Strategies if you have Cash to Close

[Michael Culler]

So between me and a business partner, we are about to be cashed up a few hundred grand. I have experience with wholesaling (years ago) and understand real estate to a degree. Having been out of the game for a couple years (scared and confused) I need to brush up on some up to date strategy.

I see a lot of people here discussing A to B and B to C closings, transactional funding, etc....

What if I have the cash to close? Would you still focus on finding cash buyers and selling the properties quick for a small mark up? Do you think the REO brokers will take me more seriously now? Who out there is flipping REO's with their own money? Any input is appreciated, even if you just make fun of me. :lol:

[J Scott]

Originally posted by Michael Culler:

Thanks guys. I am most interested in turning quick profits probably because of the background in wholesaling. That being said if i wait 90+ days i can sell to an Fha buyer right?

You don't need to wait 90 days to sell to an FHA buyer anymore. Now, there aren't a lot of FHA lenders that can get the deal done in less than 90 days, but it's now legal, and there are definitely a few lenders out there who can do it (I've sold several in less than 90 days).

Make sure you know the lender that can get this done, so you can recommend him to the buyer. And make sure that recent comps will support the resale value. If you're selling for more than 20% above what you purchased the property for, expect FHA to require at least 2 appraisals, and they may ask for a list of renovations and associated costs as well.

I have another thread where I discuss how to handle appraisers...it's especially important when doing these FHA deals within 90 days...