Wholesaling Questions!

1 Reply

Heya board!

First off let me say that this forum is great and I have learned a ton of information to get started. I hope you guys/gals show the same enthusiasm and share your knowledge.

A little background about me (you can skip this if you'd like) 23, just started researching about a week and a half ago; extensively if i might add, live in the panhandle of Florida and plan to take my Real Estate Sales Associate class in 2 months.

Initially I wanted to use this information to get inside of the heads of my buyers and sellers but I am more intrigued by investing myself. I plan to farm the Walton county here in Florida while specializing in Single Family Homes. I have no equity (this is the opposite of money in the wallet or bank right?) and currently $3500 in credit card debt/school loans. I will start working a 9-5 full-time retail job on Monday until I take my RE class.

Ok on to the knitty gritty. Any kind of feedback would be appreciated. I'm going to make a list of what I need to do and then follow that with questions. By the way my exit strategy is wholesaling. This is going to be a long post. :cry:

1 - Build relationship with probate/divorce attorneys, real estate owned departments in several banks, closing attorney, appraiser, a few private lenders and a general contractor. Is that all?
2 - Get pre-approved by the bank to see how much I can loan while looking for HML lenders.
3 - Price out all my expenses.
4 - Find a sample questionnaire to ask potential buyers/sellers.
5 - Find a sample of a Letter of Intent.
6 - Find a sample of a non-compete agreement, find a sample of a non-disclosure agreement, and find a sample of a Master Fee agreement that I can use as a template when I bird-dog.
7 - Find a sample of a purchase contract, find a sample of an assignment contract that I can use as a template when I am wholesaling.

If anyone would be so willing to share an old or expired contract, I would be most graceful. I understand if it is against regulations or if that is your bread and butter. Onward!

I hate long posts but please bear with me on this.

1 - What do I have to include in the purchase or assignment contract so I do not have to pay one cent? (seller pay closing costs and contingency if not sold in 30-45 days that I walk and don't pay a fee?)
2 - What does a title company do and how do they affect wholesalers?
3 - What is a TREC contract and how do they affect wholesalers?
4 - What information can I find at the Local County Office and how can I use that to profit in wholesaling?
5 - What is a HUD-1 and how does that affect wholesalers?
6 - What insurance companies should I network with?
7 - What is a HOA and how does it affect wholesalers?

Phew that is all, if the moderator wants to separate this into 2 topics, please do as I get distracted and skip the information if its too long. Again, thank you for taking the time to read my post and I plan to take all your words as pretty sound advice.

Arnie Ngai

"no equity" is not the opposite of money in the bank.

no or negative net worth is.

the term "equity" has many different definitions. but for rei's sake it usually refers to the difference between what you owe on a home and what the home is valued at (or price it can sell for).

sounds like you have negative net worth. net worth is the difference between assets and liabilities. and net worth is a relative term - you can have a million networth on paper but be broker than a bumb in the street.

broke means, you have no liquid cash - that's bad. liquid cash or assets are simply easy to get to with no hassles. liquid is like reaching into your pocket and pulling out money - that easy.

if it ain't liquid, you can't get to it easy because it's tied up.

arnie,

pm me if you like. you sound very motivated.