Buying from a Wholesaler Without Cash

[Shawn S.]

Hello BP wholesale experts!

I am pretty new to real estate investing and was wondering if wholesalers typically only sell to buyers who have cash or "fast" money like hard money? Can a buyer use traditional financing when doing a wholesale deal?

Thanks in advance!

- Shawn

[Bonnie Low]

Hi, Shawn - we've bought from a wholesaler using hard money, though not conventional. However, I don't see why you couldn't theoretically. I say theoretically simply because conventional lenders tend to be so risk-averse they may balk at acquiring a property that is under contract but not a direct sale. You might try through a local bank or credit union as opposed to a mortgage giant like Fanny/Freddie. I'd love to hear any lenders chime in on this. Good luck!