All Forum Posts by: Sam S.

 Michael, can you please go into more detail as to what you mean by affecting the buyer's ability to resell?   

Looking for advice from those who have tried both approaches to selling your services to a seller and have a clear preference that works for them. "I will buy your home" or "I will make you a cash offer" techniques are straightforward but likely misleading if the intent was always to wholesale.  True, you have no obligation to disclose what your business plan is and disclose everything in fine print, but you probably still feel a bit skeevy afterward.  "I will help you sell" is transparent, but potentially runs afoul of real estate licensing laws, makes you an agent instead of a principal, and sellers may object that they should just hire a realtor.   Do you have a preference for one approach or the other and why?

@Michael Quarles Hats off to you for challenging the Board and winning. But how do you explain to the seller that they are signing a limited POA to you to list? Was your POA notarized? Just curious as to what that looked like.

@Ed Kahle did you list a wholesale deal on a flat fee service?  If you did how did it go and which one did you use?

If you watch the videos he says they say you should not enter into agreements with the intent to wholesale or market photos of the house you are trying to wholesale.  So, in effect no one should wholesale unless by accident.

Sellers or their attorneys seem to frequently question to my having a copy of the key to bring buyers through prior to closing.  This is fair, but has anyone found a creative way to satisfy these concerns?   So far I have signed indemnity agreements usually drafted by their attorneys saying my people will not cause damage.  

ARV is $115k-$130k

Rent in current condition is about $850 / mo. plus utilities

Taxes $200/mo and estimate insurance at $60 / mo. 

Property is 2BR ranch on street with many small ranches.  Nice area and well maintained property.  Property needs new kitchen flooring, H/w refinishing or carpet, some minor plumbing work, updated light fixtures, new flooring in bathroom, removal of wall paper in dining room, paint, new vanity in bathroom, new countertops, and new stove.  Maybe I could paint the existing old looking cabinets, or could get new ones.  It's in pretty good condition for the area.

I've never done a flip on my own, only wholesale deals or flips with other investors who supplied all the funds.  

I would estimate property is currently worth $80-90k if placed on the MLS.

I was thinking offer $55,000 cash as a wholesale deal on an assignment, or $70,000 with seller financing with 4% interest.  

I probably would have about $10,000 to fix up this property if I did the seller financing.  Any advise, specifically with regard to the seller financing?  My plan would be to do the flooring and get a new stove and put a tenant in there for $850+ per month.  I would be willing to keep this as a long term holding.  Let me know what you think.  Thanks.

A cash buyer just made a verbal offer which I verbally accepted and we shook on, then I sent him the contract and he saw how much I was making.  Now he says "I just ran the numbers again" and now his price is of course lower and he "doesn't remember" making a firm offer at the price we agreed on.  Other than double closing, what can I do to make sure this does not happen?  Have the buyer submit their offer in writing and swear they have completed their calculations and investigations on an "offer sheet" which I will then turn into my contract?

Assuming I have a quality deal to market and my buyers are reasonably qualified to be on the list, how large does a buyer's list have to be before it starts to have a significant chance of finding a buyer for a deal in your experience?

Has anyone sold a wholesale property to a buyer represented by an agent?  Did you pay the agent a fee?  Seems like this would be possible but I want the buyer to pay the agent.