Turning Retail Clients into Cash Buyers

[Matt M.]

With our inventory shortage, we are seeing people stay on the sidelines when it comes to selling their home. I'm exploring a program and am curious what everyone's take on it is. Sellers don't want to sell because they don't want 45 days or less to find a replacement home. Furthermore, a contigent offer gets passed over due to all of the multiple offer situations we are seeing for quality homes. So how does a contingent seller compete in this market?

What I would do is prequal my seller, show them homes, and put in a cash offer(probably lower than their contingent loan offer). I'd buy their home and turn around and sell it to my clients. Once I closed, they'd move in(single move), and I would list their home which would allow them to buy mine. 

I'd either up the price on their purchase or charge a higher listing fee to cover the costs associated with the program. If they can't close, then I'd have to list the home and be out holding costs. My earned commission would wash out most commissions offered on the listing side if I had to go that route. 

So the gist of it is that I'm flipping my clients a home that they pick and getting them off the sidelines.

Thoughts? Is anyone else doing this?