All Forum Posts by: Marshall Hawley

Lourene. Thank you for the information. I have gone to a few meet ups so far. They are very helpful. It sounds like I shoulld be good with wholesaling as long as I stay away from preforeclosures for now. Maybe i'll just target out of state landlords and probate/inherited properties I suppose.

Thanks again

Any additional comments are gladly accepted as I'd like to hear what everyone has to say!

I read another Bigger Pockets post about this but it didn't really get to the meat of the question.
I am a newbie looking to get into wholesaling in the puget sound/seattle area. I recently sent my P&S agreement and agreement to assign to a legal zoom lawyer to review. He basically just told that Washington state not only made it illegal but criminalized flipping and wholesaling properties and that you needs to be a licensed broker to wholesale houses. He said:

1. Buying and selling a property for someone else and being paid for it requires a real estate license.

and 2. You aren't allowed to purchase or flip property from someone who is behind on mortgage payments (or facing preforeclosure/foreclosure) per Washington Law RCW 61.34. And real estate property purchased from someone who is behind on mortgage payments is construed as 'equity skimming' and therefore may be illegal.

Can someone please clear this up for me? I know lots of people in washington and in the seattle area wholesale without a real estate license.
So how is everyone doing it and what makes it NOT illegal by whatever laws that some people think makes it illegal?

Thank you

@Mindy Jensen thank you for the input. I really do want to be honest with seller and really do want to make it a win situation for everybody. But going back to what @Michael Swanson Jr. said and my original question. 
If for whatever reason I cannot locate a buyer. How can I get out of or alter the contract because many of the properties I currently would never be able to afford if they defaulted to me so I would NEED some sort of an out...

@Chris Piper @Wayne Brooks

In addition to the question above. When sending an offer over, do I send a seperate offer letter or just send an email with a half completed P&S contract for them to complete?

I think I understand. I am actually going through the wholesaler's bible now.
My concern is if i can't find a cash buyer, I wouldn't have the fungs to purchase the property. So what if I can't find a cash buyer? Should I include a contingency that if the time period to close passes x amount of days the agreement expires and I just lose my earnest money deposit?

I thought a P&S agreement between the seller and I would mean I am obligated to purchase the property whether I find a buyer or not?

Hi, I am looking to get into real estate wholesaling but first working on modifying and fine tuning a solid contract. I live in Seattle, WA. My question is as follows

Currently, I am making two separate agreements that I plan to have between myself and the homeowner, then between myself, the homeowner, and the cash buyers.
The first is titled the "Agreement to Assign Real Estate Agreement" between myself (as the assignee) and the homeowner (as the assignor) that I use to put the property under contract.
The second is titled "Assignment of Real Estate Purchase and Sale Agreement" between myself (as the assignor), the homeowner (as the Seller), and the cash buyer (as the assignee). However, I put a note in this that this is not the official agreement for the purchase and sale of the property since I'd assume the title company may provide that agreement and I may not want to get involved in the actual sale of the property between the homeowner and the cash buyer. 

My intended process is as follows:

1. "Agreement to Assign Real Estate Agreement" completed by myself and the homeowner

2. "Assignment of Real Estate Purchase and Sale Agreement" completed by myself, the homeowner, and the cash buyer

3. Purchase and Sale Agreement (provided by someone else) completed by the homeowner and the cash buyer

Is this the normal or most efficient process?
Any questions, comments, or help would be greatly appreciated