Brooklyn, NY · Member since 2013 · 154 posts · 12 votes
hey BP. I'm looking to add a new funnel to my lead source by Wholesaling REOS. I know the banks frown on that but I've been seeing that there are ways around that. One way I've heard was by buying the REO in an entity, and passing the entity off the the buyer and closing. Another way I heard is by putting offer in your name in the care of the llc. Wanted to know the input of those who are actually flipping REOs, how they structure the contract, clauses uses, etc to not alert the bank that you're Wholesaling the property.
All insight will be valued especially from those actually doing this daily. Thanks!!!
Real Estate Investor · Burlington, VT · Member since 2010 · 2k+ posts · 1k+ votes
10y
@Marc Cesar Marc - I think the biggest challenge with REO's is having Proof of Funds and a sizable deposit before they'll even look at your offer. The POF can't be the simple ones printed off the internet; the banks are aware of that.
The last time I made an REO offer, they called my bank to confirm the POF was valid. And a $5,000 cashiers check was due when the offer was accepted. 3 day inspection period.