Should I Be Concerned?

[Natalie Bull]

Hi everyone, 

I am new to the real estate game and have some questions on whether or not I should be worried about how this transaction went down.

I was brought on as a lien holder after the property was purchased, and I brought $50k to the table to do renovations. I was told by owner A that he bought the property from wholesaler B for $800,000. However, it has come to my attention that the deed for the property in the county records shows $700,000, not $800,000 as the sales price. The deed also only reflects the transaction being between seller "C" and now owner "A". B is not mentioned at all, nor is the $100,000 wholesale fee. Is this normal for a wholesale cash deal?

I guess worst case scenario, I'm afraid the wholesaler is making $100k under the table (which seems like a huge wholesale fee to me?) and there is something illegal going on here. But, the other layer to this is, does it even need to concern me? Am I exposed in any way legally as a lien holder if the wholesaler/seller/buyer did something illegal in that transaction? 

I also don't know how I could verify numbers (a.g. the amount paid to the wholesaler), since there is no HUD involved as it is a cash sale. What documents should I ask to see, if any?

Thank you for reading my complicated question!

Natalie 

[Wayne Brooks]

Your bigger concern is if there is a 1st mtg in front of you, and for how much. I’m guessing there is.