RE: Wholesaling a FSBO home?

Question

Hi, All
I know this may be a stupid question, 
but I'm a newbie still, in the wholesaling game.

How do you wholesale a FSBO home?

Is the process simple, I talk with the seller, do my due dilligence
on the property, run comps, run the deal through the deal analyzer,
add my wholesale fee, make sure there is enough profit on the end
for the end buyer.

Is that about right?

Should I just tell the seller what my purpose is by wholesaling 
their property, by helping net what they want to net from the
transaction.?

Can anyone simplify this process for a newbie?

Anthony B. · Answer

Wholesaling a FSBO isn't different than wholesaling a property listed by an agent. I wouldn't tell the seller what I am doing. I would think the average person would feel cheated if you told them you want to get their house under contract, only for you to make another 5-10 grand off the transaction.

When you are wholesaling and net small gains like 3-5k, assigning a contract is fine. But when your gains get larger, I read its better to do a double close (this way neither party knows how much profit you net).

I don't think there is a way to 'simplify' the process. Get your offer calculated, and make your offer. Just realize you have to make a lot of offers, because you will get rejected a lot. The more offers you make, the more deals you will get. Get a list of buyers so you can flip the contract as soon as possible.

That's what I've concluded to, but I wouldn't mind hearing someone more educated chime in.

Anthony