All Forum Posts by: Account Closed

Okay I don't understand lets say for example a house ARV is 319,000 and the house need 35,000 in rehab and I get it down to 94,200 the (MAO) on the purchase and sale agreement. Then I find a buyer and sell the contract to him for the house for 188,300

What I want to know is the seller gets paid 94,200 dollars and the buyer pays 188,300 to own the house and the buyer pays me for getting them a good and no money comes out of the sellers pocket I am asking if I got how things go right 

Also if a seller ask me how I get paid exactly what should I tell them the truth or something else I am worried that if I get a very large amount of money (hypothetically) they will feel they are being tricked I would like to be honest because I have no intention of cheating anyone out of there money.

@Darwin Crawford I assume those houses where in really bad shape?

@Barry pekin on the bigger pockets blog section on wholesaling there is a article titled The ultimate beginners guide to wholesaling the part f the article where the author does the math is where I learned the fixed cost should be factor in the maximum allowed offer 

@Barry I was referring to fixed cost I read bigger pockets article called The ultimate beginners guide to wholesaling and that's how it was explained 

Barry pekin thank you for the advice but shouldn't the fixed cost go into as well just for asking

Can someone please lay out the wholesale process like what a wholesaler should do from beginning to end and not leave out the smallest detail would greatly appreciate just what should be done in the deal

I am a newbie wholesaler I haven't even done my first deal and been doing some research on wholesaling for a little while I am figuring how this works and I read that there's two different ways so far. One I have found is like for example say a house is worth 200,000 (ARV) and the buyer wants it down to 170,000 and say you convince the seller to get it down to 120,000 for the buyer and that means you get paid 50,000. So that's one way the other way I am not too familiar with but I think it goes like whatever the (ARV) is the sees what 70 percent of that is and then they subtract. That number from the rehab cost and I think the fixed costs and whatever is the result is the wholesalers profit so can someone tell me which is the correct way to predict how much a wholesaler gets paid and tell me if I got how its done wrong or what any professional wholesalers could help me out thank you have a great day

@Lydia R. Any recomdendations

@Lydia R. I am a newbie pretty much I am trying to figure out how to go about wholesaling a house step by step because I don't know what to do and want to figure things out and organize myself before I do this 

@Mike Palikij what is FSBO?