Wholesaling practices?

[Stephen Rogers]

I am taking online RE courses now because I want to be able to be completely legal in regards to wholesaling and I also want to further my RE career in general to become a buying/listing agent. That being said I have wholesaled one property(made the mistake of listening to a friend and didn't do any DD before starting the wholesaling process) and am waiting for another to close that I will get a finders fee on because I didn't want to wholesale the property without my license. 

The second deal was another friend of a friend situation and the homeowner called me because a different wholesaler in my market was really pressuring him to sign the contract (called 12x in one day, multiple texts and email). When he called me and told me all the info of the house and the offer from the other "buyer" I agreed to meet him at the house with the investor friend of mine who would could deal with the client directly and I could trust him with the deal without having to do any assignments. 

THIS is my question: When do most wholesales start advertising the property? The reason I ask is because when I met the homeowner I was doing some research on my phone in front of him and a YouTube video pops up on google because the wholesaler had already posted it without any signed assignment or contract from the homeowner. He was very upset and didn't know anything about the wholesaling process or what the other guy was doing with the property. 

I guess this is more of a rant than a question but is it seriously a wholesaling practice to advertise online a property before getting anything signed? That is the reason my investor was able to buy the house even though the offer was not that much more than what the wholesaler offered.

[Jay Hinrichs]

@Stephen Rogers  careful in MS... your not allowed to market any property you don't own... I would call up to Jackson and talk to the RE department its a small department and you can get one of their investigators right on the phone.

One of my largest clients ( I was the largest HML in MS for years) was a turn key marketer who would tie up property ,,, put it on his website and send out to his buyers lists ext. well it took one complaint from a disgruntled CA buyer and the subsequent investigation by the DRE established that he marketed a property he did not own.. they did not buy the equitable interest theory.. and he was issued a Cease and Desist and small fine. It was at that point I created my first transactional funding line of credit ... that was 2002.... now this activity is alive and well in MS like many states but I am fairly certain that you must own it to then advertise it in any way.. Again check with the DRE in Jackson they are nice folks .

This particular guy then after we stopped doing business went back to his past ways and he got turned in by another investor from Europe this time they arrested him on a Friday and he had to spend the weekend in Jail.. and got in a mess of trouble. 

AGain I realize this activity is very prevalent in MS... but do check for your own safety do not take anything you read on line or someone tells you as fact.. my statements included. I am just relaying my experiences. and I still do a lot of business in Hinds Madison and Rankin counties.  And the reason I am their is to put my clients into title so they can legally resell