Can I wholesale reo properties

Question

• I'm a new wholesaling still learning just wanted to know is it possible to wholesale reo properties. I'm hearing it's not anymore because the banks are not selling low enough anymore.

Brett Russell · Answer

@Marcus Mccluster, there are a few different issues with wholesaling REOs (search the forums), but in my mind, the biggest one is this: an REO is a bank owned property that you are now seeing because it is listed on the MLS.  All of your end buyers should easily be able to find the exact same property and negotiate it themselves so what would you bring to the transaction to deserve a wholesale fee?  Focus on off market properties.

Brian Bremer · Answer

100% doable. Find a title company and attorney that is familiar, this is a MUST!!!! You can double close using the end buyers funds, if the end buyer is okay with this aka New York style. I have not found an end buyer who wasn't okay with this is explain properly by your educated real estate attorney. You can ask the seller to add the other purchaser to the contract and quit claim yourself off the deed at closing, this is must cheaper if alloud. I've never trying assigning land trust or LL's here is IL but it can't be to difficult. Yes, most title company wont let you do a double close using the end buyer funds! On the other hand most REO contracts allow you to us your own title company at your own expense on there purchase contract or you can always request to. My advice find a attorney who has an in house title company or just use Fidelity National Title. Not all of there closing agents will know what your talking about but I'm sure you can find some that do. Worst case you can always ask your end buyer to loan you there money as a transactional loan for 24hrs recorded the first deed and resell it to them keeping the difference. JUST TAKE ACTION. I've learned from my mistakes and even lost a little money on some deals.

Phil Z. · Answer

Now is a great time to wholesale bc rehab inventory is low.  You just have to be good at finding deals.

Anyhow, I wouldn't try wholesaling an MLS property unless you plan to close yourself as a backup.  If your going to use a weasel clause .. you'll quickly be the locally known weasel.

Adam Hochfelder · Answer

Buy through an LLC and sell the LLC

Marcus Mccluster · Answer

@Brett Russell Thanks I've been doin direct mail and driving for dollars just looking for more options

Mark Brogan · Answer

there is lots of info on the site about your question good luck @Marcus Mccluster

Can I wholesale reo properties

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