Questions about Wholesaling

[Keith S.]

I am new to the Bigger Pockets forum and am just getting started in Wholesaling.  I had a few questions that I was hoping maybe a seasoned Wholesaler could help me with.  Any feedback would be greatly appreciated.Thanks!

1.) Do you recommend contacting other investors from their we buy houses signs as a means to find buyers?

2.) When attempting to wholesale, does the seller have to own their home free and clear for the deals to work?

3.) Is there an out clause or verbiage that you recommend using in your purchase agreement that will allow you to get out of the contract so that you don't get stuck with the property in the event you cannot secure a buyer?

4.) When marketing as a wholesaler, do you use separate contact numbers or voicemails for buyers and sellers?

[Andrew Cosker]

Hi @Keith Stewart I'll shed some light from my experience and what I have done. I'm sure there are more experiences veterans in the game that have different views and strategies. 1) I personally love to network with other wholesalers and investors. if I see a sign I'll call them up and see if they're looking for fix and flip properties for themselves or just wholesaling them. I have had people who are fix and flip investors using the signs for that purpose. either way I don't think it is a bad idea to network with local investors in your area. 2) The contract I use is a pretty straight forward purchase and sales agreement with and or assigns and some language that's an out clause. If you have a local real estate attorney I would recommend finding one who is investor friendly and can draft one to your specifications but I'm not an attorney and won't give any legal advice on the contract itself.