Jena
Wow!!! What a great post... Tons of real world questions..
I am a full time investor, in the Chicago and NW Indiana areas.
I am going to try step by step attempt to answer your questions.
A Purchase and Sales agreement is an agreement ( contract) between you and the seller. Most people get them from a seminar.
You do not need to be a Real Estate Agent in order to wholesale. A Real Estate Agent sells property that they have no interest in. If you have a P.S. Agreement with a seller, you now have an vested and viable interest in the property and thereby can look for a buyer.
When you buy from banks, you will need credit, cash or a bank loan. Usually these are listed with a local Real Estate agent, and you submit an offer to the bank through the them. Be prepared to submit "proof of funds" with the offer. That means that when you send in the offer, you will have to prove that you have access to the cash, be it a loan or cash.
I do not think that your age will be a complete hold back. I think it is reasonable to think that some homeowners may not take you seriously, however I know several investors 21 and under who do well. I think success in this business comes from a good education in your chosen career and confidence in your product... (Your solution for the seller)
As far as finding active rehabbers... you may want to consider taking a drive around the neighborhoods that you want to wholesale houses in. Look for dumpsters, and places where folks are working on the houses. Take a look at the home depots etc and talk with the people who are buying materials..some may simply be the contractors for the investors and you can get the contact info from them ..but you may also find a contractor who want to get our on his own.
A local Real Estate Investing Club may be helpful as well..You can use Google to locate that.
When you find a house from a traditional seller,. and you are talking with the people you want to sell it to.. don't name price... He who names price first loses. Simply ask them for their offer and resist to say how much you want to get. You may get more than you want!!!
Then you assign the agreement to them.. and pass it all over to your attorney to cover your backside.
Instead of dealing with banks, since you mentioned you lack cash,,, a bank will want you to have some "skin" in the deal, you want want to focus on homes in the neighborhoods that need love. When I find one, I simply drop a letter in the mail and tell them that I am interested in buying a house in their neighborhood, if they are interested in selling, please call me.
Sounds different,,, I know, but for me .. it works.
Tony Severino
