All Forum Posts by: Solomon Oh

Hey Wendell/Brittany-

I appreciate your feedback about this topic. I spoke to a lawyer about the issue, but all he was talking about was gloom and doom. Similarly the few real estate brokers I spoke to were not receptive to this idea and have told me to look to other ventures.

Brittany is it possible for you to send me a copy of the legally binding contract that you have used in past transactions (WA ST). I can furnish you copies of the contracts I have drafted to make a comparison.

All the best,

Solomon Oh

Hey Bill-

So would you say that wholesaling is a fraudulent activity?

Seeing as how a person would be skimming equity from someone?

Thanks,

Solomon Oh

Dear members of Bigger Pockets in Washington state-

Before jumping into wholesaling, I wanted to make sure all of my ducks were lined up in a row. I spoke to a lawyer about my contracts and the legality of this enterprise known as "wholesaling". He was concerned with the practice and thought I was "equity" skimming and essentially planning to defraud consumers out of their money.

I came across the Washington State Attorney General's page http://atg.wa.gov/hb2791prjune08.aspx#.UyfgGfldWJE

and it does seem that wholesaling could be questionable.

Is there ANY legal information/experience someone could provide me with that could help me calm my nerves and get started? I am really excited to start, but do not want to face any legal issues... such as end up in jail or pay damages up to 100k.

Thanks,

Sol

Hey Luis-

Welcome to bigger pockets! You do seem to have a good game plan and the right idea about investing for the cash flow. There are a few creative methods you can look into such as subject to or working with a local rehabber. After learning how to flip, you can do a few flips yourself and save up your down payment for an investment home.There are a few articles on subject to and flipping.

I wish you luck!

Hi Ed-

I have also wrestled with this question. I have yet to do my first flip but I am thinking that in the interest of future business with my investor, that I would disclose the fee upfront. If you can justify the fee with an excellent deal by crunching numbers, the investor will most likely not have any issues with it. After all they are potentially going to be making more than you are.

As for the seller if it isn't a large amount that you will be making > $5000.00 it might be better to disclose the fee upfront so there are no surprises for the seller. There might be a few ways to work with the title company to make sure that the seller does not see the "mark up", but I would have to look into it a bit more.

Hey Zach-

I was able to go into First American the other day and they were VERY accommodating.

Thanks again for the advice!

Thanks Geoff!

Paul-

Thanks for reaching out. I will go ahead and start looking into those pod casts ASAP!

Hello my name is Solomon. I am a local newbie investor. I have read many articles and many real estate investing books which have scrutinized the importance of a mentor. Having a strong foundation on which I can work on is crucial in setting up my success in the future. My focus is to find a mentor who has experience working with multi-family properties (10+ units) and needs a mentee to help him/her run the operations, find potential deals, scout areas of growth and plot their next move.

My objective: To locate and hold multifamily properties with 1000 doors over the next 20 years.

My skills: utilizing social media to reach a wide demographic of people, researching potential profitable situations, building rapport with vendors, working with a wide variety of people, marketing to a select target, constantly learning and maximizing resources.

My intangibles: A "can be done" attitude, thinks outside the box, deliberate in decisions,and the ability to see the larger picture.

My current projects: Wholesaling Campaign ( finding under priced homes and putting them under contract)

I know that it is a large risk to take on someone without knowing them. I possess the passion and thirst to make in Real Estate. I just need an opportunity.

Hello Gerald and Zach-

I appreciate the timely response. Its nice to know there are like minded people in the state of Washington who I can relate to.