All Forum Posts by: Jonathan Woelfel

You say you are being honest yet your post on here is about trying to get more "outs" !!!Which is a way of telling a seller as late in a deal as possible that you are not really buying their property, but were just wasting their time to make a selfish profit off of money you dont have. You are the same as the rest of them.

The bait and switch is when a gc will give you an estimate to do the work on a project. Then they will pull permits (which can cost thousands and take months in some cities where im from). Then construction materials cost or labor costs go up when permits are recieved, or anything you add to a project (change order) is 5 times the cost it would have been prior to permits. They do this because they know you dont want to cancel permits or even change the gc because it takes time and money, so you eat the extra few grand it costs you because you got haggled. Its common down here in south florida.

1. Unreliability 2. Cost changes 3. Project never completed on time 4. Bait and switch after permits pulled 5. Workmanship

Wholesalers are saturating the market down here in south florida and it disgusts me. I would say virtually all of the deals they offer on with "supposed" cash offers are bogus and never close. They use fake proof of funds to get the deal and lead the seller to believe they are real buyers, never disclosing who they are and what their real intentions are. These are not opinions, these are facts as I have recieved over 200 offers from wholesalers on my listed properties over the last year and they are ALL exactly the same. Fake cash, ridiculously low number, sight unseen, virtually no deposit, ridiculously long inspection period and they back out at the last minute. Anyone who says they are disclosing is a liar because virtually no homeowner would agree to a bs offer like that. I think wholesaling should be illegal no matter how they do it. If you dont have real cash to close a property and are not intending on buying it, but put properties under contract anyways, then you should go to jail for contract fraud in my opinion. I have seen multiple sellers (none of my clients because i dont work with wholesalers) think they are moving in a week and pack up their belongings and rent trucks and even setup their children in new schools only to find a wholesaler couldnt get his greedy 20k fee and now the sellers are screwed. Its unethical, its wrong, and it should have severe consequences. These moron gurus come to everyones town and throw these ridiculous courses to people on how to screw people by wholesaling. Do it the old fashioned way, like i do, find someone with money and actually buy the house.......if you cant do that.......then get a 9-5.

@everyone Thank you all for your replies. This thread was not intended to be a complaint, but rather an eye opener as to what wholesalers are doing to my particular market in south florida. As for other markets, i am not sure. I know there are some decent wholesalers in my market somewhere, but my point is simple. 1. Probably 90% of wholesalers take some course or read a book and think they know what they are doing. 2. When they get into the market, they look for people in desperate situations for a deal (which is fine to have good deals, but most wholesalers never intend on buying) this creates issues for the sellers and puts them in an even worse off situation. 3. Most bid blindly on property they have never seen, so when they do not end up buying because the wholesaler bid too high, who cares right, it does not cost them anything. It does however make the seller believe since they got an overpriced offer, that my realistic offer is now too low for them. 4. They mostly use mls to buy properties, then sell me (investor and a realtor) deals that they never saw, never put any money on and have no intention of buying for an additional 20k over what its worth!!!! My point to all of this is that wholesaling in my opinion is bad for real estate investors. If you have no money, then learn about real estate, bird dog, get a mentor, find some private money and buy a deal. Again, if you are a true wholesaler and know what you are doing, then good for you, but the rest of you.........go fish.

Im very sick of wholesalers in south florida. It seems like some guru comes to town every few months with some ridiculous course about how to make money in real estate with no money down and then all of a sudden a thousand wholesalers start making offers on houses. Wholesaling is a joke, they blindly make offers, they have no intentions of buying properties, they artificially inflate prices and the deals they get are usually crap. People with no money should not be pretending to be buying real eatate, they makes it harder for people like myself to make money. When i put an offer on a property, I actually follow through with it. Now I am even seeing some wholesalers in commercial down here in south florida, absolutely ridiculous.