How To Prevent Wholesale buyer or Hard Money Lender From "stealing" your Deal

7 Replies

I am having to  show Wholesale property to potential buyer or hard money lender, without having contract with seller.  How do I prevent this person getting sellers name and phone # and doing their own deal?    Thanks for the help.

@GL L. : You don't have a wholesale deal to show to anyone unless you have it under contract. Without a contract, you only have a good lead. And a lead no matter how good, is worthless. Anyone who is unethical can steal that from you the moment you show that info.

You might want to tie up the transaction with a contract first before you make any move trying to sell it.

VK.

GL Lin, you only have a good lead not a wholesale deal. You need to have the deal under contract before making any move to sell it.

@GL L.

@Vi K. is right...you're trying to sell something that you neither own nor have any type of interest in.  If it's a true wholesale deal, get it under contract and then sell your contract position.  

You can also a NDNC but personally that yells out that you don't have anything to sell but information on a lead.

Don't do it! 

Doesn't take long to find out who the owner is and jump the queue once they know the address. 

Is there a problem with getting it under contract?

@GL L.

 If they are established investors in the market, I personally wouldn't be that concerned with them trying to "steal my deal". I'd be upfront with them in that I'm currently negotiating on it, and I want them to have the first shot at it. Also, let them know you're in the game for the long haul and look forward to this being the first of a long string of deals you'll bring them. 

Serious investors won't steal your deals. 

That being said, if you don't have a deal yet, they won't like it that you're wasting their time looking at a house that isn't even tied down yet. If I were you I might give them the basic details of the deal so they can do a quick preliminary, instead of having them spend their time visiting the property. That will also give you an idea of what price you need to be at. But use this strategy sparingly, because it's still using their time for something that may not happen.

In any case: do what you can do get the contract signed ASAP---you can't sell a deal you don't have. 

I agree with all the above and would add from my personal experience that as a Wholesale buyer I would not "steal the deal" because if I did I would burn that bridge with that wholesaler and then would only get one deal out of them instead of a partnership and pipeline that I like to build over time.

"I am having to show Wholesale property to potential buyer or hard money lender, without having contract with seller."

@GL L. - are you able to tell us why you're not able to get the deal under contract yet?

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