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Hello Trevor and Peachstate.. you are correct, Conventional lenders will not do assignments,

Your end- buyers need to have a hard money lender to do these deals. most of them will allow the assignments.. you also need a title company that is familiar with these type of deals.. you need to be screening your buyer(investors) if they do not intend on closing with cash(Hard money) its not worth it! and your wasting your time..

hard money is private money, its not the same federal money(conventional) hence the restrictions are not the same..

bvellmure, a bankruptcy would be able to stop all creditors in their tracks, including the judgement.. If your client files a ch 13, they would set him up on a repayment program.. if he files the 7, he could wipe out most of the debt free an clear.. however with the new bk laws.. I don't know what restrictions would apply, I also don't know how the bk laws work in California.. your client would need to contact a bankruptcy attorney for that..
this of course should be his last option. one more thing to note.. from what it sounds like your client really needs the Chap 13 for asset protection.. but again check with a bk attorney for professional advice..

Landchasers, wow I totally agree, it makes perfect sense..
People Like Donald Trump, Robert Kiyosaki, Carlton Sheets, are examples of knowing how to leverage..

Greenhorizons, it looks like the experts have sum up your question
to piggyback on what they have said.. wholesaling is quicker and easier money, less effort.. its a good way to start out.. once you build a little cash doing that.. then yes rehabbing will bring more profit per house..but it will take longer to see the fruits of that labor. then theirs renting, sub2, etc.. you can mix it up once you get going..all of the investing methods have their strong points and weak points.. however wholesaling by far is less risk then the others..

DC group that is a very easy answer.. what separates
the Millionaire investor from the average investor is a couple of things
first off experience, wisdom and knowledge of the business are all keys.
secondly the willingness to learn, preserve and desire to never give up..

this is the case with whatever you do in life..their are tons of books
on this subject.. the average person will throw in the towel and want overnight riches.. it doesn't work that way..

the Millionaire or Tycoon investor unless they inherited their foturnes, started at the bottom and it was their mindset that took them to the top..
they didn't allow negative and ignorant people to stop them from acquring their dream. they kept themselves around other wealthy individuals and or investors..

Hey guys, I am a newbie looking to get started in real estate..I want to first say I commend everyone of you that has taken the leap of faith and you have not looked back in in your real estate endeveours.. I always says if you if you want to be successful you have to be around successful people..

somebody mentioned negativity and people telling you, you can't do something.. that is because their ignorant or not willing to want more for themselves..

on another note:

I have been examining whether I wanted to flip traditionally, rent or otherwise.

I am actually interested in selling contracts and doing double closings..
witout ever touching the properties(acting as the middleman)

my questions to you seasoned rei's

How is a double closing done?

In a double closing i imagine the wet closing with the end-buyer should be done first, then the proceeds from that Loan will pay the original owner off
(Please validate that statement for me or if incorrect advise)

I imagine most subprime and conventional lenders have a problem with them since the original owner is not on the purchase agreeement but my name would be on the purchase agreement with the end-buyer getting the financing? anybody have any ideas of how to overcome that hurdle

I have also been learning that one needs to have a title/esrow company that is familiar with double-closings?

Please let me know your expert advice on this matter along with those of you who have actually been thru the double-closing process..what were your challenges, how did you overcome them etc..

thanks guys, your all awesome :groovy:

Hey Ryan Webber, I am interested in flipping the property without touching it.. basically being the middleman, you mentioned double-closing, what is the process for getting the property from a wholesaler such as yourself, then selling the contract(purchase agreement to the next investor? would both of us need to sign the purchase agreement, or is their an ammendment done to the purchase agreement to the end-buyer(investor)

Also how would I be paid at the closing, would the cost be on the Hud-1/settlement statement etc. if so what section would it be listed. would my proceeds come from the title/closing attorney?

Sorry for all the questions.. :superman:

Jessie, you really bring some sound advice in the area of real estate marketing.. your experience/wisdom is genuine.. I just started with investement properties, I am here in the Atlanta, Ga area, I have some agents that I am looking to put on my team.. If you have any century21 agents, please refer them to me..

I am also a Loan Officer, I specialize or niche in sub-prime financing.. which is one step above hard money, but one step below conforming or A-paper lending(perfect Credit).
example: we can get investor loans funded with as low as a mid 500 fico..

now if your strategy is to flip houses, then subprime financing is not for you.. stick with hard money.. however if your strategy is to have income or rental properties, then subprime finacing will benefit you especially those holding their properties to gain long term equity. average rates are between 8 - 10% depending on credit. which is of course higher then prime rates, but still lower then hard money. your objectives or goals to maximize subprime financing should be to maybe hold the property for 1 - 2 years, (You may have to eat a 1 o 2 year prepay but it will lower the rate from a loan with a zero prepay,)while you build your credit back to an a-rating, then refi your cash out for more investment projects.

theirs tons of new products, on the market that fit your particular scenario, such as the option arms, option arms give you the luxury of choosing/paying your mortgage 4 different ways each month.. 30yr P&I, 15yr P&I, Interest only, or whats called Neg am(Negative-ammoritization)
the neg am, could allow you to get into a million dollar home for like $3k a month, they have 1% start rates.. these loans are really good for short term properties, like a year or 2.. especially if the property is in a desirable market.. the cons with it is that if you stay in it long time, you could end up in a negative equity situation..because your payment is lower then the p&I and ther is no principal going towards the balance..that is if you continue using or paying on the neg am choice..
the option arms and neg am's are really popular in California..but their making their way across the u.s.

ALL CASH, outstanding post.. the no money down hype may be applicable in some situations. but i don't think its something a newbie should be expecting.. especially with challenged credit.. :superman: