All Forum Posts by: Gene Corral

Rob
that is what concerns me being a newbie to all this Texas apparently has some pretty strict laws concerning owner finance. I'm not sure if this applies only homes with an exsisting mortgage or for all owner finance any guidence on how to make this work would be appreciated...Also these homes have been listed for over a year so not sure if they move as fast around here. I realize that they have been targeting retail buyers and the financing comes into play not sure how having cash buyers would affect the deal.

Thanks for all the replies everyone

Finance: Do mind telling what your strategy was when you approached the builder and how did you get them to finance you(if I'm understanding you correctly) or did you buy the properties and seller finance to the end buyer. Seems like in my area everyone is focused on FSBO. just trying to find a different niche. I am new at this so any advise would be greatly appreciated . If these type of deals are better left for the more seasoned investors please let me know.

Thanks Finance
Do you have any advise on how I could approach a seller(as a wholesaler) without leading them to believe I am working on their behalf? And to my next question. As long as don't accept any compensation for matching a potential buyer to a seller It would not be considered brokering? In Texas from what I read bird dogging for monetary gain is considered brokering.

I have been reading many of the discussions in regards to wholesaling and bird dogging. From what I am reading it seems like would have to market my properties in such a way as to not come across as representing the buy or the end buyer to avoid being misunderstood as representing either party. for example if I approached a seller and told them that I was going to help their situation by putting the house under contract and trying to find an end buyer. Would I not be acting as an agency? And as for bird dogging would it be illegal for me to take any monetary compensation for alerting them to a house for sale not negotiating the price or involved in any other way just giving them the information.

Also I should add they are still selling new homes in that neighborhood which are about the same size on the similar size lot for around 150-170k I'm aware that homebuilders routinely hyperinflate the price of their homes but still think that if a buyer had a choice to buy a home for 115k rather than a similar one for 150k and get the same warranty it's a no brainer.

Jon
I haven't done a lot of research on these homes yet as I have been busy however based on what I have researched one of the homes in question is listed at 114,900 and was built in 2008 a similar home also built in 2008 just 2 doors down is valued through county tax asseseor at 142,500 like I said earlier I just did a quick search on these properties so my numbers may be a bit off I am familar with the neighborhood and it is a typical middle class subdivision with a low crime rate and in one of the best school districts so the area is appealing just not sure if the numbers are there.

I have been scouting my area for potential wholesales and I was wondering if there is any profit in new homes there are several in my area that were built about 3 to 4 years ago but have never been sold or lived in the asking price is far below what it was originally listed for when it was first built. I'm not sure how much lower they would be willing let them go for but I'm wondering if it is even worth while looking into these properties?

hey everyone:

I have been reading this site for the last few days and I am absorbing a lot. A couple of questions could someone please explain what exactly a 'subject to' contract is and how it works and also if someone could clarify 'option contracts' seems a vague in the forum posts

Thanks
Gene

thanks for the replies. I have been reading the forums for the most of today and I am trying to decipher all the different methods used by the pros I am eager to get started I just want to do it right and minimize my learning curve. A question I have is how to get started finding buyers for potential properties? From what I read is that a lot of end buyers shy away from wholesalers for various reasons. I understand that some mistakes will be made starting out however I don't want to burn any bridges with a catostrophic blunder. Also would you recommend working with a buyers agent to start out with so I could get familar with the negotiation and contract process ? And lastly do you recommend starting locally or is it prudent to shop several markets nationwide? Ideally I would like to start locally and maybe branch out later. Again Thanks for everything.

I am trying to break into this business but I could real use a few pointers(actually a lot of pointers) I don't have a lot of funds right now and my credit is not the best so based on what I have researched it seems wholesaling would be a financially safe place to start. any advise would be greatly appreciated. Thank You