Hi guys have a couple of qns abt wholesalers
Heard there r investors acquiring hses from wholesalers for buy and hold but the problem is most wholesalers have hses with no clear title and purchasing them is taking over the liens
Are there ways to acquiring from them and have clear title? Do investor have to use a title company to do double closing or generally any title company would do
Any wholesalers with hses comes with clear title?
As wholesalers, we market to a small segment of home sellers who because of their particular situation are motivated, (some times desperate) to sell a property at a substantial discount. When people want to sell quickly and below market, its typically because they have a problem that they are hoping you will help them solve. Yes, we are in business to make money, but our primary goal is to offer solutions to that seller and if you are prepared to present them more than one possible solution, even if that means being more creative, you will be able to convert more leads, than if you are sifting and sorting thru motivated leads, looking only for those that have a clear titles. They're out there, but they're certainly not as plentiful. As a fellow-wholesaler, the best advise I could give you, is that you become well-familiarized with alternate ways to structure deals in order to make the deals work in situations where there are title issues such as first or second mortgages, liens, low or no equity deals, etc. Learn subject-to, contract for deed, lease options, etc and the differences between them. Not every deal will be a perfect deal, in fact most of them are not, so its best to not be a one-trick pony. As far as a title company, I would suggest working with one that is investor-friendly, who has staff experienced in things like assignments, double escrows and creative deal structuring. Ask around and don't be discouraged if some title company tries to tell you double closings or assignments are illegal. Just hear them out, hang up and move on to the next one.
Yes, you can certainly assure yourself of clear title, and should. First your contract must state you're getting "clear and merchantable" title. Secondly, using a title co. and get title insurance with the purchase. This doesn't mean you need to double close.
I agree with @Wayne Brooks . First of all, do your own due-diligence before buying a property from anyone. This would include a title search. Then if liens are found make sure they are listed on the settlement statement at closing and that they come out of the seller's proceeds. Yes it means they get less in their pocket, but it also helps them pay off the debts they owe so they don't have to worry about them anymore. And a title insurance owner's policy is a MUST whenever purchasing property...especially in investing. It's the only way to make sure you have FULL CONTROL over the property you've purchased. Buying a property without getting title insurance is like buying a Rolex from some guy in a Walmart parking lot. You have no idea what you're getting.
Send emails to couple of wholesalers expressing interests in purchasing their properties
Ask some questions about the clear title and repairs details but they did not reply
Maybe their hse are not on clear title
Guys other than wholesaler and reo what other ways to acquire hse below retail price?
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