All Forum Posts by: Latoya Pryor
Latoya Pryor has started 21 posts and replied 77 times.
Post: Creating a business website
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Quote from @Mark Munson:
It all depends on how you are generating your leads. If you are running Google PPC, you obviously need a website. Any good wholesaler has a website, but most only have it for acquisition and, honestly, most are terrible. We have audited a ton of wholesale websites, very few are structured well. And most wholesalers don't have a dispo site. Carrot (Google it) offers a website builder that many wholesalers start out with, but they are not the most optimized. You definitely need a website to authenticate yourself, in my opinion. If you are just door-knocking and not spending any money on marketing, then a website may not be necessary. However, if you are cold-calling or using SMS campaigns, then I would suggest a website. You don't have to build the best website ever, just enough to validate your business if someone wants to further validate you as a real person and/or company.
Thank you Mark! I'm not familiar with what google ppc is? Forgive me. I currently cold call & dfd. No door knocking it's sketchy to me. I see your point as using it to validate my business. So I guess it's not the best option because I am not an experienced wholesaler as of yet lol
Post: Creating a business website
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Hello everyone! I'm still at trying to master this wholesale industry. I've come across some wholesalers who have websites set up to bring in leads. Any tips on how I can structure a website for this? Where I can find online trustworthy and inexpensive? Also I would like to know if anyone currently has a website already set up and if it's worth it? Thanks for any replies or advice.
Post: Owner passed away intestate
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Also want to add the home is still listed as the deceased mom as the owner
Post: Owner passed away intestate
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Hello All,
I have a situation. Spoke with a son who mom passed away intestate. He has one sibling. He is interested in selling the property but unsure what steps need to be taken. He believes there was still a mortgage on the house but the mortgage company has closed down. Can someone help me in what steps he can take to get the home in his name? Does it even pass down to him and his sister?
Post: EMD placed with Title Company
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Quote from @Ke Nan Wang:
To answer your question, none of the title company I've worked with charge a fee on holding EMD in escrow. My title company holds money for me in escrow doesn't even relate to real estate transactions.
I do have to say it’s definitely higher risk in the wholesaling business because it’s not regulated.
For this type of risk with that many land mines I would highly recommend you have a mentor who can guide you through the process closely. Someone who has your best interest in heart and no hidden agenda. I would start with word of mouth before falling into the online guru trap.
If you are this nervous right now and there will be a lot more. It’s a high risk and high reward game.
Thank you for the pointer!
Post: EMD placed with Title Company
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Quote from @Marc Maitre:
I've done wholesale deals, and never once have I come up with the EMD. Once you find a buyer, have them submit the EMD to the title. Not sure if this is bad practice or not but that's how I was taught. Seller asks for EMD ok, no problem, find buyer, have buyer put down EMD. At the end of the day, if the seller is truly motivated, getting their money is all they care about.
Post: EMD placed with Title Company
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
@Ned Carey Thank you! I've only had 2 people actually answer what I was initially asking. One of the 2 were you.
Post: EMD placed with Title Company
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Quote from @Don Konipol:
Quote from @Latoya Pryor:
Quote from @Don Konipol:
Quote from @Latoya Pryor:
Quote from @Latoya Pryor:
Quote from @Russell Brazil:
Quote from @Latoya Pryor:
Quote from @Russell Brazil:
If you entered into a contract with out the ability to fulfil the terms of that contract knowingly, then you have committed fraud by inducement.
Are you saying wholesaling is fraud? How do you describe wholesaling property? Also I'm not out to commit fraud against anyone. I've been using the techniques as described on this platform as well as real estate meetups. Please explain more about your thoughts? Thanks
It's very simple. If you enter into a contract to purchase something...could be real estate, could be a car, could be a watch.....and you know you do not have the ability to fulfil that contract....that is Fraud by the Inducement. Also if you make any false statements to the seller this would fall under that as well.
Do not enter into contracts if you are unable to meet the terms of that contract. Look up your state statutes and case law on the subject to see what your liability could be potentially if you have an injured party (the seller) who presses the issue.
Here in DC we are seeing many a seller lately being represented by legal aid on fraud by inducement issues with wholesalers.
Nothing wrong with assigning a contract (assuming that is legal in your state) but you need to be able to fulfil the terms of any contract you enter into.
Also can you explain fraud by inducement if there is no tricking the seller into signing the contract? Once again especially if terms are listed in the contract?
Despite this it’s been going on for 40 years. Almost nobody has been called out on it until very recently. There’s been some action by state real estate commissions, but in truth most of their power is in suspending or revoking licenses, or disciplining licensees. Attorneys aren’t interested in suing people with no funds to pay the judgement; often the seller has not suffered any financial loss anyway. So people attempting wholesaling will continue doing what they’re doing with almost no consequences.
The way most real property purchase contracts are written they contain an “out” for numerous reasons; failure to pass inspection, inability to obtain financing, etc. This amounts to the buyer getting a de facto option to purchase the property. Some contracts, such as the one provided for SFR by the Texas Real Estate Commission, contain an option to include an unrestricted option period where the contract could be terminated for any reason within a specific period of time, for a specific fee.
