Buing Wholesale-properties ....

[Robyn Gersh]

My lawyer advised me against buying a property that is being wholesaled. She said if the person doesn’t own the property don’t buy it. What are people’s thoughts?

[Kevin Sobilo]

@Robyn Gersh, you're lawyer probably doesn't understand what wholesaling is. You are basically buying the contract to buy the property. The wholesaler has a contract to buy and you are buying that contract and paying the wholesaler a premium for their effort. There is nothing sketchy about it. 

You're going to have the title searched and insured and all of those other good things to protect yourself. So, I would treat it like any other deal in evaluating it.

Does your lawyer specialize in real estate? If not, I would find one who does. Just like with doctors there is a big difference between lawyers who specialize in different areas of law. You wouldn't have your primary physician do brain surgery and you wouldn't have a brain surgeon treat you for a common respiratory infection.