Wholesaling using FHA pre-approval to get under contract?

[Griffin Pratt]

Hey BP community,

I have a question regarding potential issues with wholesaling on the back of an FHA loan. I am currently negotiating with a seller after sending my written offer (using FAR/BAR As-Is contract). The initial contract I wrote up included an assignability clause and the only counter by the seller is that I provide a pre-approval/POF before they accept my offer.

Since I am preapproved for the purchase price via FHA loan, my question is there any reason I would not be able to wholesale the contract if the home did not meet the FHA requirements or if I decided I did not like something about the deal? Does anyone see any issues with this?

**(I am both the agent and interested party in this scenario. All necessary disclosures in that regard have been made both verbally and within the contract.)**

[Norberto Villanueva]

Let me see if I have this correct. You are a licensed agent and principal in an assignable purchase agreement that you may or may not actually fulfill. If I were your broker, I'd suggest transactional funding instead.