All Forum Posts by: Brian Pulaski

The only illegal thing I see here is her offering you some kind of fee for your troubles. 

I'm not sure adding this clause allows you to "list" a property (equitable interest or not) on the MLS. I imagine if someone slips this language into a contract and the seller happens to see their house listed on the MLS for significantly more than they "have it sold" for... they will probably go after you any way they can.

Have you spoken to your broker? That would be the absolute first step here...

Who owns the house now? Is it a person or a bank? If it is a bank you may not be able to wholesale it anyway.

Am I missing something? It is possible as I haven’t had a mortgage in years, but the P&I on a $395,000 purchase is only $1400? I see mentioning 20% down, but also see you mention what to do with $5000, so not sure if the P&I assumes 20% or $5000.

I wouldn’t touch that deal. Once you add in buying costs, holding costs, closing costs, you are looking at a very low profit. I don’t know what state you are in, this is based on my state and what my costs are.

 If he wanted $100k why would he accept a dramatically lower offer?

Wholesaling works best when they track down someone in distress with a house they need to offload. The wholesaler can get it under contract for less than it is worth (usually because the seller has some desperation). They can then “assign their position in the contract” for a higher value.

How would one determine the “percentage of savings”? If a house is listed at $150,000, and multiple offers come in and it gets sold for $160,000, how would that buy side realtor be paid? He had negative $10,000 in “savings”. 

If I were a seller in this situation I would want to see POF along with some document from these investors indicating they intend to finance you and your brothers in this deal. I wouldn't be interested in having someone not qualified looking at the property, most likely disturbing tenants.

Keep in mind your buyers list will probably have a LOT of wholesalers who aren’t real buyers. I’ve seen buyers lists (one wholesaler sent an email to everyone on his list by accident) and there were a bunch of names on there that were wholesalers who have never bought a house.