Homeowner · NJ · Member since 2019 · 2 posts · 1 vote
Is it just me, or does it seem as if the BP "higher ups" have a bitter taste in their mouths when mentioning wholesaling? No question,BP is a great site for learning and networking. Where is the love for wholesaling?
@Marlon Lunsford I have never gotten the impression that higher ups have anything against wholesaling, provided it is done legally. The BP podcast has hosted many wholesalers over the years.
One of the reasons wholesalers get a bad wrap in the forums is that many of them are breaking the law. They make false marketing statements, violate telecommunications rules, broker real estate without a license, market real estate they don't own, etc. Unfortunately some of these people confuse "how to not get caught" with following the law.
It is also complicated because every state has different laws governing housing sales.
I honestly don't even like the term wholesaling, because it doesn't even describe what people are doing. A wholesaler is a middle man that buys in bulk and sells in smaller quantity. People using the term in real estate are not even buying the property in some cases. They are just flipping contracts and collecting a commission.
It is important to differentiate, there are wholesalers who do buy (close and take title) on properties, then resell. That is legal in all 50 states.
Bottom line, the devil is in the details. Follow the law, run your business with integrity and who cares what people say. Many people hate attorneys, police or any number of professions. It is usually based on stereotypes or personal experiences. The truth is no profession is all good or all bad.