Investor · Willard, MO · Member since 2022 · 26 posts · 22 votes
I cold emailed a "cash buyer" in a Facebook group last night about a property I have under contract that I am looking to wholesale. He sent back a very short email that said "Can I send a non-exclusive option to market your St. Louis deal to my cash buyers?" While I want to disposition the deal I don't have a ton of margin in this deal. If I say yes to this what am I agreeing to? Can this be done since I am, myself, trying to assign the contract?
Wholesaler · New Orleans · Member since 2022 · 2 posts · 2 votes
3y
It sounds like he is trying to jv with you which means a joint venture where the wholesale fee is typically split 50 50 between the two of you and he finds an end cash buyer to earn the fee. If there is not a big margin and you want to to make more than half of the fee then tell him you are not interested in going into a joint venture.
Wholesaler · New Orleans · Member since 2022 · 2 posts · 2 votes
3y
It sounds like he is trying to jv with you which means a joint venture where the wholesale fee is typically split 50 50 between the two of you and he finds an end cash buyer to earn the fee. If there is not a big margin and you want to to make more than half of the fee then tell him you are not interested in going into a joint venture.
Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
3y
Just another person with no money. The only offer I’d make is they can buy the contract you for your option price and then they can sell it to anyone they want. But you’re not signing any contract without a transfer of non-refundable cash to you.
Just another person with no money. The only offer I’d make is they can buy the contract you for your option price and then they can sell it to anyone they want. But you’re not signing any contract without a transfer of non-refundable cash to you.
Bill,
Sort of what I thought. People posing as end buyers. I'm following your advice. I'm nearly positive I can dispo this one myself.
Wholesaler · Arnold, MO · Member since 2013 · 348 posts · 183 votes
3y
He's not posing as an end buyer. Although I don't like this type of an arrangement and if you don't have a lot of room in the deal I wouldn't do it, he still asked for permission. Just because you didn't know the terminology dosen't mean he was posing as an end buyer.