4 Specific Questions About Wholesaling - Pros Chime In, Please

[Chesaré Johnson]

Hey, guys. I'm a new-ish wholesaler. Without going into too many details or mentioning any specific sources that cause posts like this to get banned by BP, I'll just say that I have access to a very, very large database of off market properties and I have the opportunity to reach out to these property contract holders and do JV deals with them. Most of the people I've reached out to are cool with doing JV deals. I am currently building my own list of vetted, qualified cash buyers to pitch these deals to. So, that's where I'm at.

My questions are going to be very noobish, but whatever. we all start somewhere. If your answer is going to be "it depends on the deal" for these questions, don't bother answering. I already know it depends on the deal - but I at least need a good "starting point" to work from. I can learn specifics from there.

1. In JV deals, does it make more sense for me to add a fee on top of the price of a property, or is it better practice to ask for a percentage of the spread that's already there? If adding a fee is better, how much is common/fair? If a percentage of the spread is better, what percentage is most common/fair?

2. These properties are not under contract by me - is it bad for me to put the buyer in direct communication with the contract holder, or should I "gate keep" all conversations? 

3. Who should do all of the closing paperwork? Me or the contract holder?

4. Obviously, its better to find a property and get it under contract yourself - but what's the general outlook on JV deals? Does the REI community look down, or appreciate JV deals? Eventually, I'll have the time and resources to find my own properties, but for right now I gotta use my advantages.

Thank you in advance!

Ches

*note to biggerpocket.com forum admins - I didn't mention any specific websites, nor am I advertising anything. I'm just asking for advice, but have to give context about my situation. Please don't remove this post lol*