Questions about Wholesaling

12 Replies

Hi @Najee Hoggard to my knowledge you do not need a license to Wholesale. I'm learning the fundamentals of Wholesale through reading lots of Books, attending Webinars, listening to podcasts, and now I'm starting to attend local meet ups and local REIA, and of course BP. I hope this helps.

@Najee Hoggard You do not need a license to wholesale properties.

To wholesale, you purchase a property and close on it. You go on title. You then resell it.

It is the same as any for-sale-by-owner and perfectly legal.

What is not legal in every state is assignment - getting a property under contract and selling the contract.

But wholesaling is legal everywhere.

@Roy White

Here in North Carolina attorneys do contracts because we don't use title companies.

Rental companies will also have rental contracts.

If you get one online or from a friend, for example, just be sure everything in it is legal in your state.

Good luck!

Hey @David McReynolds The first book I read was Rich Dad Poor Dad. That book got me motivated to think differently. The next book I read and I'd recommend to start with was The Book on Investing in Real Estate with No (and low) Money Down by Brandon Turner. I cheated, I started reading the Wholesaling chapter first 😀 Then I started from the beginning to end. It provided tons of knowledge. Take your time reading it, take notes as you read, and when you learn something go try it out just to get a feel of it. For example the books talks about MLS. So I went to my local MLS online and reached out to a few of the top realtors in Dallas. Nothing major just reaching out making small talk (Networking). Most of them provided their contact information and advised me to check out their website. So every now and then I'll shoot them a good morning, maybe ask a small question about real estate, etc. they usually respond and send me in the right direction.

@Najee Hoggard No license, No money, No credit needed to assign contracts.  If you're in a litigious state such as NY where it is required to have an attorney write, review and be present to close deals, then find an attorney in your market that is familiar with both assignments and double closings.  Otherwise if your state requires a title company only(Which usually will have an attorney on staff) consult them and let them know what you intend to do.  

Now, the best way, which rules out any sort of deceptive or unethical practices will be to double close on the property.  This is the ideal way to wholesale.  However if you do not have the funds to close on the deal yourself or have transactional funding available, then you have to do what you have to do and assign the contract to an end buyer.  I would encourage you to be as transparent with the seller as possible as your goal should be to help them out of a situation albeit tax delinquency, code violations, divorce, foreclosure etc...  DO GOOD BUSINESS AND THE MONEY WILL COME.  Good luck to you on getting your business started.