My first wholesale and it was on the MLS

[Levi Caron]

Hey BiggerPockets, So I've been keeping my eye on a 4plex that had been on the market for over six months. My realtor kept asking me if I wanted to make a offer and I kept feeling reluctant because I knew I was going to low ball him by 20%. I had a certain level of comfort with the property because I own the very same 4plex two blocks away and mine was renting for $500 more total per month. One weekend while I was in SF for a wedding I decided to send out five offers on all different property's with a 20% below asking price. The only property that countered was the 4plex. The rest of them did not even respond. Asking price was 175k and I offered 150k cash with 2 weeks to close.I did not have the money personally but had private money lined up. There counter was at 160k which my realtor thought I would take. I declined and stayed with my original offer. The next day my realtor called me excited and shocked that they had excepted the offer. As I began to think about it, I knew I had some room to potentially wholesale it but that idea had not popped up until was talking to my REIA group about it. So I began to advertise it on craigslist for 165k and explained what the proforma on the property should be and that I would offer the inspection report to serious buyers.

I began to screen through the emails and found a couple people that seemed like serous investors. One gentleman in particular was out of state and wanted to get the property under contract before he came to look at. He agreed to pay 165k and reimburse me for my earnest money and the cost of inspection. The inspection took longer than usually to schedule because we had to schedule around the tenants. I filed my first extension with the original owner and disclosed to the sellers realtor what was going on.

By the end of this deal we had submitted 3 extension that came out to about 5 weeks total to close. But, I am happy to say that I made 15k, received by $500 earnest money back, and had the $600 inspection report paid by the new buyer. I guess there is still some deals out there on the MLS.

thanks

Levi