When I used to “wholesale” properties (we called it “flipping” then) I used a straight option. I would offer, depending on property price and type, a $500 to $2500 (no refundable) option fee to the seller enabling me to purchase the property within 30, 60, or 90 days for a specific price. If I was unable to secure a buyer who would close within the option period (we could do a Simultaneous closing in those days ) then I “lost” the option money; if I was able to secure buyer who did perform my profit was the agreed price to buyer minus the agreed price to seller minus option fee minus title costs.
Thanks for clarifying your previous statement for the unknown including me. To say I'm committing fraud out of the blue was a blow to the face especially if that is not my intention. It's just weird how these wholesalers meetups are advertised and open to the public to attend and supposedly be so illegal. Thanks
you can also place a provision in the contract stating that you will not be closing UNLESS you can find an end buyer at a higher price.
The point is FULL DISCLOSURE of your real intentions will always result in legal transactions. Of course it probably lessens the chance of sellers accepting your offer.
Thank you. Very helpful
Post: EMD placed with Title Company
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Quote from @Don Konipol:
Quote from @Latoya Pryor:
Quote from @Latoya Pryor:
Quote from @Russell Brazil:
Quote from @Latoya Pryor:
Quote from @Russell Brazil:
If you entered into a contract with out the ability to fulfil the terms of that contract knowingly, then you have committed fraud by inducement.
Are you saying wholesaling is fraud? How do you describe wholesaling property? Also I'm not out to commit fraud against anyone. I've been using the techniques as described on this platform as well as real estate meetups. Please explain more about your thoughts? Thanks
It's very simple. If you enter into a contract to purchase something...could be real estate, could be a car, could be a watch.....and you know you do not have the ability to fulfil that contract....that is Fraud by the Inducement. Also if you make any false statements to the seller this would fall under that as well.
Do not enter into contracts if you are unable to meet the terms of that contract. Look up your state statutes and case law on the subject to see what your liability could be potentially if you have an injured party (the seller) who presses the issue.
Here in DC we are seeing many a seller lately being represented by legal aid on fraud by inducement issues with wholesalers.
Nothing wrong with assigning a contract (assuming that is legal in your state) but you need to be able to fulfil the terms of any contract you enter into.
Also can you explain fraud by inducement if there is no tricking the seller into signing the contract? Once again especially if terms are listed in the contract?
Despite this it’s been going on for 40 years. Almost nobody has been called out on it until very recently. There’s been some action by state real estate commissions, but in truth most of their power is in suspending or revoking licenses, or disciplining licensees. Attorneys aren’t interested in suing people with no funds to pay the judgement; often the seller has not suffered any financial loss anyway. So people attempting wholesaling will continue doing what they’re doing with almost no consequences.
The way most real property purchase contracts are written they contain an “out” for numerous reasons; failure to pass inspection, inability to obtain financing, etc. This amounts to the buyer getting a de facto option to purchase the property. Some contracts, such as the one provided for SFR by the Texas Real Estate Commission, contain an option to include an unrestricted option period where the contract could be terminated for any reason within a specific period of time, for a specific fee.
When I used to “wholesale” properties (we called it “flipping” then) I used a straight option. I would offer, depending on property price and type, a $500 to $2500 (no refundable) option fee to the seller enabling me to purchase the property within 30, 60, or 90 days for a specific price. If I was unable to secure a buyer who would close within the option period (we could do a Simultaneous closing in those days ) then I “lost” the option money; if I was able to secure buyer who did perform my profit was the agreed price to buyer minus the agreed price to seller minus option fee minus title costs.
Thanks for clarifying your previous statement for the unknown including me. To say I'm committing fraud out of the blue was a blow to the face especially if that is not my intention. It's just weird how these wholesalers meetups are advertised and open to the public to attend and supposedly be so illegal. Thanks
Post: EMD placed with Title Company
- Real Estate Agent
- Richmond, VA
- Posts 81
- Votes 12
Quote from @Latoya Pryor:
Quote from @Russell Brazil:
Quote from @Latoya Pryor:
Quote from @Russell Brazil:
If you entered into a contract with out the ability to fulfil the terms of that contract knowingly, then you have committed fraud by inducement.
Are you saying wholesaling is fraud? How do you describe wholesaling property? Also I'm not out to commit fraud against anyone. I've been using the techniques as described on this platform as well as real estate meetups. Please explain more about your thoughts? Thanks
It's very simple. If you enter into a contract to purchase something...could be real estate, could be a car, could be a watch.....and you know you do not have the ability to fulfil that contract....that is Fraud by the Inducement. Also if you make any false statements to the seller this would fall under that as well.
Do not enter into contracts if you are unable to meet the terms of that contract. Look up your state statutes and case law on the subject to see what your liability could be potentially if you have an injured party (the seller) who presses the issue.
Here in DC we are seeing many a seller lately being represented by legal aid on fraud by inducement issues with wholesalers.
Nothing wrong with assigning a contract (assuming that is legal in your state) but you need to be able to fulfil the terms of any contract you enter into.
Also can you explain fraud by inducement if there is no tricking the seller into signing the contract? Once again especially if terms are listed in the contract?