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Updated 2 months ago on . Most recent reply

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Ryan G.
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6
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Looking for local wholesalers in the Allegheny County area (Pittsburgh, PA)

Ryan G.
Posted

I am a buyer.  My day job is commercial real estate development.  I am considering adding a focus on doing value-add with smaller assets (fix and flip) that we can take down without investment.  

Preferences:

I am looking to turn a minimum $30k profit per deal after all costs (renovation, acquisition, fees, taxes, financing, closing, etc.).  I can do all cash up to ~$200k.  

I would prefer properties in higher median value areas that can be priced just under median value after repair.  

Bed / bath count is dependent on area.  Looking to be near the median for the area.  In the city? 1 bath is acceptable.  In Wexford, 1 bath is unacceptable.  You get the idea.

Goals:

I would like to close on 3-5 properties this year and ramp up to 12-24 next year.

I have been considering spinning up a marketing department to create a reliable and consistent pipeline, but I would rather focus on my core competencies if possible and work with effective wholesalers.

PA Act 52:

I realize there are new laws regarding wholesaling in PA.  I am open to but would prefer to avoid double closing.  All the money spent on fees and taxes should be in one or both of our pockets.  I would be super interested in alternative arrangements like entering into a consultation agreement with a wholesaler, putting the wholesaling fee into escrow with the agreement (payment to be released upon my closing on a contract facilitated by the wholesaler), wholesaler would identify an opportunity, and I would enter into a PSA with the seller which should get around Act 52.  I realize there is a trust issue there.  I am hoping escrowing the wholesaling fee can rectify that. Food for thought.

  • Ryan G.
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