Does anyone know how to close a wholesale deal when the end buyer is getting a mortgage? I have a situation where I have an end buyer that has been approved for a $350000 loan and they are looking for a deal. Is there anyway to close without the underwriter having a problem?
I have done what you are talking about once when I first started out. It is possible if there is enough room - leins, mortgages and assignment fee is less than what the property appraises for and what the end buyer is willing to pay. The only way I was able to accomplish this was to let the seller know that the property did not hold enough value for me to purchase but I could find someone to purchase. I let him know that I would place a lein on the property for my assignment fee. Then the lien just becomes something that needs to be satisfied for clean title and if it is non contested - no problem. It worked fine for me.
You hand over the deal to them and they buy it.
You get paid via a third party escrow outside of the transaction between the seller, buyer and the bank.
Join the Largest Real Estate Investing Community
Basic membership is free, forever.