How do you obtain the properties to sell?

Question

I was wondering how do you get the "propertys under contract" is this a contract you create with the owner of the home and try to sell the property to a buyer on your list. Or do you buy the house with your own money and then sell it to a buyers list. I am reading around and seeing ways to get buyer list but I have no clue how you get the Contract in the first place. totally new and will be taking a fundamentals in real estate course at a community college in winter.

Ibrahim Hughes · Answer

HAHAHAHA - this made my day Steve Babiak

Steve Babiak · Answer

Watch your language in mixed company  .... :)

Jason Lam · Answer

Ok so let me get the process straight.
(create a buyers list)
1.First you find the house,
2. then you negotiate the price with the seller,
3. Get the contract, and after that you have to do research of if the house is legal to sell.(i am planning on getting a license so i can be my own agent, which adds a side question should i get my license this early in my learning phase? taking a fundamental in real estate class in community college)
4. Find a end buyer to buy the contract (someone from the buyer list)

J Scott · Answer

You don't pay for the house until the closing date, which is usually several weeks after the time you sign the contract.  This time is generally used for the closing agent to prepare paperwork, verify that the house is legally sellable (clear title) and other details around the sale.  For a wholesaler, this time will also be used to find an end-buyer.

Jason Lam · Answer

Thats exactly what I wanted to know! Wow thanks man, I am going to look into that Assing the contract one.

The only thing I cant wrap my head behind is, so once you talk to a homeowner, and get the contract, do you already pay them the lets say house cost 400k, do you pay them the 400k first, or do you just have a contract for a house worth 400k and you just find someone off of your buyers list to get the contract you are currently holding and forkout that money.

J Scott · Answer

Most wholesalers will get the homeowner to agree to sell the property to them...and then will turn around and sell the property to someone else.  So, the investor will actually have a legal agreement (a contract) to purchase the property, and then will either sell the right to purchase the property (assign the contract) or will purchase the property and then immediately resell to someone else (double close).

There are lots of additional details (keep reading the forums), but that's the basics...

How do you obtain the properties to sell?

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