Are Wholesaling Franchises a Scam?

[Chris Meadors]

I’ve just learned about the existence of wholesaler franchises, such as HomeVestors (the Yellow “We Buy Ugly Houses” guys). The numbers presented to me seem too good to be true, especially when using an already trained buyers agent. Any feedback or personal experience owning or representing one of these types of franchises? Any feedback on buying homes FROM them?

Thanks very much

[Greg Dickerson]

Originally posted by @Chris Meadors:

I’ve just learned about the existence of wholesaler franchises, such as HomeVestors (the Yellow “We Buy Ugly Houses” guys). The numbers presented to me seem too good to be true, especially when using an already trained buyers agent. Any feedback or personal experience owning or representing one of these types of franchises? Any feedback on buying homes FROM them?

Thanks very much

It’s legit but may or may not be worth it to you depending on your market and your experience. They have  hefty marketing fees and do not offer protected territories. They also tried to stop people from using We Buy Houses claiming trademark violations. They lost that battle in court.