All Forum Posts by: Brandon Franklin

Thanks J, that helps quite a bit. There is a Realtor involved so I asked what the lowest amount of EM the seller would accept and she replied $1,000. I think I will see if I can extend it until after a due diligence period and see what they come back with.

I have a few questions about wholesaling scenarios. So let's say I have a deal in the works but I don't have the earnest money deposit needed to secure the contract. It's a rental property (duplex) with tenants in place, paying rent on time, and doesn't need repairs.

1. Could I just assign the contract before the earnest money deposit is due and not have to pay it?

2. Is it possible (and legal) to use the end buyer's deposit to pay for it (if so, would you have to disclose this to them?)?

3. Would the better option just be to bird dog the property instead of trying wholesale it?

Thanks!

I looked at the county records and it lists the owner of the property as the Secretary of Urban and Housing Development. I called a friend of mine who has access to the MLS and he said there's been a lot of transactions with the property over the last year. Apparently it was a HUD home in 2012 but was purchased and foreclosed on early this year. Then someone bought it back in Feb. (which I think might be investor who set up the land trust) and now the MLS has the owner of the property as Suntrust bank (possibly the bank holding the trust?). I don't know, I think I should talk to my lawyer first before signing the Assignment of Interest agreement because there might be some title issues that I'm not aware of.

The seller sent a one page assignment contract but there is no purchase price listed on it that we agreed to. Do I have to write up a separate purchase agreement?

The good news is that my offer got accepted (high five) but the not as good news is the property is in a land trust and I'm not sure how that will change the wholesale process. As I understand, it actually makes it easier but I'm wondering if anyone has had experience with this before and could offer some guidance. The property is in Georgia if that makes a difference. I think it will be more of a fix and rent as there will only be about $10-15k in equity after repairs but the going rent in the area for the purchase price is pretty stellar. There's only about $700 in closing costs which the seller offered to split. I have about 1-2 weeks to line a buyer up for the property but I think the scarcity of rehab deals these days will make it easy to sell quickly. Thoughts?