And you don’t have to pay it back when you sell, you do an exchange.

Quote from @Adam Macias: Wholesaling as it is today will be a thing of the past.It’ll truly be strange to even hear people and gurus trying to make big money off it.The more people try wholesaling but then end up not having an end buyer or cancelling contracts or trying weird things like novations, the more all of real estate will be regulated and cause requirements like licensing to be able to transact more than just your personal resident purchase.Which I don't know why hasn't happened sooner.Here's all the states (in red or yellow) requiring a license to wholesale or at least have started the process:Credit: REITipsterI think licensing and regulation is a beautiful thing that should happen if you plan to be an wholesaler and do more than one deal... which is going to be the case for anyone taking this business seriously.Or even it being regulated to need a real estate agent to do more than one deal outside of buying a personal residence.I've had plenty of failed attempts with agents in pursuit of wholesale deals and I know exactly why, it's not because the agent couldn't find me deals, it's just not practical to think there's opportunity for the numbers a wholesaler needs to make a profit on top of everyone else needing to these days.Because the only sellers who truly can sell at a deep enough discount are usually those who ran out of time and just didn't do something sooner with their situation.I know many coaches and gurus will disagree with me but there’s no regulations on youtube gurus and what they teach either.If we look at the current state of the market in hot cities, the availability of online resources to the average homeowner, how many deals can you possibly believe are available at 70% of ARV?

I mean come one, there was those out there pitching LP-$ for buying Radio Shack and doing some weird come-back thing with it, and people threw $ at em for it......

The GC and the sub ended up sharing in the cost mostly (I think) because it was better than the finger pointing game that had already started, and realistically the attorney's were the only ones about to win...

And a pro forma vs. end of year actuals are very, very different.

For many it could be a decent strategy to invest their money back into their property.Its the same thing for doing a renovation.

In addition, while the umbrella did not end up having to pay out, having it meant I did not stress about it at all.  

A good manager will handle tenant communication, security deposit transfers, and ensure a smooth transition for you.Changing managers doesn’t have to be difficult—following the agreement and partnering with a competent new PM will help you get things back on track.

That's why appraisers do the comparative approach and then secondarily the cost approach.So far, 100% of the time you don't get dollar for dollar back from what I've seen.

So the deal ends up falling out or they take forever to find solutions.