Are Wholesalers appeared as scammers??

Question

Jeff B. · Answer

ALWAYS remember "if it's too good to be true - - it is"

John Thedford · Answer

Read many of the BP threads. You will find people putting properties under contract with no money. What did they tell the seller? "Hello, I don't have any money but I want to buy your house"? No. Most use BS escape clauses. You will see some promoted such as "subject to my partners approval", etc when they don't have a partner. Then there are the scammers that try and piggy back on another unlicensed brokers deal and make a cut. That is not legal in FL but I see it promoted regularly. I encourage people to get a license. If you have access to cash AND a license, you can offer to list it for a FMV price or offer to purchase it at a discounted price as an investor. You will see quite a few people lament that most of these unlicensed brokers are offering "deals" that aren't. Keep in mind that licensees have something to lose, etc. Unlicensed brokers can do or say darn near anything and not be held accountable. I would bet real money that some of these scammers have criminal records and could not get a license!

Steven Mitchell · Answer

Ive found it funny, as im new to this profession.  Wholesaling which arguably takes some of the most skill, judgement, and skillset, is seen as an easy way into the whole game.  Its baffling to me.

Jeff B. · Answer

In several States, wholesaling is illegal.  The concept of 'assigning a contract' is not well known in the real world and many see this as a brokerage unless you can ACTUALLY close of the purchase side.

The concept of wholesaling is an instant draw, just like the 'no money down' hype.  Getting thru the maze of closing and walking away cleanly with profits is no where as easy as it would appear to be.

Personally, I would opt for flipping as a bonafide method of REI