Is there any law that prohibits we buy houses signs?

30 Replies

HUH?  "So you lie, great business model"  Wow.  Just gonna go out on a limb here and tell you Dev's business model probably does better than yours...just a shot in the dark.

I'm totally with Dev here, the problem in wholesaling is the guys that think its OK to put a house under contract, then go shop it, then back out if they can't sell it like nothing happened.  Nothing wrong with making an offer and bailing or renegotiating during the inspection period if you need to (that's what its there for) and there are plenty of wholesalers that do good work and get paid for it.  I don't have any problem buying from wholesalers if they hit my numbers, I'd rather spend my time fixing and selling houses than chasing down sellers, plus as a rehabber its not easy to turn the marketing on and off to fit my cash position.  I do happen to believe many 'wholesalers' are basically brokering, and I suspect as we see more people that get into it and do it wrong that we'll see some legislation of some sort start to come in play down the road.  

The real problem is that the gurus go out and teach things that work some of the time as something that works all the time because it sells material, not because its how things should be done.  What I see happening is new guys pricing things wrong, putting a house under contract for way more than anyone should buy it for, then failing to find an end buyer and backing out, usually way past a 10 day due diligence period.

I've wholesaled a few of them when I came across a great deal, but already had too much going on to rehab another one.  Its a legitimate thing, my beef is just with the way its being taught and too many people trying their hand at it and failing in a way that isn't fair to the sellers.

As an aside about the sign ordinance:

Here in San Pedro, I've counted at least 7 different VW Buses , with new paint jobs (each one a different color) advertising 1 hr massage for $ 35.00. They're parked in strategic spots on very busy, commercial streets. Always the same spots.

Every couple of days, they are being switched around, always different colors, so, nobody can claim that the car is abandoned on this spot. 

So, if I wanted to have a massage, that's the first I would think of and I would know exactly where the closest bus is, if I was looking for the ph# ;-)

Originally posted by @Michaela G.:

As an aside about the sign ordinance:

Here in San Pedro, I've counted at least 7 different VW Buses , with new paint jobs (each one a different color) advertising 1 hr massage for $ 35.00. They're parked in strategic spots on very busy, commercial streets. Always the same spots.

Every couple of days, they are being switched around, always different colors, so, nobody can claim that the car is abandoned on this spot. 

So, if I wanted to have a massage, that's the first I would think of and I would know exactly where the closest bus is, if I was looking for the ph# ;-)

Another example of Location, Location, Location.  Even massage prices are high in California!

Originally posted by @Darrell Shepherd:

HUH?  "So you lie, great business model"  Wow.  Just gonna go out on a limb here and tell you Dev's business model probably does better than yours...just a shot in the dark.

I'm totally with Dev here, the problem in wholesaling is the guys that think its OK to put a house under contract, then go shop it, then back out if they can't sell it like nothing happened.  Nothing wrong with making an offer and bailing or renegotiating during the inspection period if you need to (that's what its there for) and there are plenty of wholesalers that do good work and get paid for it.  I don't have any problem buying from wholesalers if they hit my numbers, I'd rather spend my time fixing and selling houses than chasing down sellers, plus as a rehabber its not easy to turn the marketing on and off to fit my cash position.  I do happen to believe many 'wholesalers' are basically brokering, and I suspect as we see more people that get into it and do it wrong that we'll see some legislation of some sort start to come in play down the road.  

The real problem is that the gurus go out and teach things that work some of the time as something that works all the time because it sells material, not because its how things should be done.  What I see happening is new guys pricing things wrong, putting a house under contract for way more than anyone should buy it for, then failing to find an end buyer and backing out, usually way past a 10 day due diligence period.

I've wholesaled a few of them when I came across a great deal, but already had too much going on to rehab another one.  Its a legitimate thing, my beef is just with the way its being taught and too many people trying their hand at it and failing in a way that isn't fair to the sellers.

 Is the "huh?" Supposed to indicate that you do not understand? If so, let me try to explain it simply. If you get a house under contract, try to sell the contract and are unable to do so,and rather than tell the seller that you claim to have uncovered issues during iinspection, then you are deliberating saying something you know to be untrue. Which is the very definition of lying.

Nor does the effectiveness of lying as a business model change the fact that lying is lying. I am sure it is very effective, that is why so many wholesalers do it. It is still lying.