Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Wholesaling
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 4 years ago on . Most recent reply

User Stats

3
Posts
1
Votes

Using a broker to close a wholesale deal

Gustav MW Hebner
Posted

I am concerned about the legality of brokering a deal with a buyer once I have the option contract signed. From all of the debates I have seen it looks like the only real question that is being debated is "are wholesalers acting as unlicensed brokers"? I'm NOT looking for an answer to that I am simply asking why not just take the broker fee as an operating expenditure? 

Here's how I'm thinking this should go:

1) I do the upfront work to get a property under contract.

2) I pass this off to a transaction broker who is legally allowed to advertise a property they don't own. Provided they find a buyer we proceed with a double close and the Broker gets paid out of my fee.


Did I miss anything? To my understanding that has me solidly inside the law, I'm not asking the broker to operate in any unconventional manner, and they get paid exactly the same as they normally would. Please tell me if I'm wrong and how. Also my understanding is I would need to use a transactional broker because I am not the seller is that correct?

Thanks!

Loading replies...