All Forum Posts by: Peyton LaBarbera

Your inability to get a buyer is irrelevant to failing an inspection. Therefore, inspection clause cannot be used to get out of a deal where the real reason is no buyer.

The seller may or may not pursue you but that is a separate matter. The inspection period is not a “get out of jail free” card. If you don’t hold the inspection AND communicate your results within the time allotted to do so, you are on the hook and no return of your earnest money deposit. You also may have a situation where the seller has an opportunity to cure the defects revealed in the inspection.

Using an unrelated clause to duck out of your failures as a wholesaler, however, is dishonest. Now you know why people hate wholesalers.

That depends on the contract language…on the FL standard realtors contracts, it is an absolute “get out of jail free card”, as I believe most other stars are also. Some states do require an actual repair request, with the seller having the right to fulfill it, but those are rare.

In order to trigger the inspection clause you have to hold an inspection, which I understand the original poster had not done. I also note that you conditioned your response by saying there had to be a repair “request”— which by necessity requires that there had been an inspection.

My response to the OP stands. There is not, however, even in Florida, an “absolute” inspection walk-away clause, particularly when one never performed an inspection.

Just read one…it has always been a walk away clause with no requirements whatsoever. It matters not that you think a buyer “should/must” do an actual inspection first.

Do I think wholesalers should be playing with mls properties….not ant all. Most shouldn’t be dealing with Any sellers. But, this a question about inspection clauses.

>it has always been a walk away clause with no requirements whatsoever.

Same in CA. Inspection clause does not require a professional inspection, request for repairs, etc. It can be used to get out of the contract for any reason and you do not need to state the reason to the seller.

I suspect it was not intended as an escape for not having a buyer, but because it provides for being able to walk away for any reason without providing the cause, it would include not having a buyer.

Thank you for answering my question, very informative. Need more people like you ;)

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Quote from @Bob Stevens:

Quote from @Peyton LaBarbera:

@John Clark , @Bob Stevens, and @Bruce Woodruff Just to let you three know I was only asking a question and I am not in any contract with anyone I am just trying to learn the ins and outs of wholesaling.

Go to your local meeting, this is not the way to do it

Good luck

@Bob Stevens Thank you for the advice but the forums help with quick questions I have

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Just like to make this clear that I am not in the process of buying right now but just learning as much as I can before I do buy my first rental property

I was wondering if it makes any sense to let the sellers agent represent me and if this can get me to lower the cost on the home even if it's only 10 or 20k. I thought it would make sense since they would be doubling their commission but let me hear your thoughts.

Last question is if this does make sense to do who pays for the second half of the agents commission would this just be added to my closing costs or would it come out of the sellers?

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But from my understandings the only way to get a proof of funds is to either have the cash yourself to show the seller or get a hard money lender

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If I had the capital then this wouldn't be an issue but since I don't then I just don't understand what more the agents would want from me

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@David M. No I don't I'm trying to learn as much as I can before I partake in any deal but should I just say I'm wholesaling this deal or do agents not like to hear that?

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Just to clarify if within the 10 day inspection contingency clause I decided to back out because I can't find a buyer do I get my EMD back?

I watched a Flipping Mastery video and he explained it where this is totally acceptable but I just want to make sure, thank you to all that reply.

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@Jesse LeBlanc Do you the wholesaler need POF in a assignment contract wholesale deal or is your end cash buyer responsible for providing that. I only ask because I don't want to double close with a hard money loan and I don't have the funds to show

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Los Angeles County, California

All Forum Posts by: Peyton LaBarbera

Peyton LaBarbera has started 41 posts and replied 140 times.

Post: Inspection Contingency Clause question

Post: Inspection Contingency Clause question

Post: Should I let the sellers agent represent me?

Post: Question about proof of funds letter

Post: Question about proof of funds letter

Post: Inspection Contingency Clause question

Post: Question about proof of funds letter

Post: Question about proof of funds letter

Post: Inspection Contingency Clause question

Post: How do I get a proof of funds?