. Would I need to contact the agent on the listing or the seller himself. Would I need to have a buyer already lined up or would I have to get the house under contract first? Could someone help me with this process I have a found a great deal!!
Can you close on the property yourself?
If not, it's illegal.
If you don't know the most basic of basics in wholesaling, how is it you can determine it's a "great deal"?
- James Hamling
Congrats on finding a great real estate deal! The next step is to get the house under contract. This process involves contacting the agent or seller directly and negotiating the terms of the sale. You may need to have a buyer already lined up, or you may be able to find one during this process. If you need help or advice with this, contact any real estate professionals who can assist you. Good luck!
@Nick Pries I admire that ready to jump right in! However, as James mentions above, please ensure you understand the fundamentals of wholesaling otherwise you'll be in for a surprise. But here is the process if you are trying to wholesale a "deal":
1. If the property is listed by an agent, yes you'll have to communicate/place an offer through him/her.
2. You will need to have a list of buyers already on your list who have expressed interest in buying such a deal. In other words, you should know that you will be able to assign it to one of the buyers for an assignment fee.
3. If you do no have any buyer yet (or your buyers cannot close), then you should be prepared to close it yourself. If not, you could face legal challenges. Depending on your state, you will need to properly write the contract that will allow you to "assign" it to end buyer.
If you are unfamiliar with the above process, I suggest you educate yourself. There is tons of resources available online, including BiggerPockets - Good Luck!
#4 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
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#4 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
- Investor
- Austin, TX
if the property is listed, you will be in communications with the listing agent for negotiations. Once you and the seller come to an agreement, you will go under contract. You should already have a buyer lined up if you are putting property under contract.
Sent you a DM, let's actually try to walk you through it and help you get your first deal done.
@Nick Pries, not sure why no one else has mentioned this, however, trying to wholesale a deal that is listed on the MLS is not best advised. You can try to move forward with an offer but don't be surprised if there's pushback from the seller regarding the assignment provision. Moreover, most properties listed on the MLS are not deals and it's going to be very difficult to find an end buyer. If you're interested in real estate sales, then I advise getting licensed.