Quick Question: Wholesaling Funding Options... What’s possible?

[Everett Schulte]

Hey BP! Newer member here,

I’ve been wholesaling for about a year and a half, and love the business. Recently, I’ve been looking into some different strategies about WHO I want to target as my end buyer/assignee. Normally, I’ve been acquiring houses that need about 20-60k in repairs, and selling them to flippers who have no problem paying with cash. It’s worked out well, but wanting to do more deals, I’m trying to widen my scope. For instance, a lot of homes I come across that don’t need repair, I can get at a good discount, so there’s some spread there, but it’s not good for your average fix and flip investor. So then, who else? Perhaps a landlord type would be interested to purchase this house that is in great condition at a discounted price... When it comes to closing time though, the way I know how to close is to assign the buyer to pay full cash.

So my real question is, 1: is there a demographic of LANDLORD types that will pay all cash to fund the deal, and 2: if not, are there options out there to fund the deal without full cash from the assignee? Looking for all types of possibilities!

Thanks for reading, and I hope to hear from some of you moguls out there!! 😁

[Tamara Deering]

@Everett Schulte

If the deal is good enough as a rental property, the end buyer can obtain financing.  Use the BP rent calculator and find out if it makes sense as a deal to the end buyer, don't forget to add your fee into the cost.  If it looks good then market it the same way that you would any other wholesale deal.  The only change you would need to make is the time it will take to close the deal, you probably can't close in a week with a borrower looking to finance.  In addition, many landlords have access to a business line of credit that will allow them to pay cash for a property quickly and refi it into a long term note after closing.