I NEED Help From Wholesalers!

[Sam Chicquen]

Hey everyone, I'm doing my first wholesale deal, but I'm not sure what I need to do next. I have a buyer lined up, and I found a property for him. What should I do next? Should I get the seller and buyer to sign reassignment clauses or promissory notes before I introduce the deal? I need some help.

[David Ramirez]

Sam, 

You need to get the property under contract with the seller. In wholesaling, you are acting as a principal (buyer), so you will need to sign a purchase and sale agreement with the seller. Make sure your contract includes 'and/or assigns' language. Without the property being under contract, you do not have the right to promote the contract or property. Once you have a buyer, you will need to sign an assignment agreement with them. Through this assignment agreement, you are transferring your rights to purchase the property to your buyer for a fee. Maintain control of the entire transaction and consistently follow up with the title company to make sure the deal reaches the closing table, which is where you will get your fee paid.