Working w/ another wholesaler

[Darieal S.]

I'll try to keep this brief and to the point.

i received a call from (what I thought was) a home owner (out of state) of several properties that he was looking to sell. Come to find out that he is a wholesaler that deals with Bulk REOs. If things go well I should be able to team up with him for future business. So, what's the question right?

Being as though I haven't work with REOs before, do I;

1. Treat it like a regular wholesale deal?
2. as far as End Buyers are concerned, how do I best secure my position with out having this person go right to my buyers directly.
3. The wholesaler states that the bank is not allowing him to provide all the details about the properties until PFO & LOI are received (hence question#2)
4. and with the amount of properties that he has at the moment for me to help him with, and REO's can't be assigned, how do I structure my agreement with buyers to secure my fee? Transactional Funding? or... use a flat fee for access to the information?

What do you guys/gals think? or am I over thinking this whole thing!

have a great day!

[Lamont H.]

@Wendell De Guzman to assign an REO you can do one of two things.

You could set up an LLC or Corp and contract in your company's name...when you find a buyer you would sell your Corp or LLC to your end buyer through a Corp resolution.

Or

You could create a land trust which is fairly simple to create and contract with the land trust you created and simply relinquish your control of the trust to your end buyer

And of course you could do a double close but either way you would have to have an LLC set up. You can contract in your own name but most banks wont Accept your offer because there is liability with a bank selling REO to individuals

Note that this is just a basic explanation and there are more moving parts but you should get the idea

If you want me to explain it in detail just let me know

All the best