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Updated about 5 years ago on . Most recent reply
Wholesale a Wholesale?
Hello all! Hoping you guys can help. I am super noob when it comes to REI so please forgive my ignorance to this. Here is the deal: There are 4 actors---the motivated seller, wholesaler A, wholesaler b (me), and my cash buyer.
I was on craigslist and found a single family home that needs a rehab. I called the guy (wholesaler A) who informed that he already had the property under contact and he was looking for a buyer. So he is a wholesaler looking for a buyer to buy the property but doesn't know how to get buyers. I am very new to this and do not have the confidence yet to rehab. I did however do my due diligence and amassed at least 5-7 buyers for when I begin wholesaling. My question to you all is: (A) Can I wholesale the wholesale to my buyer? and if so (B) how would I go about it? would my buyer be paying both me and the other wholsaler? is there more paperwork involved then just the purchase & sign agreement and the assignment of contract? Has anyone been in this situation before? Please inform me as this will of course determine what I do next?
Thank you.
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Owner sells to Wholesaler A for X, Wholesaler A sells or assigns to Wholesaler B for X+Y, Wholesaler B sells or assigns to Cash buyer for X+Y+Z. It happens a lot. If structured correct, all parties are protected and cannot cut anyone out of the deal. Depending on what state you're in, and what role you play, it could be a little complicated, but its doable.