All Forum Posts by: Account Closed

Charlie are you saying that wholesaling in general, all previously mentioned complex deals aside, is illegal in most states? I'm receiving conflicting information on this topic as some say it's completely legal. For instance according to the authors of, The Business of Flipping Homes, published in January 2017; the wholesaler who obtains a contract has equitable interest in the property and can legally sell the contract to another buyer as long as all parties are aware of the details of the transaction and the wholesaler is clear when advertising that the contract is for sale not the house as in the case of a for sale by owner. 

Judging by the responses I gather that this isn't a common practice. Are double wholesales any more acceptable? What I mean by that is the first wholesaler obtains a deal and sells it at a very low price and with a large enough profit margin enabling another wholesaler to then sell it to someone who intends to flip it. 

I'm just trying to understand how the contracts would work in these somewhat complex transactions. I don't plan on doing this anytime soon or at all if it is not legal. I'm just curious.

I just read about how to perform a three-way wholesale deal and I'm intrigued, but I'm not understanding how the contracts would be structured for such a deal. From what I understand the seller sells to a wholesaler  and the second wholesaler offers to find a buyer for the first wholesaler. The second wholesaler find a buyer and asks for a little more that what was negotiated with the first wholesaler. The buyer completes the transaction and the wholesalers are paid, the second much less than the first. How would the contracts work for this deal?