Equity

[E. Jacobs]

I'm sure this has already been addressed somewhere, but my search came back with no results for whatever reason. Anyways, when wholesaling, is the most you can offer someone on their house equal to the balance on their mortgage? For example, you have a house with an ARV of 100K and you want to offer 65K, but the mortgage still has a balance of 75K. Does this mean that the house is not wholesaleable? (is that a word? lol). I'm guessing you can't work with it. Can you pass it along to a short sale investor if it qualifies for one? Do you offer to negotiate a short sale with the bank for a fee if the seller is in default? Or do you ask the seller in advance about their mortgage balance(s) so you never get involved with properties like this in the first place? It seems like this can be very limiting for wholesalers, especially since so much equity has been wiped out in recent years.