Wholesale with a Flip in the middle

[David Casal]

Hello,

I'm trying to see if anyone out there has ever done a wholesale deal and flipped the house as well.  I ran this past my attorney (who is risk adverse), and he thought it was extremely risky for me and was very opposed to it.  So I'm trying to see if any investors have pulled this off.

Basically the owner has agreed to sell a property to me for $90K (or wholesale it to me).  They understand I plan to invest about $30K and sell it for $150K.  If it goes as planned that would leave about $30K in profit.  Seller agrees to this entire plan and understands the profit could be higher or lower but they get $90 and the balance would be mine.

I realize just buying the house from the current seller is the cleanest way to do this, but I was trying to do this as a wholesale deal so I don't need to pay the closing & transfer fees now since I'm only going to have the property for a few months.  Also I'm not in a great position to get a loan due to other real estate loans I have.

I also considered doing it as an owner finance but then found out the seller has an $84K mortgage (we are looking into this to see if it is assignable but that's unlikely).

Anyone have any suggestions on how I can structure this?  The sellers are very reasonable and now are tenants of mine living in a different house I own so we have a good relationship.

Thanks for any input you can provide!!!