Wholesaling a listed property?

8 Replies

Can someone guide me on how you would go about wholesaling a property that is listed through an agent?

I'm sure other wholesale experts can chime in, but the easiest way is to put it under contract with some form of earnest money deposit, with the ability to assign the contract. Once under contract you have X amount of days to assign the property to someone else for a profit. 

123 Main Street, $50,000. Write a contract, you'll buy for $40,000 with $1,000 deposit. You have 15 days due diligence in order to proceed or terminate, and the ability to assign the contract. Within 15 days you find someone to buy 123 Main for $40,000+ and you make the spread between $40,000 and whatever they're willing to pay you for the contract. 

If its an expired listing then you wholesale it just as you would an off-market property. However, the active listings are 99.99% of the time already seen by every investor country-wide that's looking in that particular housing market. That's why its still actively listed and waiting for a non-investor to come along to purchase it.

Kudos,

Mary

Originally posted by @Mary B. :

If its an expired listing then you wholesale it just as you would an off-market property. However, the active listings are 99.99% of the time already seen by every investor country-wide that's looking in that particular housing market. That's why its still actively listed and waiting for a non-investor to come along to purchase it.

Kudos,

Mary

Thank you Mary!

This is helpful information!

Manny Rodriguez 

Originally posted by @Manny Rodriguez :
Originally posted by @Mary B.:

If its an expired listing then you wholesale it just as you would an off-market property. However, the active listings are 99.99% of the time already seen by every investor country-wide that's looking in that particular housing market. That's why its still actively listed and waiting for a non-investor to come along to purchase it.

Kudos,

Mary

Thank you Mary!

This is helpful information!

Manny Rodriguez 

Glad that I can help, Manny. Happy New years.

Kudos,

Mary

  • Other options, you can buy, close, then sell wholesale.
  • Bank owned properties are typically not assaignable,  You can do a double close if you use your own title company to close and they are amendable. Costs a bit more but banks typically allow you to use your title co to close. 

The agent told me about it just yesterday and believe that it will be listed sometime this weekend.

@Pedro Oliva  if it's a great deal, try and put it under contract before it goes on the market. It makes the property much more appealing to investors, and if it hits the market and is a good deal. The agent will get bombarded with agent and investor calls and you'll wind up competing. 

Good Luck

Would I have to use the agents contract in this situation? They are asking $35k, the property has an arv of $110-115k ! Agent says it needs alot of repairs. I have not seen the place yet.

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