Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Wholesaling
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 10 years ago on . Most recent reply

User Stats

1,509
Posts
994
Votes
Patrick Britton
  • Ann Arbor, MI
994
Votes |
1,509
Posts

largest wholesale fee possible

Patrick Britton
  • Ann Arbor, MI
Posted

Any idea what the largest wholesale fee could be? can it simply be a function of the sales price and/or ARV? I would think that on a $4 million dollar property that the fee could be substantial - like $200,000 or something like that.

at the end of the day, does it really matter so long as the end buyer is getting a sweet deal?  

Most Popular Reply

User Stats

1,509
Posts
994
Votes
Patrick Britton
  • Ann Arbor, MI
994
Votes |
1,509
Posts
Patrick Britton
  • Ann Arbor, MI
Replied

@Ryan Billingsley totally agree with you.

@Sam B. i agree about the repeat business but disagree with the amount of work.  one deal that brings in 200k is easier than 20 at 10k.  with the latter, you have to find 20 different sellers and get 20 different offers accepted, etc.  

one thing i'm carrying over from my futures and stock trading experience is that you should always limit your losers and let your winner ride.  meaning, if you can still make money for your end buyer and preserve or enhance the relationship, then don't limit your fee based on some arbitrary number.  just my opinion.  

don't forget, a listing agent's commission on a $4,000,000 house is $120,000.  Add a buyer's agent and now the total cost to the seller is $240,000.  If I, as a wholesaler don't need a realtor, that's an immediate $120,000 saved.  so perhaps the fee here could be more like 60k - 75k.  which is almost enough for that "item" we were talking about @Ryan Billingsley   :)

Loading replies...