Will JV Wholesale contract affect ability to purchase primary residence?

Question

Hello,

I am new to real estate and wholesaling. I’ve been fortunate enough to find a mentor who is showing me the ropes and is basically giving me cuts of his deals that I am working for him but we’re going about it as a JV, as it’s allowing me to learn the process of the sale, getting a contract, etc.

I am also currently in the process of buying my first home and the loan application is in the process of underwriting.

My question is, if I get a contract on a wholesale deal (still working on closing my first deal) and the take that to title, will that affect my loan process on my primary residence? I am under the impression that in a wholesale situation, that property would not actually ever be considered to be in my ownership, but I want to make sure of that so that I don’t screw up my ability to purchase my home.

Any advice is welcome! Thank you in advance!

Eliott Elias · Answer

No, it is untraceable and will not hit your credit unless you close.

Marc Maitre · Answer

The two don't relate, you're an investor, so no! Get an LLC, tho, to put on your contract instead of your personal name. I wouldn't even look for anything on market as a beginner it's hard to work with noninvestor-friendly agents and most of the time it's hard to wholesale those deals. good luck

Lydia R. · Answer

If you arent getting a loan in your name, which you are not for a wholesale deal, then you can have 100 properties under contract and it will not affect your ability to purchase a home. If you dont have to give your ssn then its not affecting your credit. Doesnt matter if the house is on market or off market. These transactions are invisible to a lender. But the income you are making from working with this investor should be included to help you qualify for your primary home purchase.

Will Pickering · Answer

Does that change at all if it is an active mls listing rather than off market?

Will Pickering · Answer

Thank you!

Will JV Wholesale contract affect ability to purchase primary residence?

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